Investing in a secondary residence in Canberra presents a great opportunity for investors and families alike. Over a decade ago, the ACT began permitting secondary residences, or granny flats, up to 90m², eliminating the previous requirement for occupants to be related and allowing them to be rented on the open market.
Since then, investing in a granny flat has become a strategic choice. This is especially advantageous in older suburbs with larger blocks, offering avenues for supplementary retirement income, aiding in early loan repayment on the primary residence, or providing accommodation for elderly parents or university-aged children in proximity to family.
Investment returns
Investing in your existing property reduces the capital required to invest in and get returns on a new property. Spending $250–300k to build a granny flat, even at the current interest rate environment of roughly 6%, could still yield a healthy weekly profit and set you up for the future. With two-bedroom homes renting across Canberra from $500 per week amid a well-publicised housing crisis, you can still achieve over a 10% return, outperforming cash in the bank. Work with a builder like Acrow, who brings you a turnkey solution and prioritises delivery to budget to protect these returns.
The granny flex
Granny flats are an attractive option for those looking to downsize, as they provide a great way to enjoy all the benefits of ACT life without sacrificing lifestyle or amenities. It’s not uncommon for homeowners nearing retirement to build a new secondary residence to their tastes and rent out the larger main home for even greater returns – a fantastic retirement plan.
Even as you plan for income later in life, the extra home offers an unprecedented level of flexibility. A granny flat provides extra living space that your family can use, and it’s not uncommon for parents to move in or for grown children to move back. It can be used as an extra bedroom, office, or playroom. You can have fun activities in it or just use it to hang out and relax with your family. It may even become a cool teen pod for your growing children, all while offering a space to rent when you need the extra income.
Finding a granny flat builder
With 20 years of experience in Canberra, Acrow Granny Flats offers unbeatable customer service and reliable granny flats. Our range has something for everyone: from standard plans with great inclusions to custom designs tailored specifically to your needs – all at an affordable price. Investing in your property doesn’t get easier than a free quotation from Acrow. See what over 300 other happy customers already know about our quality homes. Visit acrowgrannyflats.com.au for free floor plans and ideas. Call 02 6188 8500 or email [email protected] to book an obligation-free quote or just to chat about the possibilities for your property.
Quick facts (Call out)
- Build Size: Build from 56–90m2
- Likely Investment: From $250-$360k dependent on size and finishes
- Expected approval duration: 6–8 months
- Expected build duration: 12–16 weeks with optimal weather conditions
- Average rental return: $500–600 per week *Based on averages in the Canberra area.
Acrow Granny Flats
Unit 1/80–82 Kembla St, Fyshwick ACT 2609
