--- title: "Newcastle granny flat receiving return on investment of 22% : Backyard Grannys" description: We recently completed a job in Birmingham Gardens, a local suburb in Newcastle that is popular for university students. Our client is an investor from Sydney who wanted to maximise the return on their property by building a granny flat for investment. image: https://blog.backyardgrannys.com.au/hubfs/living.jpeg --- Menu [Floor plans](https://www.backyardgrannys.com.au/granny-flat-designs) [Featured builds](https://www.backyardgrannys.com.au/granny-flats-portfolio) [How it works](https://www.backyardgrannys.com.au/how-it-works) [Price guide](https://www.backyardgrannys.com.au/pages/price-guide) [Investor guide](https://www.backyardgrannys.com.au/investors-information) [Contact](https://www.backyardgrannys.com.au/contact) [About us](https://www.backyardgrannys.com.au/about-us) [Showroom locations](https://www.backyardgrannys.com.au/locations) [Meet our team](https://www.backyardgrannys.com.au/our-team) [Awards](https://www.backyardgrannys.com.au/awards) [Resources](https://blog.backyardgrannys.com.au/resources) [FAQs](https://www.backyardgrannys.com.au/faq) # Newcastle granny flat receiving return on investment of 22% We recently completed a job in Birmingham Gardens, a local suburb in Newcastle that is popular for university students. Our client is an investor from Sydney who wanted to maximise the return on their property by building a granny flat for investment. ![Backyard Grannys](https://blog.backyardgrannys.com.au/hubfs/BYG2025/Resources/General/byg_logo_240x240.png) Backyard Grannys 17 Feb 2019 · [Case studies](https://blog.backyardgrannys.com.au/resources/tag/case-studies) Share to [Facebook](https://www.facebook.com/sharer/sharer.php?u=https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment) · [LinkedIn](https://www.linkedin.com/sharing/share-offsite/?url=https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment) · [X](https://x.com/intent/tweet?url=https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment&text=Newcastle%20granny%20flat%20receiving%20return%20on%20investment%20of%2022%) · [Pinterest](https://www.pinterest.com/pin/create/button/?url=https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment&media=&description=Newcastle%20granny%20flat%20receiving%20return%20on%20investment%20of%2022%) [Get a free quote](https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment#PageForm) We recently completed a job in Birmingham Gardens, a local suburb in Newcastle that is popular for university students. Our client is an investor from Sydney who wanted to maximise the return on their property by building a [granny flat for investment](https://www.backyardgrannys.com.au/investors-information/). We have spoken about Sydney investors choosing Newcastle more and more due to its affordability and attractive lifestyle. Newcastle has cost-effective properties that have excellent returns and this is a solid component in property investors financial strategies. Our client chose to build The Yarra, a [three bedroom granny flat](https://www.backyardgrannys.com.au/granny-flats-portfolio/the-yarra/), as they were planning on using it for student accommodation. Each bedroom is complete with built-in wardrobes, ceiling fans and an air conditioner. The kitchen has been designed in an L shape to maximise the space available and also making it easy to be used by multiple people at one time. Our client chose to install stone benchtops for quality and durability. Our client chose to fully furnish the granny flat including adding a stylish lounge to the communal living area for the three students to use. The exterior of the [granny flat design](https://www.backyardgrannys.com.au/granny-flat-designs/) is complete with a Colorbond hip roof and James Hardie cladding. Our client is very happy with their [Newcastle granny flat](https://www.backyardgrannys.com.au/) and is renting out each room for $189 per week, which has a positive return on investment of 22%! ![living](https://blog.backyardgrannys.com.au/hs-fs/hubfs/living.jpeg?width=712&height=475&name=living.jpeg)![kitchen](https://blog.backyardgrannys.com.au/hs-fs/hubfs/kitchen.jpeg?width=1498&height=1000&name=kitchen.jpeg)![kitching-dining](https://blog.backyardgrannys.com.au/hs-fs/hubfs/kitching-dining.jpeg?width=1498&height=1000&name=kitching-dining.jpeg)![bedroom-1](https://blog.backyardgrannys.com.au/hs-fs/hubfs/bedroom-1.jpeg?width=1498&height=1000&name=bedroom-1.jpeg)![bedroom-2](https://blog.backyardgrannys.com.au/hs-fs/hubfs/bedroom-2.jpeg?width=1242&height=931&name=bedroom-2.jpeg)![bathroom](https://blog.backyardgrannys.com.au/hs-fs/hubfs/bathroom.jpeg?width=1498&height=1000&name=bathroom.jpeg)![laundry](https://blog.backyardgrannys.com.au/hs-fs/hubfs/laundry.jpeg?width=1498&height=1000&name=laundry.jpeg)![floorplan2](https://blog.backyardgrannys.com.au/hs-fs/hubfs/floorplan2.jpg?width=564&height=419&name=floorplan2.jpg)*Photos by Your Agency Real Estate* **If you have an investment property or are looking to buy one, fill in the form below to have a chat with the granny flat experts and create a positive return on your investment.