Granny flat vs dual occupancy vs subdivision

A plain-English decision framework for choosing the right small development path.

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Three different plays

Granny flats, dual occupancies and subdivisions solve different problems. The highest-value path is not always the highest-density path.

PathBest forMain risk
Granny flat / secondary dwellingRental yield and family accommodation with lower planning complexity.Limited resale separation and local size/access rules.
Dual occupancyTwo dwellings on one title or eventual subdivision where allowed.Frontage, private open space, parking and neighbourhood character.
SubdivisionSeparate lots and clearer end-value realisation.Minimum lot size, services, access, infrastructure and approval risk.

What adds most value?

The winner is the option that produces the highest risk-adjusted residual land value, not the option with the biggest headline yield.