Granny annexe advice please

[Cupoftchaiagain]

Hi can anyone share their advice/ points of view on this?

I hope this won't be too identifying.

We live (me Dh and 2 kids) in a rented flat. (Housing association). Nice general area, really crappy street. Lots of noise, drunks, traffic. Many stairs and no outside space.

My mum - who is far from elderly - has said for a long time she finds her place too big. She has now suggested she converts part of it into a granny annexe and we move into the main house. The 2 homes would be completely separate in living space, separate front doors, private bit of garden each and a big bit of shared garden. They would be however overlooked by each other - the outdoor bits are overlooked by both, some of the living space would be too.

We are on a low- medium sort of income, precious little prospect of ever saving enough for our own home. We don't have any capital to put into the conversion.

What sort of things should we consider? How do we make this decision? I feel utterly bewildered. It could be a really life changing opportunity. But what if we get it wrong?

I have siblings so we need to think about long term implications too. Mum also putting the offer to them but wouldn't suit them for various reasons.

Will stop with the context there to keep it simple (ha ha... this is far from simple. .. )

There are quite significant planning issues - if the annexe is completely separate then you have to show that it is all together and can’t be split in time (to stop people from sneakily getting a second separate property on their land).

My parents have a separate granny annexe but it is entirely dependent on our house, same electricity, water and waste services and I pay for them myself.

If approach the planning department before getting too ahead of yourselves.

Thanks Moreis, good points. The way we are picturing it, you would never be able to sell them as separate properties. And yes like yours, utilities would all be interconnected and we would have to treat as one (probably do a 2:1 split on bills or something ). We spoke informally to a local architect friend who basically said if it is a conversion of existing buildings planning permission might not even be required. But we would need to check that out properly!

How is it living with your parents in your space? What works and what doesn't? If you would be happy to share.

I think you need a fully interconnecting door, otherwise it could be considered to be 2 properties with each liable for Council tax. Check with your local council.

My DH project managed something similar. You don't need an interconnecting door for it to be classed as one dwelling for council tax purposes. Think carefully about what will happen if your mum needs a nursing home, the house will be classed as an asset to be sold to pay for her care (assuming she doesn't have a huge pot of savings). What will happen when she dies? Will you need to move out to give your siblings their share of any inheritance? Will you all drive each other mad? ... it's a tricky one. Pm me of I can help any more

My mum was talking about writing some kind of legal document saying if she passed away /went into a care home then the house couldn't be sold till our youngest had finished school. I think this could be extremely unfair on my siblings and risks there being bad feeling between us, which I would hate. But would we be silly not to do that? And does such a legal doc even exist, and would it have any standing if it were care home fees that were needed? No pot of savings unfortunately. We should have savings by then although there would be additional living costs to us of being here (commuting, higher bills, we would want to put in for repairs etc)

And yes we might drive each other completely bonkers! I am trying to wrap my head round the practicalities of it. And then try and think about it emotionally /relationally. Part of me is so excited by the possibility of getting the kids out of where we live, into space and greenery and a healthier life. The rest of me is extremely anxious about giving up our own home and our independence. And being beholden.

If possible I would think through the possibility of you buying a part share in the property. If your Mum is in good health she could look at signing part or all of her property now to all her DC but with you having a life interest clause for x years.

However you do need to be careful of accusations of deprivation of assets etc thorough legal advice needed!

Slightly different scenario but I built an annex for my parents. It is attached but has its own entrance and no access from my side without going outside! It is rated separately but my parent's side is then zero-rated for council tax. All bills come to me and my parents pay a proportion. However it has always been "mine" as my parents moved in from rented and therefore not counted when Mum had to move into a care home. There can be pitfalls ( parents couldn't claim housing benefits ) and it can be annoying when Dad just pops in! But overall, it has worked well for me!

@Cupoftchaiagain I love having my parents here. We have a biggish property though so they are actually on the other side of the driveway. We whatsapp before popping over, the kids go across after school and spend time with my dad, it’s useful if we want to pop out without dc in tow plus someone is always in for parcels 😁

Of course there are disagreements occasionally but on the whole it’s great. We’ve in fact just come back from holidays all six of us - my DH’s second holiday with my parents so he can’t mind too much!

Thanks all for your words of advice. I think it would work for us but my husband is set against it. So unfortunately I think it may be off the table. No final decisions made, we have a while to think about it and maybe he'll come round. Bit disappointed.