Victorian planning resource · $39 planning report

Can I build a granny flat in Victoria?

In December 2023 Victoria scrapped the planning permit for a granny flat. A 'small second dwelling' up to 60 m² can now be built on the same lot as your home without a planning permit — if it meets the rules. Here's exactly what's allowed, and when a permit is still required.

Victorian homeowners weighing up a granny flat for family, rental income or a home office — who want to know whether the new no-permit rule applies to their property before paying for design.

Check what your property allows — $39Free Property Snapshot

The 2023 reform: no planning permit under 60 m²

Victoria changed the rules in December 2023. A granny flat is now called a 'small second dwelling', and you no longer need a planning permit to build one — provided it meets a set of standard requirements. This replaced the old 'dependent person's unit' (DPU), which had to be removed once the dependency ended and generally couldn't be rented out. A small second dwelling is permanent and can be lived in by anyone, including a tenant.

The headline number is 60 m²: the second dwelling's gross floor area must be no more than 60 m². Get that and the siting rules right and no planning permit is required — you go straight to a building permit. Exceed the limits, or sit in a triggering overlay, and a planning permit comes back into play.

  • Maximum 60 m² gross floor area for the permit exemption
  • One small second dwelling per lot, on a lot that already has a dwelling
  • Available in residential zones (General, Neighbourhood, Township and similar)
  • Must meet the standard siting and setback requirements of the zone
  • A building permit is still always required
  • It can be rented out and occupied by any household

When you DO still need a planning permit

The permit exemption is conditional. The most common reason a Victorian granny flat still needs a planning permit is an overlay on the land. If your property carries a Heritage Overlay, a Significant Landscape Overlay, a Bushfire Management Overlay, or a flood / land subject to inundation overlay, the exemption generally does not apply and a permit (or a bushfire/building approval) is still required.

A permit is also needed if the second dwelling would exceed 60 m², if the lot is in a zone the exemption doesn't cover, or if standard siting requirements (setbacks, site coverage, overlooking) can't be met. The reform removed the routine permit — it did not remove the underlying building, siting and overlay controls.

Check your property before you design

Whether the no-permit rule applies turns entirely on your specific address — its zone and, critically, any overlays. Our $39 Victorian planning report reads your property's zone and overlays and gives you a plain-English answer on whether a small second dwelling is exempt, and what controls still apply.

Want a free first look? The free Property Snapshot shows your zone, overlays and hazards in seconds — enough to tell you whether an overlay is likely to bring a permit back into the picture.

Real example

Worked example

A 58 m² detached second dwelling in a General Residential Zone, on a lot with no overlays, meeting the standard setbacks — no planning permit, straight to a building permit. Put the same dwelling on a lot with a Heritage Overlay or push it to 70 m², and a planning permit is required.

The statutory basis

The small second dwelling provisions were introduced by Amendment VC243 (December 2023), inserting a permit exemption into the residential zones of every Victorian planning scheme. The 60 m² limit and siting requirements are set in the scheme; overlay controls (Heritage, Bushfire Management, Significant Landscape, flood-related) sit on top and can reinstate a permit requirement. Always confirm the controls for your specific address.

Amendment VC243 (Dec 2023)

Small second dwelling — permit exemption

Victoria Planning Provisions

Residential zones (Clause 32) — second dwelling exemption

Planning and Environment Act 1987 (Vic)

Planning scheme framework

Frequently asked questions

Do I need a planning permit for a granny flat in Victoria?
Since December 2023, no — not if it's a 'small second dwelling' of 60 m² or less on a residential lot that meets the standard siting rules and isn't affected by a triggering overlay (heritage, bushfire, significant landscape, flood). You'll still need a building permit. Over 60 m², or in a triggering overlay, a planning permit is required.
How big can a granny flat be in Victoria?
Up to 60 m² gross floor area to qualify for the no-planning-permit exemption. You can build larger, but then it's a second dwelling assessed under the normal planning rules and a permit is required.
Can I rent out a granny flat in Victoria?
Yes. Unlike the old dependent person's unit, a small second dwelling is permanent and can be rented out to any household. It stays on the same title as the main house — you can't sell it separately without subdividing.
Does the new rule apply if my property is heritage listed?
Generally no. A Heritage Overlay (and several other overlays) reinstates the planning permit requirement, so a granny flat on a heritage-affected property usually still needs a permit even if it's under 60 m². Check your overlays first.
Can I subdivide to sell the granny flat separately?
Not as part of building it. A small second dwelling stays on the same lot as the main house. Selling it separately would require a separate subdivision permit, which is assessed on its own merits.

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$39 planning report — ready when you are

A plain-English read on exactly what your property allows — zone, overlays and the rules that decide your project.

Check what your property allows — $39Free Property Snapshot