Small second dwellings in Victoria: the granny flat rules explained

In Victoria, a small second dwelling is a home with a kitchen, bathroom and toilet, on the same lot as an existing house. Since 15 October 2026, Amendment VC306 lets a small second dwelling of up to 80m² go ahead without a planning permit in many cases, unless an overlay or other control requires one or the lot is under 300m² in a residential zone other than the Low Density Residential Zone. Changes to the Building Regulations are due to follow, so check the current building rules with your building surveyor. A building permit is always required.

This guide is for homeowners in Melbourne, Geelong, Ballarat and Bendigo who want to know what the rules mean for their block.

Key facts

Size and facilities: up to 80m² under Amendment VC306 (from 15 October 2026), measured to the outside of the walls and including roofed areas such as verandahs, with a kitchen, bathroom and toilet, on the same lot as an existing home. Changes to the Building Regulations are due to follow. (Victorian Government; Building and Plumbing Commission)

Planning permit: not needed in many cases, unless an overlay or other control requires one. (Victorian Government)

Small lots: on a lot under 300m² in a residential zone (other than the Low Density Residential Zone), a planning permit is required. (Victorian Government)

Building permit: always required. (Victorian Government)

Ownership: it cannot be subdivided or sold separately from the main home. (Victorian Government)

Who can live there: anyone, including family members or unrelated people. Residential tenancy requirements apply. (Victorian Government)

Source: Victorian Government, “Small second dwellings” (planning.vic.gov.au), checked 20 October 2026.

What counts as a small second dwelling in Victoria?

A small second dwelling is a second home with a kitchen, bathroom and toilet, on the same lot as an existing home. Since 15 October 2026, Amendment VC306 has raised the planning limit from 60m² to 80m² of gross floor area. Changes to the Building Regulations are due to follow, and the BPC still describes a 60m² limit, so check the current building rules with your building surveyor. Gross floor area is measured from the outside of the external walls and includes all roofed areas: a roofed deck or verandah counts, while an unroofed deck or open pergola doesn’t. The Building and Plumbing Commission (BPC) notes it can be attached, detached or a conversion. “Granny flat” is the everyday name. “Small second dwelling” is the term the Victorian rules use.

Two more conditions shape the design. It does not require a car parking space, and it must not be connected to reticulated natural gas, so plan for cooking, heating and hot water that don’t rely on mains gas.

The rules first took effect on 14 December 2023, through Amendment VC253, which changed all Victorian planning schemes, and the Building Amendment (Small Second Dwellings) Regulations 2023. Amendment VC306 then raised the planning limit to 80m² from 15 October 2026.

Sources: Victorian Government, “Small second dwellings”, checked 20 October 2026; Building and Plumbing Commission, “Small second dwelling”, checked 8 October 2026.

Do you need a planning permit for a granny flat in Victoria?

Generally not. Since 15 October 2026, Amendment VC306 lets a small second dwelling of up to 80m² go ahead without a planning permit in many cases. Two situations change that.

When special planning controls apply to your land

If flooding, environmental or other special planning controls apply to your land, a planning permit may be required. These controls usually appear as overlays in your council’s planning scheme. In metropolitan Melbourne, for example, each of the three flood overlays (the Special Building Overlay, the Land Subject to Inundation Overlay and the Floodway Overlay) requires a planning permit for buildings and works. The Bushfire Management Overlay also triggers a planning permit. Check which overlays affect your property before you settle on a design.

When your lot is under 300m²

On a lot under 300m² in a residential zone (other than the Low Density Residential Zone), a small second dwelling needs a planning permit; check with your council.

A permit requirement doesn’t by itself rule a granny flat out. But if a planning permit is needed, the council must issue it before the building permit, which is why it’s worth knowing about before you choose a design.

Sources: Victorian Government, “Small second dwellings”, “Single home code” and “Stronger standards and faster approvals for single homes and small second homes”; Melbourne Water, “Flood planning controls explained”; Building and Plumbing Commission, “When is a building permit required?”. All checked 8 October 2026.

Do you need a building permit for a small second dwelling?

Yes. A building permit is required in every case, including where no planning permit is needed. The building regulations also set siting rules: the small second dwelling must sit behind the front wall of the existing home, private open space must be provided, and there must be a clear path from the front street.

If your land is in a designated Bushfire Prone Area, the building permit stage also sets a construction standard, measured as a bushfire attack level (BAL). On a Dwellix granny flat, we coordinate the consultants involved.

Renovating the main house at the same time? Our guide to building permits for renovations covers that side.

Sources: Victorian Government, “Small second dwellings” and “Building in designated bushfire prone areas”; Building and Plumbing Commission, “Small second dwelling”. All checked 8 October 2026.

Can a granny flat be subdivided or sold separately?

