Granny flat investment returns 15-20% gross yield โ compare with 3-4% on a $900K Melbourne investment property. No stamp duty. No second mortgage. No planning permit under VIC's new law.
Three precision-engineered granny flats. Factory-built, VIC compliant, investor-ready.
From $150K in any solid Melbourne suburb โ outperforms almost any other investment.
design, building permit, construction, handover. land already owned. no stamp duty.
depending on size (42.8-58.8sqm) and location. modern 1-2br granny flats rent fast.
before management fees (~8%). against $150K all-in, that's a 14-19% gross return.
VIC new law exempts granny flats โค60sqm on โฅ300sqm lots. building permit only (3-6 wks).
Choose your approach. We build the vehicle, you drive it.
Tenant pays $400-700/week (long-term lease). Property manager handles everything. Modern 1-2br units rent within days in Melbourne.
$120-200/night for a modern, well-finished 1br unit. Higher return, more hands-on. Ideal for lifestyle suburbs and coastal areas.
Estimated returns based on current rental data and real product sizes. All assume a 58.8sqm 2br unit.
All prices all-inclusive. No planning permit needed under VIC's 2026 law. 7-star energy rated.
Real returns from real melbourne properties.
No. Victoria's Small Second Dwelling law (effective March 2026) allows a granny flat up to 60sqm on a โฅ300sqm residential lot without a planning permit. You only need a building permit (3-6 weeks). All three of our models (42.8, 45.5, and 58.8sqm) qualify. No neighbour objections, no council delays, no months of waiting.
Yes. The old DPU (Dependent Person's Unit) rules have been replaced. Under the new law, anyone can live in or rent out a small second dwelling โ family members, unrelated tenants, Airbnb guests โ no restrictions.
A $165K granny flat yields 16-18% vs a $900K house at 3%. On $165K invested: ~$28K/yr vs ~$5K/yr. No stamp duty, no land tax, no second mortgage stress test. And with the new law โ no planning permit either.
All models meet Victoria's 2026 requirements: 7-star NatHERS energy rating, Livable Housing Design Standards, and all-electric (no natural gas). A registered building surveyor certifies compliance during the building permit process.
Yes โ check your council's short-stay rules. Best approach: live in the main house and airbnb the gf, or put long-term tenants in the main house and short-stay in the gf.
A new granny flat qualifies for div 40 + div 43 depreciation. Typically $3-5K/year in tax deductions for the first 10 years. Your accountant can confirm.
Melbourne's rental vacancy is under 1.5%. Modern granny flats in good suburbs rent within days of listing. Many investors have tenants lined up before construction finishes.
We'll visit your property and produce a custom report: build cost, rental projections, gross yield, and property value uplift. No obligation.
get my investment report โ