Understanding Victoria’s Granny Flat Rules: A Comprehensive Summary

Did you know that by 2056, nearly 1 in 4 Australians will be over 65 years old?  Combined with skyrocketing housing prices and changing family dynamics, this shifting demographic is creating a perfect storm in Victoria’s housing market. 

Families are struggling to find affordable solutions for multigenerational living, young adults can’t break into the property market, and homeowners are sitting on untapped potential in their own backyards.

That’s where Granny Flats come in – these structures offer the perfect solution to Victoria’s housing challenges, but understanding the rules around them can be complex. This guide will help you with that (and more!)

But first, What is a Granny Flat?

A granny flat (also known as a small second dwelling, accessory dwelling unit, or a small second home) is exactly what it sounds like – a second, smaller dwelling on the same property as an existing house. 

It is officially called a dependent person’s unit (DPU). At the core, it’s a self-contained living area located on the same property as an existing house. 

RELATED: Top Reasons Backyard Granny Flats Are a Brilliant Idea

Typically, it’s used to provide accommodation for a person who is dependent on the residents of the main dwelling. This could be an elderly parent, a person with a disability, or, in some cases, adult children who need support.

A small second dwelling usually includes:

• A bedroom
• A living area
• A kitchen or kitchenette
• A bathroom
• Its own entrance

Now that we’ve got that sorted, let’s get into the rules and regulations you need to know.

The Legal Framework: Planning Schemes and Building Regulations

When it comes to building a granny flat in Victoria, there are two main sets of rules you need to be aware of:

1. Planning schemes
2. Building regulations

Let’s break these down.

Planning Schemes

Planning schemes are set by local councils and can vary from one area to another. They determine things like:

• Where you can build
• What you can build
• How big your granny flat can be
• How close to property boundaries you can build

According to the Victorian Government’s Housing Statement, the good news is that in many cases, you might not need a planning permit for your granny flat. This is thanks to Clause 52.22 of the Victoria Planning Provisions, which provides a streamlined process for DPUs.

Building Regulations

Building regulations, on the other hand, are more consistent across the state of Victoria. They primarily focus on the structural integrity, safety, and livability of your granny flat. These regulations cover things like:

• Building materials
• Energy efficiency
• Fire safety
• Accessibility

You’ll need to comply with the National Construction Code (NCC) and get a building permit before you start construction.

Key Rules for Granny Flats in Victoria

Now, let’s get into the specifics. Here are the main rules you need to know about building a granny flat in Victoria:

1. Size Matters

In Victoria, the size of your granny flat is limited. The maximum floor area is typically 60 square meters. This might seem small, but with clever design, you’d be surprised at how comfortable and functional a 60-square-meter space can be!

For creative ways to make the most of this space, take a look at our blog post “Design Ideas to Maximise the Size of a 60m2 Granny Flat in Victoria“

2. One is the Magic Number

You’re only allowed one granny flat per property. So, if you’re dreaming of a whole village of tiny houses in your backyard, you’ll have to put that idea on hold!

3. Who Can Live There?

Here’s some great news: unlike previous regulations for granny flats, there are no restrictions on who can live in your small second dwelling. It can be used for any residential purpose, including:

• Housing family members (young or old)
• Providing rental accommodation
• Creating a space for guests

This flexibility is one of the biggest advantages of the new regulations. For more information, refer Renting.

4. Building Requirements

There are specific requirements for small second dwellings:

• They must be on the same lot as the existing dwelling
• They must share the same access to a road as the existing dwelling
• They can be attached to or separate from the existing dwelling
• They must meet certain standards for building materials, height, and setbacks from boundaries

5. No Subdivision

You can’t subdivide your property to sell the small second dwelling separately. It’s considered part of the main property.

6. Car Parking

Generally, you don’t need to provide additional car parking for a small second dwelling. However, it’s always a good idea to consider the practical aspects of having additional residents on your property.

The Process

So, you’ve decided you want to build a granny flat. Great! But where do you start? Here’s a step-by-step guide to help you navigate the process:

Step 1: Check Council Regulations

Your first port of call should be your local council. Each council in Victoria has its own specific rules about granny flats. Some might be more lenient, while others might have additional requirements. It’s crucial to understand these before you go any further.

Step 2: Design Your Granny Flat

Now comes the fun part – designing your granny flat! Remember to keep it within the 60 square meter limit and ensure it meets all the building regulations. This is where working with experienced professionals can really pay off.

If you’re looking for inspiration, our ultimate guide to granny flat designs could be a great starting point.

At Superior Granny Flats, we’ve created hundreds of designs for granny flats that maximise space and comply with regulations. So, if you’re considering building a granny flat, our team can guide you through the design process, so that your new space is both beautiful and compliant.

Step 3: Get Your Documentation in Order

You’ll need to prepare several documents, including:

• Site plans
• Floor plans
• Elevations
• A written explanation of how the granny flat complies with regulations

Step 4: Submit for Approval

Once you have all your documentation ready, you can submit it to your local council. If your granny flat meets all the requirements under Clause 52.22, you might not need a planning permit. However, you’ll still need to get a building permit.

