Australian Tiny Houses State by State Legislation and Regulations: What You Need to Know

The popularity of owning tiny houses in Australia is growing rapidly and the biggest question perspective buyers have is around the legality of placing them where they want to. With the rapid growth of the industry, state governments have began to recognise them as a great answer to the housing and cost of living crisis.

Currently at the time of writing this blog, tiny houses still fall under the umbrella of caravans which means they don’t fall into the same regulations as building a house or granny flat. Tiny homes on wheels are classified as caravans and this means it has left some grey area to the regulations and approvals across the country. Each state has taken a slightly different approach to the approval of tiny homes in their residential and rural areas and within each state final approval power has been handed down to local councils. Without an across the board decision on tiny house use, it’s impossible to give a one size fits all answer to the question “Can I put a tiny home on my property?”.

The best way to determine the regulations around placing a tiny home on a property is to understand your state’s legislation and then speak to your local council. We’ve done the hard work for you in breaking down what each state is saying about tiny houses on wheels.

In New South Wales the legislative regulations around tiny homes come from the Local Government (Manufactured Home Estates, Caravan Parks, Camping Grounds and Moveable Dwellings) Regulation 2021. Within this legislation Section 77 is of particular reference in the determination of tiny house placement on land. We’ve detailed it below:

Installations for which approval not required. The approval of the council is not required for the installation of the following—

• 2 caravans or tents if they are not occupied for
  • more than 2 consecutive days, and
  • more than 60 days in a 12 month period,
• 1 caravan on land occupied by the owner of the caravan in connection with the owner’s dwelling house if the caravan is—
  • used for habitation only by the owner or members of the owner’s household, and
  • maintained in a safe and healthy condition,
• a caravan on pastoral or agricultural land if the caravan is merely occupied seasonally by persons employed in pastoral or agricultural operations on the land

The basic take away from this legislation is that tiny homes are legally allowed to be placed on a property with an existing dwelling and used for two purposes. One being very short term (not longer than 2 consecutive days and not more than 60 days in a 12 month period) and the other being longer term for the land owners private use for themselves or family members.

While this is a step in the right direction, it still leaves much undecided about the use of tiny homes as rentals in NSW. Notable councils making a difference in NSW is the Shellharbour council. Shellharbour council has backed a pilot program that would allow tiny homes to be installed on residential blocks as long-term rental properties without development consent. The policy would outline specific local planning regulations, including setback requirements, bushfire and flood planning and amenities connection. Other NSW councils have used tiny homes for temporary and crisis accommodation, Shellharbour mayor Chris Homer believes theirs is the first to develop a pathway to legally install the structures long-term.

Planning Minister Paul Scully said looking at defining tiny homes in their own category might form part of the review. You can read the full article by ABC News below.

Queensland’s government is very open to the idea of tiny homes and the vital role they can play in providing safe, secure and quality places to live. The government understands the increasing popularity of tiny homes in their communities and has formed some legislative rules around tiny homes.

The main take aways are:

• Where a tiny home does not meet the definitions of ‘building’ or ‘dwelling’ under the planning and building frameworks, and is on wheels, they are regulated under the Transport Operations (Road Use Management) Act 1995, as caravans.
• Tiny homes that are moveable and not fixed to the land, are not regulated by the planning framework and are considered to be caravans due to their similar size, temporary nature, and wheels.
• Tiny homes that are fixed to the land as permanent land uses are regulated under theplanning framework
• Tiny homes that are fixed to the land; are used or capable of being used as a self-contained residence; and contain food preparation facilities, a bath or shower, a toilet, a wash basin, and facilities for washing clothes, are considered dwellings under the planning framework.
• Once a tiny home falls under the “dwelling” umbrella, all residential development requires building approval under the Building Act 1975 (including the Building Code of Australia) and plumbing and drainage approval under the Plumbing and Drainage Act 2018.
• Some local governments have made local laws to allow property owners to let people live in a caravan or temporary use tiny home in their backyard for certain periods of time. It is at the discretion of each council to make the decisions that it considers appropriate for the needs and views of its community.

Rurally zoned land is suited for farming and other rural uses and is located outside of towns has it’s own set of rural for allowing tiny home use. Because rural land is unlikely to be connected to town water or sewer the development of more dwellings on this land can be met with some red tape. Under the Planning Regulation and the South East Queensland Regional Plan 2023 (ShapingSEQ), the Regional Landscape and Rural Production Area (RLRPA) and Rural Living Area (RLA) is protected from inappropriate development, particularly urban and rural residential development. This does not mean multiple tiny homes cannot be placed on rural land, the approval for this is up to individual councils and the zoning of the particular property.

The state of Victoria is monumental in the progression of the tiny house on wheels acceptance movement. This is all because of the Victorian Government’s change to the red tape surrounding the use of second dwellings on an existing property.

In December 2023 the rules changed around a secondary dwelling on a residential property and now no council approval is needed for a property that already has an existing dwelling to add a secondary dwelling on the same property.

