Unapproved granny flat

Discussion in 'Granny Flats' started by samosan, 29th Oct, 2019.

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

    samosan Member

    Joined:
    24th Nov, 2017
    Posts:
    19
    Location:
    Sydney
    A cousin of mine is about to exchange on a house that has the downstairs granny flat rented out for the last 23 years.

    It has a separate entrance, boarded-up old stairs down, kitchen and bathroom. However, he just realised this evening that there's no freestanding oven or hob, and come to the realisation that it's probably unapproved. The contract shows no separate residence, although ironically includes the current tenancy agreement. No separate electrical box. Unsure on fire insulation, but it's a concrete slab. It's also 125m2, so well above granny flat size and I guess that would negate any chance of approval.

    The rest of the house would be his PPOR, and our mortgage budget is dependent on renting out the flat. However, despite having excellent views, we suspect rental value will be constrained if he can't offer a full cooker and dishwasher.

    I've read that AirBnBs include just a tabletop hob as it doesn't classify as a kitchen, but I assume the unit is unapproved as it is, so what difference would adding a full cooker make? Would it make it illegal or uninsurable rather than just unapproved? I assume he would also need to install an additional circuit for the cooker current, and likely a separate box and submeter while they're at it.

    Thanks!


    Sam
     
  2. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    27,225
    Location:
    Sydney or NSW or Australia
    Possibly also interconnected smoke alarms too.
     
    samosan likes this.
  3. samosan

    samosan Member

    Joined:
    24th Nov, 2017
    Posts:
    19
    Location:
    Sydney
    OK, I see what it does. A flat without a hardwired cooker is technically not a granny flat, but rather a "storage area with bathroom", for compliance. A "proper" cooker probably must be hardwired for compliance, which would then make it a separate dwelling. Hence it doesn't matter that it's above the 60m^2, as it's not a granny flat.
     
  4. Lindsay_W

    Lindsay_W Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    5,058
    Location:
    QLD/Australia Wide
    If it's downstairs I believe the distance from floor to ceiling has to be a certain amount, if it's under a certain height it can't 'legally' be tenanted.
     
    samosan likes this.
  5. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    27,225
    Location:
    Sydney or NSW or Australia
    Location doesn't matter only the height.
     
    Lindsay_W and samosan like this.
  6. samosan

    samosan Member

    Joined:
    24th Nov, 2017
    Posts:
    19
    Location:
    Sydney
    Yep, they’re all standard height - they added the top floor later, so bottom would have been fully compliant.
     
    Lindsay_W likes this.