QLD Logan City Council to curtail property loophole - Granny Flats

Also, do you think you will get the same rent on the old house once you put up a GF?

 

THAT is a big consideration many people don't think of. Auxiliary dwellings in backyards (particularly in battleaxe configurations) can make a property significantly less attractive.

 

Yes that is a consideration, but I think the impact on existing rent will be lesser on this property because it is an uneven shaped block with a 'odd' corner that currently isn't serving great purpose. Also the tenant has been there 10 years and I think she would welcome less mowing!

On the other hand I have another block in Ipswich where the existing tenant would lose one of their carport spaces, and their big square backyard (plus the GF there is limited to 50sqm) so the numbers stack up less.

 

I'm a big fan of corner auxiliary dwellings if you can create separate street access (can be hard to find and set up) because there's no sense of 'sharing' anything, just a reduced yard size, which most tenants don't seem to be bothered by these days.

I think you're spot on with your thoughts @Meristone comparing both those properties.

 

We are planning to build a granny flat in the not so distant future. Got a nice corner block with side access so it would be a totally separate dwelling with privacy.

However that 23k infrastructure charge is quite high. Would it be worth while apply for the gf now and avoid that 23k? Just not sure how long it would be valid for.

Will be interesting to see how all this affects prices in Logan. I dare say properties on less than 700m2 will take a bit of a hit while houses with gf approval will be in higher demand.

 

It would be worth finding this out. At this stage I'm having enough trouble getting a builder who will respond to my queries! I will discuss with the next builder who wants some business.

 

My understanding is that if you’ve done the gf for 140k and get it revalued by bank it will only be taken at 50-60% of the gf total cost. So in this scenario you might only get the original value + $84k from bank valuation perspective.

If you still have serviceability then I would go in the following order:
1. House with a decent land component
2. Townhouse with limited land component
3. Apartment with very little land component

If your cashflow is struggling then gf should help.

 

Hi Guys,

I got in touch with Logan council in order to get the Granny flat development application approved and avoid the $23k of infrastructure charges that are coming in July. As far as I know once the application is approved by the council I have 6 years to build it. Correct?

So far the council provided me with the following list:

1. Completed DA Form 2 (see attached);

2. Provide a plan of development (with a site plan and elevations);

3. Provide a statement of reasons/justification (i.e. a Town Planning Report);

4. Payment of fees – Application costs ($631.00).

The builder that I was planning to use is not getting back to me (probably very busy with too many requests like mine) therefore I decided to seek some help from you guys.

To start with I believe I need a town planner to draft the granny flat, etc. Can someone please confirm if this is the case and can recommend me someone?

Thanks

 

There is something that i don't quite get...... In Logan there is a current loophole, and rushing to get approval would save you a notional 23K ..... are you planning to build the granny flat, or just to improve value by having approval.

If it is just to improve value, it kinda doesn't make sense to me.......... unless your block is not able to take a townhouse or something substantial (for which you can't avoid the infrastructure cost).

 

I have 2 properties in Logan, booth are houses on 700+ sqm with, 18 + mtrs of frontage and suitable to fit a granny flat.

Currently I'm not planning to build the granny flats as I rather look for other IPs in other areas. Hopefully in future banks will look for Granny flats in Logan and be more generous on their valuation. The main purpose of building the granny flat is to improve my cash flow but I cannot justify spending $120-$140K.

I do think spending $2-3k for each GF application will only benefit me hence i'm rushing to get this approved.

Does anyone recommend a town planner??

 

I get it. I just went through the same process and came up with the fact that $2-3k for the application was not beneficial. My block is bigger than 700 and can take more than a Granny Flat, maybe that is why i can't see the benefit.

 

jensen bowers helped me look at the options. I don't know what they charge or how good they are if you proceed so please don't take this as a solid recommendation. I asked some questions and they presented options in a free of charge kinda way....they suggested granny flats are easy to get approval.

 

There was a certain individual who was proposing this..funny isn't it how council will kobosh poor ideas....

 

Email [email protected] Brett from my town planning practice can sort you out.

 

great thank you.

 

When I read all of these ambitious figures of a 350 per week house being rented for after the gf of 350 plus 320 for gf. I think. No way it's going to work that good

First you got to find a tenant who actually doesn't mind having a dwelling at the back. Less demand less rent

Then you got to find a tenant who wants to live in a GF. No way they're paying similar rents to a 3 bdr house. Less demand less rent

It's not easy finding a tenant on a normal day.

 

If it looks like a duck, swims like a duck, and quacks like a duck, then it probably is a duck

The granny flat's I've built in NSW look like a house, have front yards like a house, has a backyard like a house and have separate utilities.... just that they are 2 bedroom as opposed to a typical 3 bedroom.

They also rent at the price of houses. For what its worth, my 2 bedder granny flat rented out for more than the original 3 bedroom house - simply because it was newer.

But they are still classed as granny flats none the less.

Battleaxe style can still command the rent of a house, just need to lay it out better with fence gaps etc.

 

I am constantly amazed by the premium people will pay for "new". Our experience is exactly the same up here in QLD.

 

A way to extend your time to build would be to put in an application for an assesable granny flat - make it 5m2 larger etc. The infrastructure contributions notice would be issued at the time of DA and then you years to do the build.

 

I'm very interested in this point, could you please elaborate on this? I am going through the process of council approval now for a Logan GF, to be approved before the July fee increases. I have been advised I have 6 months to get it to base stage (cost 15% of contract price), then have 2 years to complete. That means a start time of around Dec 2018, when I would prefer to sit on the approval and build in late 2019. Thanks.