Investment property with granny flat

Discussion in 'Investment Strategy' started by Sat, 27th Jul, 2018.

Join Australia's most dynamic and respected property investment community
  1. Sat

    Sat Member

    Joined:
    26th Jul, 2018
    Posts:
    8
    Location:
    Adelaide
    Hi Folks

    What are your thoughts on existing house with granny flats?

    Do you see them as a good source of dual income? There is bit written and what I could see is its illegal to rent them to other then your relatives.

    How most investors go with this clause?

    Thx
     
    Sat, 27th Jul, 2018
    #1
  2. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

    Joined:
    18th Jun, 2015
    Posts:
    8,171
    Location:
    03 9877 3000
    Different states have different laws regarding granny flats. You may be thinking of the recent post questioning a granny flat in Tarnet, but in Victoria, granny flats must by occupied by someone under the owners care.

    Other states are different. In NSW, granny flats have been very popular as a source of second income as there are few restrictions on their use.
     
    Peter_Tersteeg, 27th Jul, 2018
    #2
  3. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    14th Jun, 2015
    Posts:
    10,654
    Location:
    Gold Coast (Australia Wide)
    Valuation in areas where the stock is newish can be problematic simply due to a lack of comp sales

    ta
    rolf
     
    Rolf Latham, 27th Jul, 2018
    #3
  4. Sat

    Sat Member

    Joined:
    26th Jul, 2018
    Posts:
    8
    Location:
    Adelaide
    I am exploring SA. Is there any specific info that you can provide how to legally rent granny flats in SA?
     
    Sat, 27th Jul, 2018
    #4
  5. David Shih

    David Shih Mortgage Broker Business Member

    Joined:
    21st Jun, 2015
    Posts:
    1,034
    Location:
    Sydney
    This would be a question for @D.T. and @Xenia - both excellent PMs from SA would be able to provide you some guidance on renting GF in SA.

    Cheers,
    David
     
    David Shih, 29th Jul, 2018
    #5
  6. D.T.

    D.T. Specialist Property Manager Business Member

    Joined:
    3rd Jun, 2015
    Posts:
    9,190
    Location:
    Adelaide and Gold Coast
    Not legally :(

    Can usually market whole property to families with inlaws or adult children and get more rent and less hassle that way anyway.
     
    D.T., 29th Jul, 2018
    #6