The Victorian Government’s Housing Statement: The decade ahead 2024-2034 details how a small second home of up to 60 square meters, also known as a granny flat, secondary dwelling or an accessory dwelling unit, no longer requires a planning permit in most cases where there are no flooding, environmental or other special planning controls. The small second dwelling still requires a building permit, to meet siting, amenity design and safety requirements and it cannot be subdivided or sold separately off from the main home. However this is a huge step in the right direction for tiny home use in Victoria. And the next best news about this secondary dwelling? Anyone can live there! Family, friends or it can even be rented out to provide extra income to help with the increase cost of living.

To read more about the Housing Statement via the download below.

And more information can be found in the applicants guides.

• If a tiny house is classified as a caravan, it is regulated by the Caravan Parks and Camping Grounds Act 1995 and the Caravan Parks and Camping Grounds Regulations 1997, does not require a building permit and does not generally require a development approval.
• However, written approval may be required from the local government as outlined below. Under the Caravan Parks and Camping Grounds Regulations 1997, the use of caravans is generally restricted to licensed caravan parks.
• However, the Regulations (r.11, r11A and r11B) provide for a person to ‘camp’ in a caravan on a property that they own or have a legal right to occupy:
  • For up to five nights, with the landowner’s consent;
  • For up to 24 months, with the written approval of the local government; or
  • For up to 24 months, with the written approval of the Minister for Local Government

As a condition of local government or Minister for Local Government approval, the relevant land must be suitable for camping with respect to health, safety and access to services (e.g. water supply, sewage and power). Some local governments may have local laws that provide additional restrictions or requirements.

The shire of Esperance was at the forefront of accepting tiny home on wheels which seemed like the beginning of more choice for housing. However 2024 saw a shift, with changes to the state’s Caravan Parks and Camping Ground Act 1995 and the Esperance Shire’s Tiny houses on Wheels Local Planning Policy became obsolete.

When tiny homes are seen as temporary accomodation, the Cook Government is reducing red tape by extending the time frame local governments can approve temporary accommodation arrangements on private land. Caravans are often used for transitional housing while a house is under construction, for interim arrangements following natural disasters or on a seasonal basis. Under the Caravan Parks and Camping Grounds Regulations 1997, local governments can approve these arrangements for a maximum three months.

Local government approval powers to extend from three to 24 months and updates to the regulations will reduce red tape and discourage unlawful camping. The reforms aim to provide greater flexibility; from 1 September 2024, local governments will be able to approve applications for up to 24 months maximum, which can then be renewed. Applicants will still need to meet health and safety requirements in the regulations, and local governments may establish policies to guide their consideration of approvals. Special approval is still required for more than one caravan on a single lot.

While we have gathered a lot of the facts surrounding the relevant available information, we advise you to talk to your individual council to find out more about your specific area.

The Northern Territory has the ‘Northern Territory Planning Scheme (NTPS) 2020’ which is ‘rule book’ for land use and development in the NT. The scheme covers the whole of the NT, except for Jabiru which has it’s own town plan. The NTPS is a legal document used by government, councils, industry and the community. It contains maps, rules, policies and documents that guide what can be built where. The planning scheme can be complex and confusing for non-technical users. It is recommend to speak to a planner or a private planning consultant for advice on your building plans.

Tiny homes are used in the Northern Territory but regulations and requirements vary depending on factors like zoning, whether the tiny home is on wheels or not and whether it’s intended for permanent or temporary residency. There isn’t that much available and easily understandable information about the NT’s regulations around tiny homes on wheels. If you live in the NT and have questions about placing a tiny home on your property, we recommend speaking with your local council to help decode the NTPS and how it applies to you.

Tiny Houses on Wheels (THOWs)

If your tiny house is built on a trailer, it’s typically classified as a vehicle. The ACT Road Transport Authority oversees such vehicles, ensuring compliance with road transport rules, including size and weight restrictions. For specific guidelines, it’s advisable to consult the ACT Road Transport Authority.

Permanent Tiny Houses

For tiny houses constructed on a fixed foundation, they are treated as permanent dwellings. These structures must adhere to the National Construction Code (NCC), which sets standards for structural integrity, fire safety, energy efficiency, and plumbing and electrical systems. The Environment, Planning, and Sustainable Development Directorate manages building code compliance in the ACT.

Planning and Dwelling Rules

The ACT Government, through the Environment, Planning, and Sustainable Development Directorate, handles planning regulations. Since the ACT lacks local councils, it’s essential to engage directly with this directorate to understand specific requirements for your tiny house project.

Given the evolving nature of tiny house regulations, it’s recommended to consult directly with the relevant ACT authorities to obtain the most current and detailed information tailored to your situation. While clear information around tiny home use in the ACT lacks, we know generally the answer isn’t always no for your intended use, you’ll just need to check with your relevant authorities around your area.

Tasmania recognises that tiny homes offer flexibility, housing affordability and sustainable living options. The variety of ways that tiny houses are used can make it difficult to determine which planning and building requirements apply. The State Planning Office have released the Tiny Houses Fact Sheet to provide information about planning requirements for tiny houses in the Tasmania Planning Scheme (TPS). The fact sheet aims to clarify requirements and provides guidance on the current planning requirements for using and developing a tiny house as a permanent residence on a site. It’s important to remember that even though the fact sheet is full of information, it is intended as a guide and it is still recommended to seek advice from your local council before residing or intending to reside permanently in a tiny house. The Fact Sheet does not address the building and plumbing requirements for tiny houses.

