So you spend a lot of time (and money!) building a granny flat or converting your garage into a studio thinking it would be a perfect place to accommodate an elderly relative or even use it as an office; but the truth is, it's empty most of the time!

So what about turning it into an income generator? 
 

What is a Self Contained Unit?

In Ireland the term granny flat is commonly used to describe something that is not exclusively a flat. It can be a log cabin in your garden, a converted garage, or a separate studio built inside your house.

In fact, a more accurate way to describe this type of accommodation is a self-contained unit. 

As the name suggests, a self contained unit means that everything a renter needs is inside a private space. This unit is located on the same grounds as your main home; directly attached to your home or in your garden. It is a second, smaller and more basic accommodation than your main house.
 
It includes at least a bed, a bathroom, a kitchen and heating system. 

It can have a separate bedroom; or the bed can be in the main room. The unit can have as many as 4 rooms (a separate bedroom, kitchen, living room and bathroom) to as little as 2 (with only the bathroom being separate). 

The size of those units vary considerably, so it's not necessarily just small spaces! 

Are Self Contained Units Popular For Renters?

Self contained units are actually very popular for students or young professionals; as they offer more privacy than shared accommodation while being more affordable than a standard studio or one bedroom apartments.

At the same time, landlords appreciate receiving rental income without having to share their main home. It's also a great way to use your property to pay the mortgage...for your property. A virtuous cycle some would say! 

Real Potential

The rental potential of a granny flat has consistently increased over the past few years in Ireland, due to a rise in the rental market on top of a lack of available properties.

The state has also offered great incentives for landlords to rent out these self contained units, allowing them to be exempt of tax (up to €14,000 a year, under Rent-a-Room relief scheme). However, keep in mind that to be eligible for this relief scheme, your self contained unit must be attached to the main house.   

We foresee this trend continuing in the next few years; so it's not too late if you're just at the stage of wondering whether or not to build a self contained unit, and it could be a real asset for your property.

Regulations

As building regulations may differ according to your local authority, if you plan on building a granny flats/self contained unit, we recommend that you first have a look at the government websites such as citizensInformation.ie 

That way, you can check if there are special regulations in place for your specific location. Better safe than sorry!

Self Contained Units and Hosting Power 

If you have a self contained unit, we want to hear from you!

Those units are among the more popular accommodations on our website. And don't forget; we will do all the hard work for you: from pricing your granny flat to vetting your future guests. All, for free.

Apply now for more information.  

In Summary

Renting out a self-contained unit, or granny flat, is a great way to earn a substantial income while maintaining the privacy of your home.
 
A self contained unit is something that provides the occupant with everything they need in one unit. If your unit is attached to your home you will be able to rent it out tax free under the rent-a-room relief scheme.
 
We are currently looking for hosts who wish to rent out self-contained units! 

Are you ready to become a Hosting Power Host?