A granny flat interest exists if a person has established a right to accommodation for life, or a life interest in another person's private home.

Granny flat interests are established by the following methods:

• transferring title of the pensioner's principal home to a relative and retaining a right of occupancy for life;
• providing funds for the construction of a granny flat in which the pensioner has a right to reside for life on a relative's property;
• providing some or all of the purchase price of a property which will usually be registered in a relative's name but in which the pensioner has a right to reside for life; or
• the terms of an estate.

Refer to Section 5MA(2) of the VEA for the full definition.

An entry contribution is the amount paid or agreed to be paid by a person for the right to live in a:

• retirement village; or
• granny flat.

If a person lives in a home subject to a sale leaseback agreement, the entry contribution is the balance of the amount still to be paid by a buyer, at the date of a sale leaseback agreement.

Refer to Section 52M of the VEA for the full definition.

According to subsection 5MC(2) of the VEA a special residence is:

• a retirement village; or
• a granny flat; or
• a sale leaseback home.