No. A small second dwelling cannot be subdivided or sold separately from the main home. It stays part of the same property, so plan it as part of your home rather than as a separate asset.

Source: Victorian Government, “Small second dwellings”, checked 8 October 2026.

Who can live in a small second dwelling, and can you rent it out?

Anyone can live in a small second dwelling or rent it, including family members or unrelated people. Residential tenancy requirements apply, covering matters such as room sizes, facilities and smoke alarms.

If you rent it out, Victoria’s rental minimum standards also apply. From 25 November 2025, a rental property must meet them before it is advertised, and before the renter moves in.

Sources: Victorian Government, “Small second dwellings”; Consumer Affairs Victoria, “Rental properties – minimum standards”. Both checked 8 October 2026.

What is changing for dependent person’s units?

Amendment VC253 removed “dependent person’s unit” (DPU) as a land-use term. Existing lawful DPUs stay lawful.

If you were planning a DPU, ask your council or a town planner how the change affects your property.

Source: Victorian Government, “Small second dwellings”, checked 8 October 2026.

What this means for your block

The state rules set the framework, and your block decides how they apply. Our feasibility review checks these things before you choose a design.

Zone and lot size. A lot under 300m² in a residential zone (other than the Low Density Residential Zone) needs a planning permit.
Overlays. Flooding, environmental or other special planning controls can mean a planning permit is required.
Access. The rules require a clear path from the front street. How materials, machinery and service connections reach the back of your block also shapes how the home is built and what it costs.
Setbacks and siting. The home must sit behind the front wall of your existing house, and the space to your boundaries decides which design fits. Dwellix 1 is a linear plan, Dwellix 2 has a bedroom wing and a living wing around a recessed entry, and Dwellix 3 has two pavilions joined by a glazed entry.

Start a feasibility check and we’ll check your block against each point.

How Dwellix handles it

Property check. You send us your address and what the granny flat is for.
Preliminary feasibility. We review your zone, overlays and lot size, and tell you whether a planning permit is likely to be needed.
Site assessment. We confirm access, slope, services and setbacks on site.
Design and approvals. You choose one of our three designs, each with two bedrooms and one bathroom, and one of three packages. Your feasibility report indicates whether your project is likely to need a planning permit; council or your planner makes the final call. For the building permit, we handle the permit process for you. You formally appoint the building surveyor, and we can recommend one and manage everything with them. If your block needs a planning permit, we prepare the planning drawings and assessment and lodge the application with council on your behalf. The decision, its conditions and its timing rest with council.
Decision and contract. You decide whether to go ahead once the approval pathway and the price are clear.

Frequently asked questions

Can I build a granny flat without a permit in Victoria?

Not without a building permit, which is required in every case. Since 15 October 2026, Amendment VC306 lets a small second dwelling of up to 80m² go ahead without a planning permit in many cases, unless an overlay or other control requires one, or the lot is under 300m² in a residential zone other than the Low Density Residential Zone.

What are the granny flat rules in Geelong or Bendigo?

The small second dwelling rules are set by the Victorian Government, so the same framework applies in Geelong, Bendigo, Ballarat and Melbourne. Council rules sit inside it: what differs is the zone and overlays that apply to your land. Check your council’s planning scheme for your property, or ask us to check it in a feasibility review.

How big can a granny flat be in Victoria?

Under Amendment VC306, from 15 October 2026, a small second dwelling can have a gross floor area of up to 80m², measured to the outside of the walls and including roofed areas, with a kitchen, bathroom and toilet, on the same lot as an existing home. Changes to the Building Regulations are due to follow, so check the current building rules with your building surveyor. A larger second home falls outside these rules, so its planning requirements depend on your zone and planning scheme. Check them with your council first.

Can I build a granny flat on a block under 300m²?

Possibly, but you will need a planning permit. A building permit is also required.

Can I rent out a granny flat in Victoria?

Yes. Anyone can live in or rent a small second dwelling, including family members or unrelated people. Residential tenancy requirements apply, and from 25 November 2025 a rental property must meet Victoria’s minimum standards before it is advertised. Our renting guide covers the detail.

Official sources

Victorian Government, Small second dwellings, Single home code and Stronger standards and faster approvals for single homes and small second homes.
Building and Plumbing Commission, Small second dwelling and When is a building permit required?.
Victorian Government, Building in designated bushfire prone areas; Melbourne Water, Flood planning controls explained.
Consumer Affairs Victoria, Rental properties – minimum standards.

All checked 8 October 2026, except “Small second dwellings”, checked 20 October 2026.

Check your block

Find out how these rules apply to your property: start a feasibility check. Prefer email? Write to sales@dwellix.com.au.

General information only, checked 8 October 2026. Rules change; confirm requirements for your property with your building surveyor or council.