Alternative Housing Australia
Tiny House Rules and Regulations in Victoria
Updated October 2026 | AHA Research Team
In Victoria, we found no statewide rule for living in a tiny home on wheels. Councils set their own limits through local laws made under the Local Government Act 2020, and they don’t agree on whether a tiny home on wheels needs a building permit. So what’s allowed depends on where you live.
A fixed tiny home of 60m² or less in your backyard can count as a small second dwelling. On most residential lots of 300m² or more, it doesn’t need a planning permit, unless flooding, environmental or other special planning controls apply. It always needs a building permit.
Every site is different, so check with your council or a registered building surveyor before you start. If your property isn’t connected to sewer, an on-site wastewater system needs a council permit and must follow EPA Victoria’s requirements.
Quick Answers
Can I live in a tiny home on wheels on a vacant block?
Only with approval. We found no council that allows long-term living in a tiny home on wheels on a vacant block without a permit. Some councils offer time-limited permits, for example while you build a house.
Can someone live in a tiny home on wheels in my backyard?
It depends on your council. Some allow one beside an existing house with no permit, if it’s for private use and not connected to the house’s services. Others require a permit, set day limits, or say it needs a building permit.
Can I rent space on my land to someone with their own tiny home on wheels?
How long can guests stay in a tiny home on wheels without approval?
It depends on your council’s local law. We found no statewide limit, and the councils we checked range from 21 days a year to no time limit. Check your council’s local law before guests arrive.
Can I connect a tiny home on wheels to water and sewer?
Check with your council first. We found no state rule written specifically for this, but some councils say connecting a tiny home on wheels to mains plumbing means it’s no longer treated as movable, and the no-permit exemption we found doesn’t cover connected homes.
Can I build a fixed backyard tiny home without a full planning application?
Usually, yes. A small second dwelling of up to 60m² doesn’t need a planning permit on most residential lots of 300m² or more, as long as it isn’t connected to mains gas and no flooding, environmental or other special planning control requires one.
Do I need a building permit for a tiny home?
For a fixed tiny home, yes, always. For a tiny home on wheels, councils disagree. Some say a registered or registrable one may not need a building permit, while others say one people live in does, unless it’s a registered vehicle or another exemption applies.
Tiny house on wheels (THOW)
Quick answer: In Victoria, whether you can live in a tiny home on wheels depends on your council. We found no statewide rule, so councils set their own limits through local laws, and they disagree on whether a building permit is needed.
Is it a caravan or a building?
We found no formal definition of a tiny home in Victorian law, and councils treat a tiny home on wheels differently depending on how it’s set up and used.
On the road: it’s a trailer. To be towed, it must be registered with VicRoads or covered by a permit.
Parked on your land: councils disagree. Some say a tiny home on wheels that is a registered or registrable vehicle isn’t a building and may not need a building permit. Others say a tiny home people live in needs a building permit unless it’s a registered vehicle or another specific exemption applies.
Fixed down or connected to services: some councils say a tiny home that is fixed to the ground, or has a deck or verandah fixed to the ground, needs a building permit under the Building Act 1993 and must meet the National Construction Code. Some also say that connecting it to mains plumbing means it’s no longer treated as movable.
Before you buy: ask your council how it treats a tiny home on wheels, and get the answer in writing. The councils we checked look at whether it’s registered, whether it stays on its wheels, and whether it’s fixed down or connected to services.
How council rules work in Victoria
Councils use local laws, made under the Local Government Act 2020, to set whether someone can stay in a tiny home on wheels on private land, and for how long. Planning and building rules may also apply. The rules vary widely.
Some councils allow it without a permit. One council we checked lets one tiny home on wheels stay with no permit and no time limit on land with an existing house. It has to be for private use, not connected to the house’s services, and have its waste taken off site.
Some run permit schemes. One council we checked runs a pilot that issues permits for tiny homes on wheels under its local law.
Some set short limits. One council we checked doesn’t allow a tiny home to be used for more than 21 days in a calendar year without a permit.
The details for each council we checked are in Victorian councils to watch, below.
When you don’t need council approval
Short guest stays within your council’s limit. Short stays in a tiny home on wheels on private land may not need a local law permit, as long as they’re within the limit set by your council’s local law. Limits vary, and some councils have other rules too, so check yours.
