Earning an income from your granny flat can be a great way to supplement your regular income. Earning money from granny flats is an easy process until you get to build it. Designing granny flats is a big deal and will require a lot of work, but once your granny flat designer finishes building your granny flat, it is easy to earn additional income or money from the granny flat.
We granny flat experts came up with a list of ways to earn money from your granny flat which will help you to start earning income from your granny flat. These ideas will help you earn extra income which will fund your living expenses and even pay off some of your debts as well. This blog post explains ways to earn money or additional income from the granny flats.
10 Ways to Earn Additional Income from Your Granny Flat
Following are the simple 10 ways for earning money from the granny flats. Create a passive income source by renting out your granny flat.
1. Rent the granny flat
The first and most common way to earn additional income from granny flats is to rent them out. If you are living in a desirable location for a granny flat and have a well-designed and functional granny flat, you can charge higher rent. Many landlords prefer living in one of the granny flats attached to their houses rather than staying in hotel rooms or rented apartments for a long period of time.
2. Room sharing
By letting out a room in your granny's flat, you can earn an additional source of income from it. Many people live in hostels and share their rooms to save on rent. However, if you are living in a trendy neighborhood and have a well-designed and functional granny flat, you can rent out your room for a decent price and earn more money.
3. Use rental websites
Rental websites like Airbnb is a great website that allows you to rent out your property like an apartment or a granny flat and earn good revenue every month. It offers free registration and hosting for a property that is listed on its platform. Airbnb also allows you to list multiple properties including your own granny flat on their website. They can even help you get your granny flat listed on their website for free. Airbnb is an excellent way to generate extra revenue for your granny flat.
4. Host an event at your granny flat
You can host any event at your granny flat like a birthday party, engagement party, etc. and make money out of it. You can also have a garage sale and sell some of the items that you no longer use to make additional income. If you have enough space, you can also host a small flea market event on the weekends and make decent money from it. See our Custom Granny Flat Designs to build your granny flats
5. Use as your business office
If the purpose of building your granny flat was to have an extra office or workspace for your business, you can use it as such and earn money from it. If you already have a business, you can use your granny flat as your official office and save on monthly rent for your office premises. Also, if your business is online, you can save on utility bills as well by working in the granny flat.
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6. Hire it out to a tenant
If your granny flat is empty most of the time, you can use it to hire out to a tenant and earn additional income out of it.
7. Use granny flats as motel/hotel rooms
If your granny flat is designed like a hotel and has all the essential facilities to accommodate guests, you can use it as a motel and earn a decent amount of money from it. (Take a Look at our fabulous Completed Granny Flats projects 😊)
8. Sell food and drinks from your granny flat
If you own a kitchen in your granny flat, you can sell food and drinks from the granny flat to your neighbours and make some extra money on the side. This is a great idea if you have a big garden with a lot of fruit trees in your backyard.
9. Rent a parking spot from your granny flat
If you own a parking space in your granny flat, you can rent it out to tenants looking for parking and generate some extra income every month.
10. Use granny flats as storage space
If you are running out of space in your house to store your belongings, you can use your granny flat as storage space and make some extra bucks from it. Just remember that before you rent your granny flat for storage purposes, you need to inform your landlord about the rules and regulations regarding the use of your granny flat as a storage space and make sure he understands your concerns and needs before you start renting it out to tenants for that purpose.
How to earn money from different types of granny flats layouts or designs
As per our Granny flat solutions, the flat granny flat layouts or designs there are different types of granny flats and the options listed below can help you decide how to generate income from your granny flat.
1 Bedroom Granny Flats: These types of granny flats are perfect as rental properties for students, singles, or couples and can be easily rented out on a short-term basis. The rent for these types of granny flats can vary based on the size of the property as well as the location. For example, a one-bedroom granny flat located in a prime area with good facilities and amenities can easily fetch a higher monthly rent as compared to a one-bedroom granny flat located on the outskirts of the city with poor facilities and amenities and a less favorable location.
