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Its because there aren't any comparables for valuers to use. It seems that all the houses with granny flats are actually "can be used as a granny flat STCA" meaning they are unapproved dodgy garage conversions. As for the legitimate ones, devank sums it up nicely as to why they don't exist on...

Btw, is it granny flats australia (Cid) building your granny flat? You - You broke it, you fix it. However if they neighbour wants it replaced, then I would say half. If they want to be a pain and insist you pay for the whole fence, then I would replace the slightly broken pailing and restore...

I just left mine as is. Looks fine. Just make sure the builder remembers to cut of the excess plastic thingy they put on (I assume its for waterproofing?).

I think this sums it up. But every investor has their own opinion. I dont look at the fact the increased ceiling height gets me more rent, but in my opinion it can help reduce the vacancy time of a property because the granny flat doesnt feel like a shoebox, hence making it more attractive.