Long-term living beside an existing house (some councils). One council we checked allows one tiny home on wheels to stay with no permit and no time limit on land with an existing house. It has to be for private use with no rent charged, it can’t be connected to the house’s water, electricity or sewerage, and its wastewater, sewage and rubbish must be taken off site.
A council pilot (until 13 December 2026). One council we checked runs a tiny homes on wheels pilot that gives approved residents a Temporary Residence permit under its local law. The pilot is set up so participants don’t need a planning permit. It’s for affordable and key worker housing, not short-term holiday stays, and all permits expire on 13 December 2026.
After a bushfire. If your home was damaged or destroyed by a bushfire, Clause 52.07 of the planning scheme lets you set up temporary accommodation on your land without a planning permit for up to 3 years. This exemption covers bushfires only, and other laws, such as building rules, may still apply.
Farm worker accommodation. Farm businesses can provide on-farm accommodation for up to 10 agricultural workers without a planning permit, on properties of at least 40 hectares in the Farming Zone.
Told you don’t need approval? Check with your council first.
If a seller or builder tells you a tiny home doesn’t need council approval, check before you buy. Whether yours needs approval depends on your state’s laws, your council’s rules, your property and how you plan to use the home. Get written confirmation from your council, or advice from a town planner, before you sign a contract.
When you need council approval
Living on vacant land. The no-permit exemption we found only applies where there’s already a house on the land. We found no council that allows long-term living in a tiny home on wheels on a vacant block without a permit.
Staying past your council’s limit. If someone will stay longer than your council’s local law allows, you’ll need a permit from your council, if it offers one.
Renting it out or running it as a business. The no-permit exemption we found is for private use only, with no rent charged. The pilot we found is for affordable and key worker housing and doesn’t allow short-term holiday stays. Check with your council before any paid or commercial use.
Permanent connections or additions. Some councils say a tiny home that is fixed to the ground, or has a deck or verandah fixed to the ground, needs a building permit under the Building Act 1993. Some also say connecting it to mains plumbing means it’s no longer treated as movable.
Renting space on your land to a tiny home owner
This section is for landowners who would host someone else’s tiny home on wheels, with the owner paying for the space. If you own the tiny home and are looking for somewhere to park, see our guide, Where Can I Park My Tiny House on Wheels in Victoria?
No state rule written for this. We found no Victorian law or state guidance written specifically for renting space on private land to someone who brings their own tiny home on wheels. The council local laws, planning rules and building rules covered above still apply, and they vary by council.
Charging rent can rule out the no-permit exemption. The no-permit exemption we found only applies if the landowner isn’t charging the person in the tiny home rent, no business is run from it, it isn’t connected to the house’s water, electricity or sewerage, and its wastewater, sewage and rubbish are taken off site. If you plan to charge for the space, check with your council before anyone moves in.
Some council schemes are set up for this. One council pilot we checked is designed for this arrangement. Pilot participants find their own tiny home and land, get the landowner’s permission, and apply for a permit, and the tiny home is placed on the land under an agreement with the host. The pilot is for affordable and key worker housing, not short-term holiday stays, and all its permits expire on 13 December 2026.
Who applies. Apart from that pilot, the councils we checked don’t say whether the landowner or the tiny home owner should apply for approval. Ask your council who needs to hold any permit before you agree to anything.
Which tenancy rules apply is unclear. Victoria’s Residential Tenancies Act 1997 has separate rules for residential rentals, for caravan parks, and for site agreements, where someone owns a movable home and rents the site it sits on in a park. The site agreement rules don’t cover a home that is, has been or is required to be registered under the Road Safety Act 1986. The Act defines a caravan park as land where movable dwellings are placed for people to live in on payment. If land is a caravan park, the caravan park rules cover a resident who owns the caravan on their site, unless it falls under the site agreement rules. We found no official guidance on whether renting space to one tiny home on wheels on private land makes that land a caravan park, or which rules cover the agreement, bond and standards. Contact Consumer Affairs Victoria or get legal advice before you sign an agreement or take any money.
Caravan parks have their own rules. A person must not operate a caravan park unless it’s registered under Victoria’s caravan park regulations. The Act also says the Building Act 1993, except Part 12A, doesn’t apply to movable dwellings situated in a caravan park. Some councils we checked say this only applies in a registered caravan park, and treat a tiny home on wheels there differently from one on private land, for example for building permits or day limits. The details are in Victorian councils to watch, below.
