Hi all,
Firstly, I would like to say this is a fantastic forum.
I have a couple of questions regarding granny flats.
I've just bought a house in Western Sydney and plan to build a Granny Flat to create dual rental income. I've spoken with a couple of builders to get an idea of build cost. They have quoted me between $85k and $95k for a two bedroom 50sqm turn key package, no more to to pay.
Are these quotes reasonable for a two bedroom granny flat of this size? If not, what would be an average cost?
Is there anyone who can offer some advice or recommend a quality builder or two in the Sydney area that has experience building granny flats?
Cheers
Adamshuffler wrote:Hi all,Firstly, I would like to say this is a fantastic forum.
I have a couple of questions regarding granny flats.
I've just bought a house in Western Sydney and plan to build a Granny Flat to create dual rental income. I've spoken with a couple of builders to get an idea of build cost. They have quoted me between $85k and $95k for a two bedroom 50sqm turn key package, no more to to pay.
Are these quotes reasonable for a two bedroom granny flat of this size? If not, what would be an average cost?
Is there anyone who can offer some advice or recommend a quality builder or two in the Sydney area that has experience building granny flats?
Cheers
AdamHi Adam,
$80-$85k is the average. Like all dwellings it also comes down to the finishes. If you are seeking finance for this project make sure that the builder licensed!
TheFinanceShop | Elite Property Finance
http://www.elitepropertyfinance.com
Email Me | Phone MeResidential and Commercial Brokerage
Hi shuffler,
Have you found a suitable builder?
I can help you. Would you like to give me your contacts? I can send the detailed materials to you for your referrence.
or you can contact me on : [email protected]
Jill
shuffler wrote:Hi all,Firstly, I would like to say this is a fantastic forum.
I have a couple of questions regarding granny flats.
I've just bought a house in Western Sydney and plan to build a Granny Flat to create dual rental income. I've spoken with a couple of builders to get an idea of build cost. They have quoted me between $85k and $95k for a two bedroom 50sqm turn key package, no more to to pay.
Are these quotes reasonable for a two bedroom granny flat of this size? If not, what would be an average cost?
Is there anyone who can offer some advice or recommend a quality builder or two in the Sydney area that has experience building granny flats?
Cheers
AdamThere's a mob that does it for about 60k – I'll try to remember who they are. The quotes above wouldn't include approvals from council and connection to drains etc I'd imagine.
Is your site suitable for the 10 day approval? Otherwise it can be a bit of a headache.
I added a granny flat to my house a few years ago and it set me back about 80k. I’m not sure if the price has fluctuated much over the past few years but it should remain consistent.
Hi guys,
Thanks for the comments.
Both quotes are for granny flats that are built onsite (not pre made/kit homes). One is on a concrete slab the other on concrete and steel piers. The one with the concrete slab is about $7-8K more. The quotes include all council and connection costs except for the S94 contributions which I believe can vary from $3 to $7k.
NHG – The site is suitable for a complying development 10 day approval. Is the 60K a turn key package? Are there other costs I would need to consider for a granny flat at that price? Connections, landscaping, fencing etc?
Thanks
Landscaping, stairs and decking?
Definitely fencing, and perhaps a shed for extra room outside.
What about air conditioning? Dryer or clothes line? extra taps outside for water etc.?
NHG I would assume the cost for all these inclusions would add between 10-20k to the price of the finished product?
Total cost being around the $80k mark?
was in bunnings today they have modular buildings – might be worth a look at
Have you had a look at http://www.grannyflatapprovals.com.au
Seem to have a few good models and certainly professional in their approach.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Hi,
I think the process is three- fold:
First is identifying the product you desire. This means you need to scope out the size, layout, position, construction material, etc.
Second is the cost. No doubt there will be various options, and it is up to you to decide which is best for form (value) and function (use and quality).
Third, you need to work through the investing mechanics behind the additional growth and income returns that you expect from the granny flat.
Income
What is the ROI on the spend? For example, you are going to spend $80k for how much extra gross rent? If it's (say) $200 per week, then the ROI is $10,400 / $80,000 = 13%. That's pretty good, even if you are financing it at 6% or so.
Growth
How much extra value are you adding to the property given the $80k (or whatever) spend? Some imputed value comes from the higher rent, but what about the capital improved value. Just be careful here as the property might actually be worth less if your target sales market doesn't want it.
