There’s a lot to think about when someone considers moving in with family or giving money to help build a granny flat or home extension. For older Australians, these decisions often involve a deep mix of personal, financial, and practical factors – but the outcomes can affect Age Pension entitlements in ways that aren’t always obvious.
Centrelink calls these arrangements ‘granny flat interests’ – not because of the building itself, but because of the legal and financial interest created when you exchange money, assets, or ownership rights for a place to live for life.
This article unpacks some of the most important considerations – from gifting rules to homeowner status, and highlights the value of getting the right advice before going ahead.