A house with a granny flat offers numerous advantages, such as additional rental income. As a landlord, you always have the right to assert personal requirements. So it doesn’t always have to be a stranger who is welcomed into one’s sacred halls: granny flats, for example, offer the perfect opportunity for multi-generational living. In this article you will learn what a granny flat is and how you can put your feet up even with a stranger in your house.
the essentials in brief
- Granny flats guarantee a lot of privacy for tenants and landlords through a separate apartment entrance as well as a separate kitchen and bathroom.
- The additional expenditure for a new building is low, the benefits are numerous: Rental income and tax advantages support the financing.
- Granny flats can be used in many ways: whether Airbnb or multi-generational living – you decide.
The granny flat – between a two-family house and room rental
Section 11 of the Housing Act stipulates exactly what a granny flat is. Unlike subletting a single room, it offers much more privacy for both the tenant and the landlord. Because the tenant has his own kitchen and bathroom. There is also a separate entrance to the granny flat.
This means that the granny flat is a self-contained residential unit. But it remains subordinate to the main residence. So it is not a two-family house. Because although there is a separate entrance, the granny flat does not have its own entrance.
Granny flats – advantages and use
The effort to build a house with a granny flat is hardly greater than that of a house without a granny flat. However, the additional room has some advantages:
- With the regular rental income, you can pay off your loan for the new building more quickly.
- Even later, the rental income guarantees you a relatively secure additional income.
- A granny flat offers practical tax benefits. In this way, you can completely deduct the financing of the apartment from your taxes. You can also claim maintenance costs in your tax return.
- How you want to use your granny flat is entirely up to you. One attractive option is multi-generational living.
Which tenant suits me?
As the owner of a granny flat, you choose a tenant. You have various options, all of which offer a certain appeal:
The easiest way to find a tenant is to place an advert for an apartment in one of the regular online forums. Students or couples often look for a place to stay there. Once you have found a tenant who you like, it is important to be open about preventing potential disputes from the outset. You can decide for yourself how confidential you want to be with your tenant. Joint garden maintenance, for example, is possible, but not mandatory. You should also define clear boundaries for disputes such as garbage cans and separate water, gas and electricity meters in advance and, if necessary, record them in the contract.
You can also rent out your granny flat for short periods of time, based on the Airbnb principle. Constantly changing tenants can be exciting and interesting, but it also means more work. You also have greater wear and tear on the furniture and the risk that the granny flat will be empty for some time.
The currently most attractive option for using a granny flat in a single-family house is multi-generational living. With family members under your own roof, you don’t have to take in strangers. Grandma and Grandpa can replace the babysitter and you can offer your parents a relaxed old age close to you. At the same time, all parties are guaranteed a certain degree of independence and privacy.
All in all, granny flats open up numerous possibilities. At the same time, they hardly represent any additional work for a new building and are therefore particularly suitable. For more information about building a granny flat, read the following article on building granny flats .