For instance, if you add a granny flat (and lose the yard), then you are pretty much saying you want to sell to an investor (for return) or to someone who want a granny flat (teenagers, granny, etc).
Food for thought…
– Steve
Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.comSuccess comes from doing things differently
I agree Steve, from a real estate agents perspective, it worries me sometimes that the re-sale of the property is not always taken into account when considering a granny flat, what % of the buying market wants 1 and a 1/2 homes on their block.
It is a great way to to turn a negatively geared property into a positive one.
In my humble opinion a "modular" granny flat one that can be removed if needed can offer the best of both worlds.
I know a guy who is doing all up around 60k in western sydney. he is building on our property in Mt Druitt & Blacktown. if interested you can look at our granny flat after completion and decided if you want to go with him.
want to build a 2 bedroom granny flat. where can i get the cheapest quote
can you give me the contact number or give my number to him. i am looking to build a 2 bedroom granny flat in blacktown. thanks
i want to build a granny flat 2 bedroom. can u please give me the number of this guy or give my number to him- 0422882782. thanks
Hi to all you lovely people, who are trying to sort out things and helping other people who you don't even know…
This is a lovely forum,and I have been taking help form it for past 4-5 months, but now cant resist getting into the chat.
My husband and I are looking forward to buying a property in western Sydney and building a granny flat on it. The property already has a garage with water and plumbing in it. Can anyone advice me will this help to reduce the cost of building one?
I know a guy who is doing all up around 60k in western sydney. he is building on our property in Mt Druitt & Blacktown. if interested you can look at our granny flat after completion and decided if you want to go with him.
sydey99 – can you please send me the details of the person building the granny flat for you, and also let me know what your experience was, did it cost any extra money than 60k..also if you can send me some pictures of your granny flats on – my email.
Thank you
RE: Modular/Transportable Homes
At 99% of Councils these CANNOT be approved under the State 'SEPP' legislation which is the road to granny flat approval in NSW. The reason is long-winded but goes to the definition of a Building under the EP&A Regulations. Only Blacktown Council have ever caught me out on this but it's something to consider.
RE: GRANY FLAT BUILD PRICING
In Sydney, builders can vary in price quite a lot BUT it comes back to what your buying, the quality, the inclusions etc. I mean the BASIX commitments and site costs can vary depending on the block itself + the skill of the architect/draftsperson. Then there's the commitment of the builder vs his profit margin. That's better explained below:
What do I mean by that? Well, Im a skilled, experience project manager and for ME to Owner-Build a 60 sq m granny flat (doing it myself at cost) would cost around $65,000+ for a 2 bedroom, hip-roofed granny flat, weatherboard, on a concrete slab, including site costs, approval, all inclusions- turn-key. How any builder can do it for $60,000 is beyond me. It's actually IMPOSSIBLE. If it was, I'd hire a builder to do it and save my clients $30,000
Decent hardworking builders work on 20-25% margin That means what you or I could do for $70k, they'd do for $90k.
my point is, don't be sucked in by stories of qualified builders (assuming they are qualified?) building the above for $60k- it's just simply untrue. I hire builders for my clients every day and Ive been in the industry long enough to know what they make- and NO-ONE can do a 60 sq m granny flat including site costs, approval etc for that price.
Its just physically impossible, sorry.
If someone can find me a builder who can build the structures you see on my website (http://www.grannyflatapprovals.com.au/granny-flat-designs/2-bedroom/), I'll kick my 3 builders out tomorrow and use him instead AND I'll pay you $1,000 for your effort.
Serge Panayi
Brazen | Granny Flat Approvals Sydney
http://www.grannyflatapprovals.com.au
Email Me | Phone MeGranny Flat Approvals Guru
What do I mean by that? Well, Im a skilled, experience project manager and for ME to Owner-Build a 60 sq m granny flat (doing it myself at cost) would cost around $65,000+ for a 2 bedroom, hip-roofed granny flat, weatherboard, on a concrete slab, including site costs, approval, all inclusions- turn-key. How any builder can do it for $60,000 is beyond me. It's actually IMPOSSIBLE. If it was, I'd hire a builder to do it and save my clients $30,000
Decent hardworking builders work on 20-25% margin That means what you or I could do for $70k
Hi Brazen,
Would you do the 2bd rm granny flat including above + connecting services for 70k ?
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