2 Bedroom Granny Flats: These types of granny flats are also popular rental options and have a high demand for rental accommodation. A two-bedroom granny flat can easily accommodate a family of four and can be used to rent the room or as a whole unit. The rent for this type of granny flat is usually higher as compared to that of a one-bedroom granny flat because of the size and accommodations provided.
3 Bedroom Granny Flats: This type of granny flat is the largest and most luxurious of all granny flats. These granny flats are suitable for large families as well as small families looking for a spacious and comfortable home. The rent for a three-bedroom granny flat is generally higher than that of the other types of granny flats due to the larger size and spaciousness of the apartment.
In conclusion, making money or extra income from your granny flat is not a big deal, but building a granny flat needs some effort. There are many ways in which you can use your granny flat to earn some additional income on the side without having to spend too much money on the renovation of your granny flat. So, if you want to build a granny flat so you can make money out of it, you need to carefully plan the design and layout of your granny flat in order to maximize the revenue-generating potential of your granny flat so that you can make the most out of it without having to spend a lot of money on renovating it.
The Granny Flat Experts blog is a leading Australian website for providing advice and information about granny flats.
FAQs On Earning income from granny flats
Q: How should a granny flat be designed so that it can generate maximum revenue from renting it out?
Ans: Building a granny flat is not an easy task because you need to have a clear plan for designing and decorating your granny flat so that the design and layout of the granny flat can optimize its revenue-generating potential of it.
Q: Which accessories should be included in a granny flat to maximize its earning potential?
Ans: The accessories and facilities that a granny flat should include to maximize its earning potential include a spacious living room, kitchen, bathroom, bedroom, storage areas, etc. Apart from that, you can also consider adding an alfresco area in the granny flat if you want to generate more revenue by renting it out for parties and other social gatherings.
Q: How can a granny flat add value to a home and generate additional revenue?
Ans: A granny flat can bring immense value to your home and provide extra revenue by increasing its value, boosting the overall value of your property, and providing you with an extra source of income. It can also provide your family members with extra living space if needed, which comes in handy, especially during emergency situations such as natural disasters or accidents. Moreover, granny flats can also be rented out to generate an additional source of income, which is especially helpful for individuals who do not have a full-time income at the moment.
Q: What are some factors you should consider when designing a granny flat that will generate optimal revenue from renting it out?
Ans: When designing a granny flat, you should always make sure that you consider factors such as the size of the apartment, the amenities that the tenants require, the location of the granny flat in relation to the property that it is attached to, etc. These factors play a significant role in determining how the granny flat will perform in terms of generating revenue for you. By carefully considering these factors, you will be able to design the perfect granny flat that will be able to bring optimum revenue for your property.
Q: How do you assess how much rent to charge for a granny flat and how much rent you can reasonably expect to receive?
Ans: To determine how much rent to charge for a granny flat, you need to assess the rental income that you can reasonably expect to receive from your apartment and then set an appropriate monthly rent rate accordingly. You should take into consideration various factors such as the condition of the apartment as well as the amenities and facilities that you offer to the tenants in order to come up with an accurate assessment. Once you have assessed all the necessary factors and determined a suitable rent rate for your unit, you can then go ahead and rent out your granny flat to interested tenants at that price.
Q: Can I use my granny flat as a motel?
Ans: Yes, you can convert your granny flat into a motel. However, you will need to obtain the necessary permits in order to be able to operate a motel on the property. You will also need to install the proper safety devices such as smoke detectors and fire extinguishers to ensure the safety of your guests.
Q: Can I convert my Granny Flat into an office/workplace?
Ans: Yes, you can convert your granny flat into an office or workspace provided that you meet all the requirements of your local building code and obtain any necessary permits. You also need to consider the cost of converting your granny flat into an office or workspace and make sure that it is financially viable to do so.