Applications for funding to support the construction of new ancillary dwellings, commonly known as granny flats, open tomorrow and is another way to further increase housing supply in Tasmania.

The $2.5 million Ancillary Dwellings Grant Program is part of the Tasmanian Liberal Government’s first 100 Day plan and one of the initiatives we are implementing to help boost housing supply, support home ownership and put downward pressure on rents.

This program will help meet the unprecedented growth we have seen in the demand for rental properties by:

  • providing support for homeowners to construct a new ancillary dwelling as part of their existing property; and
  • contributing to the supply of accommodation available through the rental market.

Grants of up to $10,000 are available to the first 250 eligible applicants that submit a complete application once the program opens at 3:00pm tomorrow [Wednesday, 30 June 2021].

To be eligible for funding applicants must construct a new ancillary dwelling and make it available for rent for at least two years.

Today I am also pleased to launch our Adding Extra Living Quarters to Your Home brochure, which explains the types of ancillary dwellings you can construct to complement your home. This is available online and we are today distributing these to every council office in Tasmania. I encourage homeowners to contact your local council to see what’s possible in your area and to be part of our community saying “Yes, in my backyard”.

We know that building more homes is the solution and this is why we are now investing a record $615 million into social and affordable housing, and homelessness initiatives, including our record election commitment of $280 million to extend our building program of new social housing for Tasmanians in need, the biggest in this State for decades.

This means, on top of initiatives like the Ancillary Grants Program, we will build an extra 2,000 new homes by 2027, in addition to the 1,500 already being built over the next three years, bringing the total to 3,500 new homes by 2027 to help our most vulnerable.

For guidelines, eligibility criteria and to submit an application, please visit and click on the Grants and Funding page.

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