Legislation has since made it easier for individuals to build granny flats. With their unlimited uses, they have since become a favorite structure for many homeowners. Before building your granny flat, there are some considerations that you ought to make beforehand. It is particularly you weight the benefits against the risks and see if the project is viable and beneficial, in the long run.
Potential for Extra Income
Most homeowners are putting up granny flats since they have the potential to attract extra income. The extra space in the granny flat can be rented out, or the homeowner may move into the flat and rent out the main house.
The various uses that the flat can be put into also save money in various ways. If, for instance, the flat was to be turned into a home office, the homeowner saves a lot of cash that would have gone into renting an office space in a commercial building. This on top of the other expenses that are eliminated by working from home such as transport and eating out money.
Increased Home Value
A granny flat can raise the value of the property considerably. This is because it will represent extra space for which there is unlimited use. Large families will love such a home and so will investors who realize the extra income that can be reaped from the flat. Talking to a genuine real estate agent will help you discern exactly how much value will be added to your home after the flat is built.
Spreading the Income Risk
Many folks have a single source of income; their job. As we have already established the flat can be a second source of income. This is especially of it is added to an investment property. Even if the main property does not bring in any rental income, it is unlikely that the flat will go for long without bringing in some income.
Tax depreciation the flat offers the homeowner extra claimable on the depreciation schedule. The homeowner can thus have a claim of good paper losses which considerably offsets the tax payable each year.
From the above it’s obvious that building a granny flat is a terrific investment for a homeowner. It has various monetary benefits that are real and thus benefit the homeowner, in the long run. Nonetheless, there are certain risks that may be associated with the flat. Talking to a reliable property manager and granny flats builder Perth will give you insight on such risks.