A Solution to the Housing Crisis

Granny Flats in Sydney

Sydney is grappling with a severe housing shortage. The projected deficit between household formation and housing supply in Sydney over the next five years is 12,100 dwellings. This scarcity is clear in rapidly escalating rents, making housing unaffordable for many Sydneysiders.

Granny flats are a practical and affordable solution to this issue. They offer a way to quickly increase housing options, without the need for extensive and time-consuming new construction.

Archistar CoreLogic Blackfort Granny Flat Report Image

Can I build a Granny Flat at my address?

Your property may be one of the 655,000 identified as being suitable for a granny flat. Find out by clicking through to this search tool created by Archistar & Blackfort.

Archistar identifies Granny Flats in Australia

Unlocking Sydney’s Housing Potential

The potential for granny flats to make a real difference in Sydney is immense. Data reveals that 242,081 properties across the Sydney metro area are suitable for granny flat development. This represents a significant 17.6% of all properties in the region.

The impact of adding hundreds of thousands of new dwelling units to the market would be enormous. 34.3% of these properties are conveniently located within 2km of a train or light rail station, offering easy access to public transport. An additional 18.5% are in suburbs with a hospital, making them ideal for essential workers.

Top Suburbs for Granny Flat Development in Sydney

The council areas with the highest number of potential development sites are Central Coast; Northern Beaches; Hornsby; Blacktown; Ku-Ring-Gai; and The Hills, each having more than 14,000 suitable sites. Looking at suburbs, the top 5 suburbs are:


Suburb NameNumber of Potential Granny Flat Sites
Baulkham Hills4,673
Castle Hill (NSW)4,423
West Pennant Hills2,698

Financial Benefits for Sydney Homeowners

Building a granny flat in Sydney not only offers a quick solution to the housing shortage, but it can also be a savvy financial decision for homeowners.

With the potential to increase your property value by 32%, it’s an investment that can boost your equity. Additionally, you’ll enjoy a new weekly rental income, which can be used to help with mortgage payments or other expenses.

Why Build a Granny Flat in Sydney?

Sydney’s vibrant lifestyle, strong economy, and diverse population make it a prime location for granny flats. The demand for rental properties is consistently high, ensuring that your granny flat won’t stay vacant for long. Granny flats are an affordable housing option for young professionals, new families, and even downsizing retirees.

By building a granny flat, you can tap into this thriving market and enjoy the financial rewards.

Regulatory Considerations in Sydney

Before building a granny flat, it’s crucial to understand and comply with the specific zoning and building regulations in your local council area. This includes restrictions on dual occupancy, building count, and space evaluation.

Consulting with professionals or local authorities can help you work through the process smoothly and ensure your granny flat meets all necessary requirements. If the plan meets specific requirements, it might be possible to lodge an application for the granny flat as a complying development. This could see approval granted within 20 days.

Is your Sydney property suitable for a granny flat? Find out by using our address search tool and take the first step towards unlocking the hidden potential of your home. If it is, you can use Archistar to generate hundreds of potential designs based on the standards in the State Environmental Planning Policy (Housing) 2021.

Archistar identifies Granny Flats in Australia

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