very cheap granny flat builder - should i be worried?

Hi Brazen,

$2,500 Draftsman
$300 BASIX Assesment
$1,200 Survey
$1,300+ Hydraulic Engineer
$1,200 Structural Engineer
TOTAL: $6,500

For the costs above - do you absolutely need them to build a GF?

I will be building one soon but I have no idea about how to do anything other than finding the house (which I've already found) - so I will need to outsource everything.

Assuming I have found a builder, what do the above services achieve and can you go without them if you've already found the house and builder (and it meets the NSW requirements etc...?)

If not I am sure to give you a call soon!

Your builder will hire these people for you. He'll need them as part of the job.
You could always ask him if he'd like to hire us.

We have quite a few builders coming to us to take care of their approvals. Most builders hate doing the paperwork and it will save (you) money.
It really lets them focus on your building and not chasing approval documents up and down the street as well :)
 
Interesting - thanks for that. I should get a discount off the building then right?

The one issue I know of (to date) is that the property is on a sloping block (maybe 30 degree angle) and so the stormwater will be going into the neighbours garden (behind the house.) I've been advised this will cost a little extra to connect the services of the new building (not by a builder).

Do you guys help sort this out?
 
Interesting - thanks for that. I should get a discount off the building then right?

The one issue I know of (to date) is that the property is on a sloping block (maybe 30 degree angle) and so the stormwater will be going into the neighbours garden (behind the house.) I've been advised this will cost a little extra to connect the services of the new building (not by a builder).

Do you guys help sort this out?

RE: Discount for Building
I don't know. I suppose if you've signed a contract that you're legally stuck with it aren't you? If not, then yea, he should pass any savings onto you.

RE: Drainage
oooh ok. 30 degrees is quite a lot.
When the property slopes away from the street, stormwater disposal is definitely an issue that requires careful planning.

By "stormwater will be going into the neighbours yard" I hope you mean there's already a registered drainage easement behind (or on) your lot that services storwater drainage? If not, you can't just 'drain into your neighbours garden'. You'd have to formally ask for a drainage easement. These cost tens of thousands of dollars to do. I expect you know that, so I'll assume there's an existing drainage easement there already (not Sewerage Easement, that's different again)...You can check your Deposited Plan (it's in the contract). Look for a dotted line at your back boundary.It will have a key ( a letter or symbol) and it will say something like 'Eaement for Drainage 1.2m Wide and Variable' ~ something like that.

If there isn't a drainage easement, there is an option via on-site dispersion but this has to be designed very carefully and in accordance with the relevant Australian Standards for Stormwater Drainage (Australian Standard - AS 3500) and in compliance with your Local Council's 'Stormwater Code'. A 30 degree slope usually means designing 'level spreaders' to stop water creating grooves or channels in the soil . The work must also be carried out by a suitably licensed plumber. Your builder will make sure of that I expect.

This is a good example of knowledge being power.
If you know what you're doing, you can save a lot of money. If you don't, you could be up for tens of thousands of dollars for easements, surveyors, engineers etc..

We did 'Virgo's' Dispersion System design last year ourselves (her block also drains to the rear), and we did it for free. The drainage engineer alone would've charged her around $2,000 for this.

There are (very rarely) instances where we are forced to use a hydraulic engineer but this is in extreme cases and we get 'trade' prices from these guys. We pass these savings onto our client (poor bugger is usually already in shock)..

So just be sure your builder is clear and explains what he's doing there before you proceed. I'm sure he knows what he's doing. Just be sure he explains it to you clearly. Feel free to run it by me via PM.

You simply do not want to get caught out with drainage (nor sewer) issues.
 
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That's the thing - I have no idea what I am doing :p - which is why I will need help.

I know there are no problems with stormwater for the original house - just not sure about the granny flat since the land is sloping downwards.

There will be no point buying the house if it will cost 10k+ to sort the issue out - so in the cooling off period I will need to make sure everything is ok.

I know I cannot just drain onto the neighbours yard which is why I am concerned at how to fix this issue.

Can you guys help with this issue if I use your services?
 
Actually the thought that occured to me, was that $75K was at the top end of a reasonable price and the $100-120K prices you obtained were builders just trying to cash in on the granny flat construction boom.

for that price (100-120K) you could build a 150sqm house 3 bed 2 bath 2 garage spaces.
 
feel like I'll be a granny before I get the flat.

I know people who can do 2 bedroom for $65,000.

who?
I have been researching for six months. I was most unimpressed with grannyflats aust so if you know of anyone else worth contacting i would greatly appreciate any help.. I thought I had mine all organised but had a last minute problem that I had hinted would likely be a problem six months ago but the company just told me we'd be right. We weren't. The problem was protected trees in the street and so I could not have a grannyflat winched over the house. My research has been exhausting. I want a basic one bedder 50sq metre flat. Nothing fancy. My house is clad , so it would be nice if it matched. Any help you can offer would be greatly appreciated. kind regards, julie
 
$65,000 is very cheap, and that must be very small granny flat with very cheap materials.

