No flat price for granny flats

BUNKING in with adult children might seem like a no brainer. You can enjoy your family and your freedom at the same time.

Building a granny flat can include many secret costs ramping up the price while potentially straining family relationships.

Research by Macquarie University associate law lecturer, Teresa Somes, found older Australians risk losing everything if they move into a granny flat and circumstances change, or they fall out with their family.

“We don’t know the real numbers because [officially] we only know the cases that have gone to court, but anecdotally, problems are very common,” she says.

Furthermore, building a granny flat can set you back costs in surveying, soil testing, building approvals, and other hidden fees.

Before choosing a builder or making retirement plans, make sure you understand all required costs so there are no rude surprises.

If you do choose to bunk in with the kids, remember there are many ‘whatsifs’ to consider, like what if you want to move later or your circumstances change. Remember, knowledge is power.

“Usually, they go into these arrangements because something has happened,” Teresa says. “The parent may have been widowed or had a fall and the children are concerned about them living alone. They don’t think about what will happen if the parent wants to leave later on or something else happens to change things.”