The home itself. How councils treat the tiny home, including whether it needs a building permit, is covered in Is it a caravan or a building?, above.
Towing and registration
To tow a tiny home on wheels on Victorian roads, it needs to be registered with VicRoads or covered by a permit, such as an unregistered vehicle permit.
Trailers up to 4.5 tonnes are light vehicles, and the standard width limit is 2.5 metres. Our buying guide covers weight limits, height, length, brakes, driver licences and registration in detail.
Wider than 2.5 metres? It becomes a Class O (oversize light) vehicle. Transport Victoria says these can travel without a permit up to 3.5 metres wide, but some areas have tighter limits and some routes and times are restricted. In the Mountainous Area and Otway areas, for example, anything wider than 2.5 metres isn’t permitted. If it’s wider than 3.5 metres, or you’re travelling through a restricted area and go over its limits, you need a Class O permit.
Planning a home wider than 2.5 metres? Check the Class O rules for your route, and talk to your builder about how it will be moved, before you commit.
Tiny house on foundations
A tiny home on permanent foundations is treated like any other house. It’s a Class 1a building under the National Construction Code, it always needs a building permit, and it may also need a planning permit, depending on your property.
Backyard tiny homes (small second dwellings)
In Victoria, a fixed backyard home of up to 60m² is called a small second dwelling, also known as a small second home or granny flat. A tiny home can count as one if it meets the planning and building requirements.
Size: 60m² or less. This includes all roofed areas built as part of it, such as a verandah, porch or carport. Unroofed decks and pergolas don’t count.
Self-contained: it must have a kitchen sink, food preparation area, bath or shower, toilet and washbasin. Under the building rules, it also needs its own facilities, including a laundry, and can’t rely on the main house’s.
Location: it must be on the same lot as an existing house. Only one is allowed without a planning permit.
Who can live there: anyone, including tenants. It can’t be subdivided from the main house or sold separately.
In most cases, a small second dwelling doesn’t need a planning permit, as long as all of these apply:
Zone and lot size: your lot is in a residential zone or the Township Zone and is 300m² or larger. In the Low Density Residential Zone, lot size doesn’t matter.
No gas: it isn’t connected to mains natural gas.
Overlays: the property isn’t affected by flooding, environmental or other special planning controls (overlays) that require a permit. In a Heritage, Neighbourhood Character or Design and Development Overlay, no permit is needed if the home is no more than 5 metres tall and finished in muted tones and colours.
Small second dwellings can also be built without a planning permit in the Farming, Rural Activity and Rural Living zones, if set requirements are met.
What the building permit checks
Location: the home must sit behind the front wall of the main house. Porches, verandahs, pergolas, eaves, gutters, sunblinds and shade sails can’t stick out past that line, and nor can decks, steps or landings more than 800mm high.
Access path: a clear, unobstructed path from the same front street as the main house, sealed or with all-weather access. It must be at least 1 metre wide (1.8 metres if it’s longer than 30 metres), with a slope no steeper than 1 in 14.
Outdoor space: at least 8m² of private open space, at least 1.6 metres wide, reached from a living area (not a bedroom).
If your design doesn’t fit: if it can’t meet the location, outdoor space or access path rules, your council can consider approving a variation through a process called report and consent.
The rest of the lot: the lot as a whole must still meet the rules for site coverage, permeable (water-absorbing) surfaces and, where it applies, minimum garden area.
Energy efficiency: new homes must meet the National Construction Code’s energy efficiency rules. Under NatHERS (Nationwide House Energy Rating Scheme), the most common way to comply, that means at least 7 stars and a Whole of Home rating of at least 60.
Building standards: the home must meet the National Construction Code, like any new house.
A tiny home as your main house
A fixed tiny home can be your only home, treated like any standard house. Whether you need a planning permit depends on your zone, lot size and any overlays, so check with your council before you design.
What’s changing in Victoria
Updated October 2026. This is moving quickly, so check back.
Surf Coast Shires tiny homes on wheels pilot ends on 13 December 2026. All permits issued under the pilot are valid until that date. The council says it will consult participants and neighbours during the pilot to help develop processes and policies that could regulate tiny homes on wheels in the future. We found no official announcement yet about what happens after the pilot ends.