I charge $100,000 for a 61sqm 3 bed brick veneer, tiled roof with 20m2 garage and i hardly make money on it, anyone charging less is obviously cutting corners somewhere or you are not comparing apples with apples.

I do Southern Sydney areas.
 
Very interesting^^.

In my experience, a quality (60 sq m) granny flat costs around $100,000 for weatherboard including approvals. This is on concrete slab, 22 degree hip-roof, 600mm eaves to turnkey completion. Add about $7,000 for brick-veneer.

Some jobs may need demolition of an old garage/shed, tree removal and excavation for steeper blocks as well. This adds to the cost.

On the other hand, I do have builders who can build a 2 bedroom (45 sq m) granny flat for around $65,000 including approvals. This is on steel (uni-pier) pierss, 5 degree skillion roof. Quite basic but good quality.

Ive recently come across a builder who has given me a price for 60 sq m for around $85,000 but is yet to be tested. He claims to have very fast teams who can whip these up in 4 weeks.

I have personally project-managed townhouse developments and cluster-homes where Ive seen incredible speeds achieved in duplicationg builds over and over again. Builders pay tradesmen who in turn pay cheap(er) labour etc..

The good thing with us is we are constantly on the hunt for quality builders and we (in effect) tender the work out so we can get our clients the cheapest prices.

The builder's work quality MUST be scrutinised too.
 
I've seen quite a few for $75k but not sure about quality.

Really though - is it worth $25k more for reputation/better materials? Pretty much same rent from both builders.
 
Do you go rural with the granny flats Brazen? North NSW and West NSW 5 hours either way?

So far we've been as far west as Orange (about 3.5 hrs) and north to Newcastle. I know that one of our builders will go anywhere north (he's from Port Mac) but not sure about 5 hrs west (the Orange job had his own local builder).
 
$65,000 is very cheap, and that must be very small granny flat with very cheap materials.

I charge $100,000 for a 61sqm 3 bed brick veneer, tiled roof with 20m2 garage and i hardly make money on it, anyone charging less is obviously cutting corners somewhere or you are not comparing apples with apples.

I do Southern Sydney areas.
Hi Veseli,
Having done 2 x 2BR granny flats now, how in the world do you fit in 3 BR's in a 60m2 foot print? have you got a plan showing what it looks like? Somethings gotta give...
 
Hi Veseli,
Having done 2 x 2BR granny flats now, how in the world do you fit in 3 BR's in a 60m2 foot print? have you got a plan showing what it looks like? Somethings gotta give...

I don't know about Vasili, but here's a couple of jobs we've done with 3br- and yes, something's defintely got to give in order to make this work.

Number 1 was for Uni students. Each bedroom had it's own bathroom too...but very little living area.

Number 2 was for a 5-person family behind the in-laws place (very tight) but it's what they wanted.

Take a look (I hope the file's not too small):
 

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I don't know about Vasili, but here's a couple of jobs we've done with 3br- and yes, something's defintely got to give in order to make this work.

Number 1 was for Uni students. Each bedroom had it's own bathroom too...but very little living area.

Number 2 was for a 5-person family behind the in-laws place (very tight) but it's what they wanted.

Take a look (I hope the file's not too small):
Thanks Brazen,
I see, the layout reminds me of a Camping Lodge, where the only shared area is the Kitchen, but as you said if the target is Students what more do you need (especially for Rental income).
I wanted to ask, if you built a 2BR granny flat, but had the internal design built so that in a way later (post construction completion) to add an extension on to it quite easily, what the issues would be to do so, i have more than enough land at my place however i could only build a 2BR Granny Flat, couldn't subdivide or build Villas because the land is not 2B (multi-res). I thought of building a large porch then adding a roof and perhaps some gyprock walls. Trying to think outside the square :)
BTW your posts are extremely helpful.
 
Thanks Brazen,
I see, the layout reminds me of a Camping Lodge, where the only shared area is the Kitchen, but as you said if the target is Students what more do you need (especially for Rental income).
I wanted to ask, if you built a 2BR granny flat, but had the internal design built so that in a way later (post construction completion) to add an extension on to it quite easily, what the issues would be to do so, i have more than enough land at my place however i could only build a 2BR Granny Flat, couldn't subdivide or build Villas because the land is not 2B (multi-res). I thought of building a large porch then adding a roof and perhaps some gyprock walls. Trying to think outside the square :)
BTW your posts are extremely helpful.

I just had a client do that^^ exactly. Patio has been approved (30 sq m extra) on top of the 60 sq m granny flat and he plans (cough cough, unofficially) to 'enclose' a portion at a later date.

Ofcourse he wont enclose it. Never will. EVER :)
 

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