** --- ## Got a question for us? Don't hesitate to get in touch. --- ## Related resources [See all resources](https://blog.backyardgrannys.com.au/resources) ![Celebrating 15 Years of Backyard Grannys | 1,500+ Granny Flat Projects](https://blog.backyardgrannys.com.au/hubfs/1-2.png) ### [Celebrating 15 Years of Backyard Grannys | 1,500+ Granny Flat Projects](https://google.com) Backyard Grannys celebrates 15 years in business and more than 1,500 granny flat projects across Newcastle, the Hunter, Central Coast and Port Stephens. [Insider](https://blog.backyardgrannys.com.au/resources/tag/insider) [Read more](https://blog.backyardgrannys.com.au/resources/15-years-of-backyard-grannys-1500-granny-flat-projects) ![The Rise of the Backyard Rental in NSW: Are Granny Flats Still Worth the Investment This Year?](https://blog.backyardgrannys.com.au/hubfs/DSC00006.jpg) ### [The Rise of the Backyard Rental in NSW: Are Granny Flats Still Worth the Investment This Year?](https://google.com) Discover why granny flats remain one of NSW’s strongest investments. Explore Newcastle rental yields, vacancy rates, and the benefits of building a granny flat investment with Backyard Grannys. [Rentals](https://blog.backyardgrannys.com.au/resources/tag/rentals) [Investment](https://blog.backyardgrannys.com.au/resources/tag/investment) [Read more](https://blog.backyardgrannys.com.au/resources/the-rise-of-the-backyard-rental-in-nsw-are-granny-flats-still-worth-the-investment-this-year) ![Keeping family close: building a granny flat for ageing parents](https://blog.backyardgrannys.com.au/hubfs/backyard-grannys-pacific-hwy-07.jpg) ### [Keeping family close: building a granny flat for ageing parents](https://google.com) Discover how building a granny flat for ageing parents can keep family close, provide independence, and add value to your property. Learn more with Backyard Grannys. [General tips](https://blog.backyardgrannys.com.au/resources/tag/general-tips) [Read more](https://blog.backyardgrannys.com.au/resources/keeping-family-close-building-a-granny-flat-for-ageing-parents-1) ![Backyard Grannys named finalist in three categories at the 2025 HIA Hunter Region Awards](https://blog.backyardgrannys.com.au/hubfs/20250625_BCI_43JarretStKillabenBay(BackyardGrannys)-21.jpg) ### [Backyard Grannys named finalist in three categories at the 2025 HIA Hunter Region Awards](https://google.com) Backyard Grannys’ Kilaben Bay project has been named a finalist in three categories at the 2025 HIA Hunter Region Awards, recognising innovation, affordability and design excellence in this bespoke luxury bushland granny flat. [Media](https://blog.backyardgrannys.com.au/resources/tag/media) [Read more](https://blog.backyardgrannys.com.au/resources/backyard-grannys-named-finalist-in-three-categories-at-the-2025-hia-hunter-region-awards) ![How to earn rental income from a granny flat in NSW](https://blog.backyardgrannys.com.au/hubfs/10South%20copy.jpg) ### [How to earn rental income from a granny flat in NSW](https://google.com) If you’re thinking about renting out your granny flat in NSW, here’s a clear, step-by-step guide to help you get started. [Investment](https://blog.backyardgrannys.com.au/resources/tag/investment) [Read more](https://blog.backyardgrannys.com.au/resources/how-to-earn-rental-income-from-a-granny-flat-in-nsw) ## Get in touch [2/2 Statham Street Bennetts Green NSW 2290](https://maps.app.goo.gl/yWwnF6JKNvFZ56qj9) [(02) 4947 2800](tel:0249472800) [Floor plans](https://www.backyardgrannys.com.au/granny-flat-designs) [Featured builds](https://www.backyardgrannys.com.au/granny-flats-portfolio) [How it works](https://www.backyardgrannys.com.au/how-it-works) [Price guide](https://www.backyardgrannys.com.au/pages/price-guide) [Investor guide](https://www.backyardgrannys.com.au/investors-information) [Contact](https://www.backyardgrannys.com.au/contact) [About us](https://www.backyardgrannys.com.au/about-us) [Showroom locations](https://www.backyardgrannys.com.au/locations) [Meet our team](https://www.backyardgrannys.com.au/our-team) [Awards](https://www.backyardgrannys.com.au/awards) [Resources](https://blog.backyardgrannys.com.au/resources) [FAQs](https://www.backyardgrannys.com.au/faq) [Our locations](https://blog.backyardgrannys.com.au/locations) Follow our socials [facebook](https://www.facebook.com/Backyard-Grannys-464560823635233/) [instagram](https://blog.backyardgrannys.com.au/resources/www.instagram.com/backyardgrannys/) [youtube](https://www.youtube.com/channel/UClt2fYl3o7764Nv6Z7bD40Q/) [linkedin](https://www.linkedin.com/company/backyard-grannys) [pinterest](https://www.pinterest.com.au/backyardgrannys/) Acknowledgement of Country © 2026 Backyard Grannys · [Terms & conditions](https://blog.backyardgrannys.com.au/terms) · Site by [Headjam](https://headjam.com.au) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Backyard Grannys", "url" : "https://blog.backyardgrannys.com.au/resources/author/backyard-grannys" }, "dateModified" : "2025-09-02T05:03:18.998Z", "datePublished" : "2019-02-17T13:00:00.000Z", "headline" : "Newcastle granny flat receiving return on investment of 22%", "image" : [ "https://blog.backyardgrannys.com.au/hubfs/living.jpeg" ], "mainEntityOfPage" : { "@id" : "https://blog.backyardgrannys.com.au/resources/newcastle-granny-flat-receiving-positive-return-investment", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://blog.backyardgrannys.com.au/hubfs/BYG-logo-2025-main.png" }, "name" : "Backyard Grannys" } } ```