Whether you need a planning permit to use your tiny house as a permanent residence depends on what planning zone the site is located, and the design and location of the tiny house on the site. Not all residential use and development requires a planning permit.

A single dwelling on a site, or a secondary residence (e.g. a granny flat), does not require a planning permit in the main residential zones, if the relevant planning rules in the TPS are met.

Regardless of their size, a tiny house used as a permanent residence on a site is still a residential use, so is assessed accordingly under the TPS3.

A tiny house that is fixed to the ground (e.g. a water or wastewater connection) or connected to another structure such as a deck or awning, would normally be considered as a permanent structure. It is recommended that you discuss your circumstances with a qualified planner or your council to better understand the planning rules that are applicable to you.

There are 16 zones in the TPS which accommodate different types of houses. The planning rules that apply to a tiny house depend on how it is used, and the zone it is located in.

A tiny house used as a permanent residence is assessed as a residential use and development like all other houses. A tiny house can be approved for residential use and development on a site in one of the following ways:

• the only dwelling on a site (a single dwelling);
• a secondary residence associated with a single dwelling on a site;
• one of a number of dwellings on a site (a multiple dwelling4); or
• as part of another form of housing, such as a boarding house or communal residence.

A single dwelling or a secondary residence is assessed as No Permit Required in the main urban residential zones, if the relevant planning rules are met. Only some zones allow for multiple dwellings, or other forms of housing, and would be assessed as either Permitted or Discretionary.

The key planning rules for dwellings in the main urban residential zones include:

• building height and setbacks (building envelope)
• site coverage
• private open space
• privacy, and
• density requirements for multiple dwellings.

The Department of Justice, Consumer, Building and Occupational Services (CBOS) have issued a regulatory note on tiny houses to provide more information on the current building and plumbing requirements. This regulatory note defines ‘Tiny House’ into two categories and provides regulations for both definitions. We’ve taken a snapshot from the note:

‘Tiny Houses’ is an informal term that is often used to describe a smaller home that may be considered more financially sustainable, or a lifestyle preference compared to the more traditional sized houses. This Regulatory Note provides guidance on the building and plumbing regulatory requirements for the use of these buildings and road registrable vehicles for accommodation purposes.
These ‘Tiny Houses’ currently fall into one of the following categories:

• Habitable buildings (not road registered) – A class of building recognised under the National Construction Code that is built for the purpose of living in. This definition covers site-built and prefabricated buildings. The Regulatory Note – Prefabricated buildings – Plumbing approval process provides more information on plumbing approvals for unregistered relocatable buildings.
• Road registered vehicles are structures that are capable of being registered for use on a public roadway and relocated by towing behind a vehicle. These are commonly known as a caravan or camping trailer. Note: A structure is no longer deemed road registrable where it is connected to the ground by any form of construction or plumbing work.

A ‘Habitable Building (not road registered)’ requires that all building and plumbing work must meet the requirements of the Building Act 2016 and provisions of the National Construction Code (NCC) relevant to the Class of building being constructed. While the ‘Road Registered’ definition of the tiny home does not have the equivalent form of building class approval because a road registered vehicle does not fall under any category of a class of building under the NCC. We think this causes a grey area between definitions which means not everyone is being held to the same standard of building tiny homes. In saying that though, the Tasmanian government has provided lots of accessible information for us to read through, we wish every state did this!

To read more of the ‘Tiny House’ note click below.

Accessible information is the cornerstone of the tiny house movement in Australia. Whether you’re looking to buy one for your property to rent out or live in one full time, we all need to know state by state what red tape and open doors there are. The common theme throughout all our research to write this blog was that while state legislation, planning schemes and regulations exist, they really act a sounding board for individual councils to create their own rules and acceptance over tiny houses. Don’t be discouraged if you didn’t find the answers you were hoping for from your state in this blog, we recommend reaching out to your local council or relevant authorities and having a chat to them about your intentions with a tiny house and go from there.

When you are talking to council remember the positives about tiny homes and if your council doesn’t know them, take it as an opportunity to spread the education about them.

• Tiny homes provide safe, secure and affordable housing.
• Tiny homes can be as off grid as they need to be, limiting how much they need to draw from town amenities.
• Tiny homes when rented out for short term rentals can provide positive tourism to your council and surrounding areas.
• Tiny homes when rented out for longer term can provide affordable housing for renters and an income to landowners to help ease cost of living.
• Tiny homes can also provide independence for dependent family members that you don’t want living too far away.

These are just a few of the positives we know and love about tiny homes. Thanks for reading our blog, we hope you found it helpful!

Legal disclaimer: All information and images contained within this blog have been obtained from sources deemed to be reliable. However, we cannot guarantee this information is accurate. Interested parties should conduct their own thorough due diligence in relation to council regulations.