Australia is Starting to Rethink Housing
Brisbane, one of Australia’s fastest-growing cities, is drawing more residents with its subtropical climate, relaxed lifestyle, and expanding job market. While this growth benefits the economy, it intensifies the demand for affordable housing, creating challenges in supply and affordability.
New home construction is lagging, and an undersupply is projected through to 2028, resulting in a housing shortage of around 5,000–7,000 dwellings over the next five years. This demand-supply gap is even more pronounced in Brisbane compared to other major cities.
Factors driving Brisbane’s housing shortage include:
- An increase in single-occupant households (~25% of Brisbane homes)
- Rising cost of living
- Soaring rental prices
- Rising construction costs (materials and skilled labour)
Brisbane is now exploring diverse housing options and ways of living, including apartments, townhouses, the versatile Granny Flat.
The Granny Flat: Maximising Property Potential
A Granny Flat is a self-contained unit on the same property as a primary residence, offering a unique way to maximize space. Once modest structures intended for elderly relatives, modern Granny Flats are now flexible mini homes, with a full range of amenities, serving a variety of needs, from extra living space to income opportunities.
According to Archistar, a town planning research group, not nearly as many Granny Flats are being built compared to what is possible, highlighting a prominent untapped development that can address Brisbane’s housing needs and preferences, whilst allowing homeowners to experience their vast benefits. Their report shows, Brisbane leads Sydney and Melbourne in the proportion of properties suited for Granny Flat development. They identified over 184,000 properties—about 23.3% of metro properties—as suitable for Granny Flat construction, with the highest numbers in the following suburbs:
- The Gap: 2,986 potential sites
- Alexandra Hills: 2,789 potential sites
- Redbank Plains: 2,479 potential sites
- Albany Creek: 2,378 potential sites
- Rochedale South: 2,215 potential sites
For a detailed view, Archistar’s 2024 report offers an interactive guide to potential Granny Flat sites: Granny Flat Report 2024 – Archistar
Why Build a Granny Flat?
Beyond addressing Brisbane’s housing demand, Granny Flats align with the city’s growing trend of multigenerational and dual living while providing substantial financial benefits.
Independent Living
Granny Flats are an ideal arrangement for multigenerational households – a popular family centric housing trend in Brisbane. These structures allow family members to maintain their privacy whilst also experiencing the support and connection of their family.
If you’re interested in more information regarding the benefits of multigenerational living, see Urban Granny Flat Solutions’ article: “Multigenerational Living: One of Australia’s Fastest Growing Trends”
Financial Rewards
Renting out a Granny Flat can boost household income, especially as Brisbane sees high demand for affordable housing and Queensland’s Government eases their regulations on renting Granny Flats (find out more from our article: Building Solutions to the Housing Crisis). Southeast Brisbane has recorded a 275% increase in Granny Flat requests, and Corelogic data shows that a two-bedroom Granny Flat could add around 22% to weekly rental yields.
This extra space makes the property more attractive to potential buyers, when the time comes to sell your property, potentially raising property values by up to 32%. This means for a house worth $500,000 a Granny Flat could add around $160,000 to the value of the property.
Flexible Usage
Granny Flats offer flexibility, doubling as living spaces, guest accommodations, offices, or rental units. As family dynamics shift, a Granny Flat can change as your family does, the space can adapt, providing a lasting benefit to property owners.
Building your Granny Flat
If you’re considering building a Granny Flat, it’s important to tailor it to its primary purpose. For instance, if designed for elderly family members, low-set amenities are useful; if for renters, focus on appealing, versatile features.
It’s also crucial to understand Brisbane City Council regulations on Granny Flats. Consulting professionals can ensure compliance with local guidelines and make the building process smoother. Building your Granny Flat with Urban Granny Flat Solutions, ensures a comprehensive process involving the confirmation of regulation approvals as well as designs and finishes unique to you and your needs.
Ready to unlock your property’s Granny Flat potential? Browse some of Urban Granny Flat’s designs and consult with our team to start your Granny Flat journey today.
