“I’m looking to create a granny flat at my property. Is this possible?” This is a common question DCI is asked a couple of times per week by property owners. Many are throwing around ideas on how they can turn their property into an investment and earn a little more money or are looking to maximise the sale of their property. Many people are also looking at ways to accommodate ageing family members or provide an independent yet close place to live for adult children. To answer this question, the intent of the granny flat needs to be understood.
The first question that I ask those looking to implement a granny flat is “what is the intent of the granny flat? Are you looking to rent out the dwelling or are you looking to create a space for family members?” The response I tend to receive is “what is the difference?” which is an excellent question and can vary the timeframes, preparation, approvals and application costs greatly. The differences between both definitions is determined by its use:
Used by family – the implementation of an additional dwelling on your property for use by family members related to those residing in the main household is referred to as a secondary dwelling. This land use definition tends to be considered by Council’s at a lower assessment level generally as you aren’t looking at the use as a means to generate income but to house your extended family.
Used by the public – the implementation of an additional dwelling on your property for use by the general public, whether it be through long term rentals or through short term accommodation such as holiday rentals or the very popular property sharing apps such as “Airbnb”, is referred to as a dual occupancy. This land use definition tends to be considered by Council’s at a higher assessment level generally as you are intending to use the dwelling to generate income and essentially are creating a business or commercial use which isn’t generally compatible with residential areas.
The different uses of the property are a critical aspect of the proposed development. The intent of one is to provide for your family while the intent of the other is a quasi-commercial use to develop income. These uses are assessed differently by each Council, and subsequently the cost to apply for the change in land use is also different.
The table below compares the scenario for a secondary dwelling and dual occupancy within the low density residential zone for each Council area within South East Queensland. Each Council’s assessment level differs depending on the desired outcomes and desired level, intensity and scale of development. Referring to the State Governments current South East Queensland Regional Plan, a significant increase in population is expected and needs to be housed within the region therefore these types of developments encouraging higher density living need to be embraced.
So how does this relate to my property? Can I implement a granny flat and what are the costs? To provide greater certainty and as an initial assessment process, DCI & Associates can undertake a Property Feasibility Investigation on your property. This written report reviews the relevant planning scheme, identifies the zoning and overlays constraints and conditions, identifies the relevant assessment level, and identifies the potential application and professional costs to gain development approval for secondary dwellings, dual occupancy or other potential uses you are considering. This report identifies the parameters to work within to maintain a lower assessment level and can act as a due diligence report while your granny flat is implemented.
For more information or to receive a quote for a property feasibility report contact DCI & Associates.
