Granny Flats in New South Wales


The NSW Govt. has introduced a policy to help families by:

  1. Allowing your granny flat to be approved as complying development in 10 days.
  2. Allowing you to build a granny flat in all residential zones.
  3. Setting clear standards for the building of granny flats.

The NSW Government has made granny flats, easier and faster to build. They aim to help mums and dads create a place for those who need a space of their own, like elderly parents or those generation Y children who haven’t yet left home. These secondary dwellings also give families the chance to use a Granny Flat as a source of additional income in these challenging economic times.

The NSW Government’s affordable rental housing – state environmental planning policy (SEPP) provides a range of planning incentives to encourage home owners and developers to invest and create new affordable rental housing which will take some pressure off the public housing and health sectors. Including a granny flat can be a positive way to add value and flexibility to the use of your home.

A Granny flat is a self-contained extension of the family home that:
Is established in conjunction with a house and is either within the house, or attached to the house, or separate from the house and is on the same lot of land as the principal house and is not on a separate lot, in a strata plan or in a community title scheme.

Granny flats are now permitted in all residential zones across the State, subject to meeting the following requirements:

  1. There is only one house and one granny flat on the lot
  2. The combined total floor area of the house and the granny flat complies with the floor space area controls in the local environment plan
  3. The maximum floor area of the granny flat is no greater than 60 M2 or the maximum floor area prescribed by the council in the local environmental plan
  4. The lot is not subdivided
  5. The granny flat meets planning controls such as building height and setbacks, floor space ratios, and open space in the local environmental plan and/or the complying development provisions in the affordable rental housing SEPP.
  6. The granny flat meets the requirements of the Building Code of Australia.

There are no requirements under the policy to provide any additional parking for the granny flat. A granny flat may occur either with DA consent, or as complying development, as outlined.