Small Backyard Homes FAQs
(Victoria)

Often yes. Whether you can build a small, self-contained dwelling in your backyard depends on your property’s planning controls (zone and overlays), lot size, and compliance with siting and amenity requirements. Victoria has introduced reforms to make “small second dwellings” easier to approve in many circumstances.

In many cases, no — particularly where the proposal meets the “small second dwelling” settings and there are no permit triggers (such as certain overlays, particular zones, or lot size restrictions). However, some properties still require a planning permit due to local planning controls.

Yes. A building permit is required to construct a habitable dwelling. Even where a planning permit is not required, a registered building surveyor must assess the design against the Building Regulations and the National Construction Code.

A small second dwelling is a second, self-contained dwelling on the same lot as an existing lawful dwelling, with a total floor area of up to 60m² (as defined in Victorian planning guidance).

It is measured as total floor area, generally from the outside face of external walls (and excludes eaves less then 600mm). The measurement method matters — you should confirm the calculation early during design.

Yes. Zoning can determine whether a small second dwelling is permissible and whether a planning permit is required. Some zones are more restrictive (for example, rural and green wedge zones) and often trigger planning approval.

Yes. Overlays can trigger a planning permit even where the base zone might not. Flooding, bushfire, environmental, heritage, and design overlays are common examples.

Not always. Some overlays allow exemptions where the small second dwelling meets specific conditions (such as limited height and subdued colours). However, each overlay has its own schedule and requirements, so this must be checked for your property.

Yes. A small second dwelling can generally be rented out (short-term or long-term), provided it has been approved and built as a compliant dwelling.

Anyone. Unlike the old “dependent person’s unit” concept, a small second dwelling is not limited to a dependent family member.

DPUs were removed from the Victoria Planning Provisions. Existing lawful DPUs may continue to be lawful, but new backyard dwellings are typically assessed under the small second dwelling pathway.

Sometimes. Conversions can be possible if the existing structure can be upgraded to meet building compliance (including fire safety, insulation, waterproofing, ventilation, and energy efficiency), and the planning controls allow the change of use.

Potentially, yes — but it must meet planning and building requirements. If it is on wheels, classification and occupancy rules may differ. Council and building surveyor advice is essential.

Yes. Planning guidance generally expects each dwelling to have a minimum amount of private open space that is convenient and functional. The exact requirements depend on whether a planning permit is required and the relevant clauses that apply.

Typical rules include: setbacks, site coverage, overlooking and privacy, overshadowing, height limits, access, and amenity. If a planning permit is required, Clause 54 (ResCode) often applies. Building Regulations siting provisions apply regardless.

Usually no, or only with specific consent. Easements commonly protect sewer, drainage, or other services. You should review your Certificate of Title and obtain advice before designing.

Not necessarily. Many small second dwellings share services with the existing home. However, service providers may require upgrades, new connections, or separate metering depending on capacity and intended use.

Generally, no. Victorian guidance indicates small second dwellings cannot be connected to reticulated natural gas, aligning with the state’s direction toward all-electric new dwellings.

Yes. There are typically no mandatory fencing requirements between the two. Many owners choose fencing to improve privacy and define outdoor areas.

You can owner-build, but there are strict requirements in Victoria. For domestic building work over $16,000 you generally need a Certificate of Consent, and you take on legal responsibility for compliance, insurance, and warranties.