More than half a million home–owners have enough space on their property to build a granny flat, which could boost home values by 30 per cent and add around 27 per cent to rental income according to a recent survey
The survey, by CoreLogic and Archistar, identified 583,440 properties in Sydney, Melbourne and Brisbane that meet the criteria for an additional self-contained unit of at least 60 square meters.
The Quickest Way to Boost Property Values
Constructing a two-bedroom granny flat would require an initial investment of around $110-$200,000 and has proven to be one of the quickest ways of manufacturing equity and boosting rental yield.
However, while inexpensive, investors have to be sure they stay on the right side of the law. Each state has separate legislation on the right to occupy granny flats, there are issues relating to the subdivision of the property, plus Capital Gains Tax considerations.
For further advice on how to structure granny flat investment correctly, please contact Chan & Naylor.
If you like this post, “Granny Flats Boost Property Values By 30 Per Cent”, subscribe to our newsletter and stay in touch with us by liking our main Chan & Naylor Facebook page, the Chan & Naylor South West Sydney Facebook page, as well as our Linkedin, Instagram, and Twitter pages.
The Chan & Naylor Group has national offices in South West Sydney, Sydney, Pymble and Parramatta in New South Wales, Melbourne, Moonee Ponds and Hawthorn in Victoria, Brisbane and Capalaba in Queensland, and East Perth in Western Australia that can assist you with your accounting needs. Contact us here today.