Can Granny Flats be Rented Out in Melbourne?

Over the last decade we have seen a huge rise in the number of granny flat builds across Australia’s cities. Originally these constructions were designed to bring in an elderly member of the family so that they could be looked after and retain a good level of independence. Whilst this is something that still takes place, more commonly we find that these flats are constructed on people’s property and then used to rent out, as a nice way of bringing in some cash.

There is plenty of interest from the renter community with regards to Melbourne granny flats, however they have been pretty slow on the uptake, and that is because it has been crippled with harsh regulations around renting out these types of properties.

Meeting The Right Criteria

With regards to whether or not a granny flat can be rented out in Melbourne, the answer is that yes they can, but it isn’t easy. The crux of the issue is that Victoria requires a second dwelling to be moveable and only used by the person who is dependent on the resident of the main dwelling. Now there are some ways of getting permission for a situation which differs from this, but doing this means cutting through so much red tape that by the time permission is granted, the owner may not even want such a property on their land.

Better News On Its Way

What is most surprising about these regulations in Victoria, is that they are the last state to change their policy, and the only one with such tight restrictions. Thankfully this is very much in the process of changing. As of October last year, there has been a trial in place to get rid of the red tape and offer swift permission around adding a second dwelling. The following residential areas are involved in the trial Bendigo, Kingston, Moreland and the Shire of Murrindindi. The aim is to offer an answer around the permission for builds within 10 days of receiving the application, giving properties quicker periods to build their granny flat.

Newer Restrictions

As the restrictions begin to loosen up for this trial, this is a quick look at what exactly will be allowed

  • Height limit of five metres.
  • Maximum floor size of 60 square metres.
  • Must meet the minimum garden, siting and design requirements of the local planning zone.
  • Must have a sink and food preparation area.
  • Must have a bath or shower and toilet.
  • Is a permanent structure.
  • Can’t be subdivided

Generally these newer regulations match with what other states are doing with regards to their own rules on second dwellings. What this will certainly do is increase the ease by which families can bring their elderly members into their care. These changes will also be a step in the right direction for those who are looking to build a granny flat to rent out.

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