Step 5: Get Your Building Permit

A registered building surveyor will need to assess your plans and issue a building permit. They’ll check that your granny flat complies with the National Construction Code and other relevant standards.

Step 6: Start Building!

With your building permit in hand, you’re ready to start construction. Make sure you stick to the approved plans and have regular inspections throughout the building process.

Whether you’re looking to build granny flats in Windsor, Dandenong, or Melton, Superior Granny Flats can help turn your plans into reality.

Step 7: Final Inspection and Occupancy Permit

Once construction is complete, you’ll need a final inspection. If everything’s in order, you’ll be issued an occupancy permit, and your granny flat will be ready for its new resident!

Common Questions and Concerns

Now that we’ve covered the basics, let’s address some common questions and concerns that often come up when people are considering building a granny flat in Victoria.

“Can I rent out my small second dwelling?”

Yes, you can! This is one of the big changes that has come with the new regulations. You’re now allowed to use your small second dwelling for any residential purpose, including as a rental property. This opens up a lot of possibilities for homeowners looking to generate additional income.

“Do I need to provide separate utilities for the small second dwelling?”

While it’s not strictly required, it’s often a good idea to install separate meters for electricity, water, and gas. This makes it easier to manage costs, especially if you’re planning to rent out the dwelling.

“Can I build a small second dwelling on any type of property?”

While small second dwellings are allowed on many residential properties in Victoria, there can be restrictions. For example, if your property is in a bushfire-prone area, you might face additional requirements or limitations. Similarly, properties in flood zones or with significant overlays might have special conditions.

It’s always best to check with your local council about any specific restrictions that might apply to your property.

“How much does it cost to build a small second dwelling?”

The cost can vary significantly depending on factors like design, materials, and site conditions. As a rough guide, you might be looking at anywhere from $70,000 to $200,000+. However, it’s important to remember that a small second dwelling is an investment. It can both add value to your property and provide a flexible living solution for years to come.

For a more detailed breakdown of costs, you might want to check out our recent article “How Much Does It Cost to Build a Granny Flat in 2024?”.

“How long does it take to build a small second dwelling?”

Again, this can vary depending on several factors. The design and approval process might take a few months, while the actual construction could take anywhere from 8 to 16 weeks. Factors that can affect the timeline include the complexity of the design, the efficiency of your chosen builder, and even the weather!

Searching for granny flat builders in Noosa, Marsden, or Logan? We bring local expertise and efficient project management to these areas, helping you navigate the process smoothly and get your new space ready sooner.

“Can I use a small second dwelling as a home office?”

Absolutely! The flexibility of the new regulations means you can use your small second dwelling for any residential purpose. This includes using it as a home office, artist’s studio, or any other kind of workspace. Just keep in mind that it needs to be equipped as a dwelling (with a kitchen and bathroom) even if you’re primarily using it as a workspace.

Pitfalls to Avoid

While building a granny flat can be a great decision, there are some potential pitfalls to be aware of:

• Ignoring Council Regulations: This is the biggest one. Always, always check with your local council before proceeding with any plans.
• Underestimating Costs: Be sure to factor in all costs, including design, approvals, construction, and any site preparation work.
• Overcapitalising: While a granny flat can add value to your property, it’s possible to spend more than you’ll recoup. Do your research on local property values.
• Poor Design: A well-designed granny flat should be functional, comfortable, and complement your existing home. Don’t skimp on the design process.
• Choosing the Wrong Location: The placement of your granny flat on your property is crucial. Consider factors like privacy, access, and impact on outdoor spaces.
• Neglecting Insurance: Make sure your home insurance policy covers your new granny flat.

So, Is a Granny Flat Right for You?

Building a granny flat in Victoria can be a rewarding project. However, it’s not a decision to be taken lightly. It requires careful planning, a good understanding of the rules and regulations, and consideration of your specific circumstances and needs.

If you’re thinking about building a granny flat, here are the key takeaways to remember:

1. Always check with your local council first
2. Understand the size limitations and occupancy rules
3. Consider the long-term implications and benefits
4. Plan your budget carefully
5. Work with experienced professionals

At Superior Granny Flats, we’re passionate about helping Victorians navigate the world of granny flats. We understand the rules inside and out, and we’re committed to creating high-quality, compliant granny flats that meet your needs and exceed your expectations.

Ready to Take the Next Step?

If you’re considering building a granny flat in Victoria, why not reach out to us at Superior Granny Flats? We can help you:

• Understand the specific regulations in your area
• Design a granny flat that meets all requirements and suits your needs
• Navigate the approval process
• Bring your granny flat vision to life with our expert construction services

Visit our website or give us a call. We’re here to help you every step of the way, from initial concept to final construction. Let’s make your granny flat dreams a reality!