Changes to secondary dwellings in QLD

Click Realty welcomes the changes to allow the renting out of secondary dwellings, known as 'granny flats', without the need for development approval.

This is exactly the type of urgent action needed to address Queensland's housing crisis. The move makes secondary residences available to people outside of immediate family and broadens the range of options for housing smaller households, such as students, singles, seniors, and couples.

With the changes, many homeowners may now consider either renting out their existing second dwelling or looking to have another dwelling added. As always, there are many factors to consider before determining if renting/building a second dwelling is right for your situation; here are a few points to consider before deciding:

• The change in the Planning Regulation has been approved for three years. While it's noted by Deputy Premier Steven Fry that it will be reviewed to ensure there were no unintended consequences and consider future housing supply, there are no guarantees that it will be extended.
• Ensure the building is compliant with all requirements, in particular, fire safety. Renting your space out as a separate dwelling may require fire separation work and the installation of smoke alarms. Check with a building inspector or certifier.
• You will need to meet all relevant Queensland tenancy laws and changes.
• Check with your local council as to any requirements and find out if renting this will impact your rates.
• Consider electricity and water usage and whether you need changes to how they are metered.
• Check with your insurer if you need landlord insurance and if they require anything else before you can rent out the space, and
• Check the tax implications with any rental income.

If you have considered these factors and your personal circumstances than a second dwelling can be a great way of generating an additional passive income to help with the rising cost of living.

Frequently asked questions:

What do the changes mean for the planning framework?
The changes to the Planning Regulation will remove controls around how members of a household live together. This recognises that the relationships of occupants in a dwelling and how they interact with one another should not be considered in a planning assessment of how land is used.

The changes will provide state-wide consistency in the way a dwelling and secondary dwelling may be occupied.

When do these changes come in effect?
The changes to the Planning Regulation regarding secondary dwellings will take effect on Monday, 26 September 2022. The Queensland Legislation website will be updated at this time.

What does this mean for new secondary dwellings?
Any new secondary dwelling will be able to be rented to anyone, regardless of whether they are related to the occupants of the primary dwelling. This means more options for renters and provides the opportunity for owners to receive additional income from renting their secondary dwelling.

For any new secondary dwelling, you will still need to speak with your council to understand if you need development approval for a secondary dwelling, as this has not changed.

Any new secondary dwelling will still require building approval.

What impact do the changes have on local planning scheme approval requirements for secondary dwellings?
The changes do not remove the requirement to obtain any relevant development approvals, building approvals or requirements under other legislation, such as in relation to fire safety.

How is a secondary dwelling different to a Dual Occupancy?
A secondary dwelling is used in conjunction with, and subordinate to, another dwelling on the same lot. Generally, a secondary dwelling is smaller in size and scale, commonly known as a granny flat.  A secondary dwelling cannot be developed by itself as it always accompanies the main dwelling.

A Dual Occupancy is two dwellings on the same lot or two dwellings on separate lots that share common property such as a driveway and front yard area.  A Dual Occupancy may have two dwellings of the same or similar size and scale as each other.

What does it mean for me if I have an existing secondary dwelling (granny flat)?
If you have an existing lawful secondary dwelling (associated with an existing dwelling house), you don’t need to do anything.

If you have a secondary dwelling that did not need planning approval, or the planning approval for the secondary dwelling does not contain conditions about occupancy, it can now be rented out.

In circumstances where your development approval contains conditions that restrict its occupancy, you may need to follow the usual process outlined under the Planning Act 2016 for making a ‘change application’ to change to the existing conditions.

Before you rent your secondary dwelling, you will need to check if additional building works are required to be undertaken that need a building approval, particularly in relation to fire safety.

What Fire Safety and compliance considerations or rules will be put in place?/What Building codes and compliance considerations or rules will be put in place?
There is no change to the fire safety or building framework as a result of the amendments.  However, a change to the way in which an existing secondary dwelling is occupied may trigger the need for a building application. Each homeowner will need to ensure their secondary dwelling complies with building code requirements so accommodation for renters is safe as well as complying with any other local government or legislative requirements.

For example, if the use of a single dwelling with a granny flat changes to a single dwelling with a rented out secondary dwelling, then additional fire and sound transmission requirements of the building code will apply.

For information about any additional requirements, advice should be sought from a building certifier. A list of licensed certifiers can be found here.

What tenancy agreements will be required?
Tenancy agreements are available on the Residential Tenancies Authority’s website. There is no change to how a tenancy agreement would be made. The Residential Tenancies Authority provides advice on the type of agreement that would be required depending on the form of accommodation. For more information about tenancy agreements, visit Tenancy agreements | Residential Tenancies Authority.

If you have additional questions or would like assistance in managing your rental property, visit our contact us page and our team of professionals will be happy to assist.