
If you are reading this post, you are probably one of the countless Sydney residents in search for new opportunities of home expansions and financial enhancements of already existing properties. We all need an extra bit of space from time to time, or we are considering moving in order for our families to grow into a more accommodating place. However, the NSW housing market is often ruthless, and considering the average listing price of newly-built properties in Sydney has surpassed $1.5 mil, chances are your options at the moment are a bit limited.
Why invest in the services of home builders? There are many reasons, but perhaps the most relevant one is that the expert you call with be familiarized with the bureaucracy specific of Sydney’s new building projects and will handle everything from the design phase of your ADU or home extension to applying to or providing assistance for the documentation required before starting the construction process. Sydney is characterized by one of the most competitive real-estate markets in the world, with prices for listed properties that have more than doubled in the last ten years. However, it is also a city filled with regulations and compliance requirements that can be tough to navigate for someone without experience in this area.
From the State Environmental planning policies, to the zoning laws and the documentation required for obtaining council approval for new building projects, navigating the NSW bureaucratic environment can be challenging and time consuming, even more so if you are planning to be involved in the designing phase of your project. Home extension builders can handle these tasks for you, ensure your building project is within budget, and help you put your designs into motion.
How Can Home Builders Help with Property Extensions?
Well, first of all, the home extension builders you call will perform a general assessment of your property and determine if it passes the structural requirements and zonal agreements to qualify for an extension project. Do you simply want to add another exterior wall to one of your rooms? Then, that might fly a bit under the radar, which is a good thing, as you will probably only need to obtain a NSW Complying Development Certificate, like it’s the case with granny flats. However, if you decide to go for a more extensive renovation of your dwelling, you will likely need to get a Development Application from your local council. Which can take some time.
Simultaneously, if the construction project performed by the home builders will cost more than $50,000, you will also need to apply for Building Sustainability Index certification, which will then be valid for three months after the issue date. The home extension builders will also help you arrange HBCF insurance for the construction project, offer assistance for the OC application, be present for PC visits, and handle pretty much everything else, from budgeting the materials necessary for the finalization of the construction project, to helping present a realistic time frame for the extension’s completion date.

What Is the Difference Between a Home Extension and an ADU?
In Australia, ADUs, also known as granny flats, are self-contained secondary living units that must be constructed adjacent to a primary property while also not boasting an internal floor plan larger than 60 square meters. Since they can be constructed under a CDC, the documentation required for ADUs construction is quite straightforward, and in many ways, it is a bit easier to submit than is the case with conventional home extensions. So, are they a better choice? That depends on how you want to use them, and the budget you allocate to the home extension builders.
Home extensions are not building separated from the main property, but rather parts of them that, like it’s the case with ADUs, can be later utilized both as means of secondary income as well as traditional home expansion projects that can increase your property’s square footage. When built by home extension builders, these projects do not have a strict limit when it comes to their size limits. However, as a general rule, the extension should follow the FSR ratio of the main property’s GFA. What does this mean? Well, it depends.
In Sidney, the FSRs for R2 zones varies from 0.5:1 to 0.75:1. So, in the worst-case scenario, you are allowed a home extension with a maximum size of 127 square meters, which is more than double the size of a granny flat. Home extensions can be more in-depth than the construction of ADUs and necessitate a greater financial investment. However, when the alternative is in many cases relocating to a new property, the services of experienced home builders with expertise in complex extensions should be an option to consider.
So, Which One Should You Choose?
It really depends on your budget and preferences. Home extensions are primarily used to enhance the living space of your already existing property and are typically seamlessly integrated into the floor plan of the house. When constructed by home builders, extensions are not limited to the same maximum size limits as ADUs, they can increase the overall listing price of your property by almost 30%, and they can be branched directly to your house’s existing plumbing or electrical systems.
Granny flats on the other hand are more suitable for rental use, as they are separated from the main property and act as self-contained units, which can be useful if the guests or tenants are looking for privacy. Plus, as the name suggests granny flats can be utilized to host family members, their construction can usually begin with just a CDC, and they can also increase the market value of the adjacent main property by an amount similar with a home extension.
When done by home extension builders, property enlargements can be more complex than granny flats, and are suitable if you want to considerably increase your dwelling’s square footage. However, ADUs are a bit more straightforward to build, and this is why, at least in Australia, they are a more popular option. In the end, it’s up to you what you choose, as both options are a fantastic choice, especially when the alternative is buying or renting a new property altogether.