Rules for small second dwellings on small lots have changed. Since 8 September 2025, updated planning standards apply to small second dwellings on lots under 300m² in residential zones (other than the Low Density Residential Zone), which need a planning permit. The Department of Transport and Planning says Victoria’s building regulations and related guidelines will be updated to match.
Applications for dependent person’s units close on 28 March 2027. A dependent person’s unit is a movable building on the same lot as a house, used to house someone who depends on a resident of that house. New applications can be made until 28 March 2027. Existing lawful units will stay lawful after that date.
Some councils are reviewing their rules. At least one council we checked plans to review its local law on caravans and tiny houses.
What this means for you right now: if you’re in the pilot, check with your council about what happens after 13 December. If your lot is under 300m², you’ll need a planning permit for a small second dwelling, and the building rules may change, so confirm the current requirements with your building surveyor before you design. If you’re considering a dependent person’s unit, the application deadline is 28 March 2027.
Victorian councils to watch
Victoria has statewide rules for fixed small second dwellings, but the rules for tiny homes on wheels are set by each council. These councils have published their own tiny home rules or guidance. They don’t all agree on whether a tiny home on wheels needs a building permit, so get your own council’s position in writing.
Mount Alexander Shire: since 29 June 2023, its Local Law 13 lets one caravan, tiny house on wheels or tent stay on land with an existing house, with no permit and no time limit. This only applies if the tiny home can be moved, isn’t connected to the main house’s water, electricity or sewerage, has its wastewater, sewage and rubbish taken off site, and is for private use (no rent charged and no business run from it). On land without a house, you need a camping permit, which allows up to six months in a row, or 12 months while you build if the property has a valid building permit.
Surf Coast Shire: runs a Tiny Houses on Wheels Pilot. Approved residents get a Temporary Residence permit under the council’s Community Amenity Local Law 2021, and the pilot is set up so they don’t need a planning permit. It’s for affordable housing and key worker accommodation, not short-term holiday stays. The tiny home must be on a wheeled trailer base on private land, and it can’t be in a flood or bushfire overlay unless it’s within a township boundary. All permits expire on 13 December 2026.
City of Greater Bendigo: says a tiny home on wheels isn’t a building, so it doesn’t need a building permit, and one can’t be issued for it. Under its local laws, a tiny home can’t be used for more than 21 days in a calendar year without a permit, unless it’s in a registered caravan or holiday park. The council says a tiny home isn’t suitable as a permanent home in Greater Bendigo. A fixed small second dwelling always needs a building permit.
City of Greater Geelong: says a tiny home on wheels that is a registrable vehicle able to go on the road may not need a building permit, but it may still need a planning permit depending on where it’s placed. If the tiny home, or anything attached to it like a deck or verandah, is fixed to the ground, it needs a building permit. Where no other approval is needed, you may still need a local laws permit for camping.
Yarra Ranges Council: says tiny homes aren’t exempt from planning or building controls just because they’re small or moveable. It says the State Building Surveyor confirmed in April 2026 that a tiny home people live in that isn’t a registered vehicle is treated as a building, and generally needs a building permit unless a specific exemption applies. Under its local law, a caravan can only be used for temporary stays (days or weeks, not months). The council plans to review its local law on caravans and tiny houses.
Indigo Shire: says any home or accommodation needs a building permit, and tiny homes aren’t exempt just because they’re on a trailer. It says a tiny home is only exempt if it has a VIN (vehicle identification number) registered with VicRoads and is either in a registered caravan park or parked on your property for no more than 28 days in a calendar year. It also says connecting a tiny home to mains plumbing means it’s no longer treated as movable.
FAQs
Can I rent out my tiny home to a long-term tenant?
Tiny home on wheels: check with your council first. The no-permit exemption we found is for private use only, with no rent charged, and the pilot we found is limited to affordable and key worker housing.
Fixed backyard tiny home: yes, to anyone. As a rental, it must meet Victoria’s rental minimum standards, which cover things like the kitchen, bathroom, heating, locks, ventilation, electrical safety, and mould and damp.
Can I use my tiny home as a short-term holiday rental (Airbnb)?
Tiny home on wheels: the exemption and pilot we found don’t cover it. The no-permit exemption is for private use only, and the pilot doesn’t allow short-term holiday stays. If your council does allow it, Victoria’s short stay levy can apply to a tiny home or caravan that stays at one site for the whole booking.
Fixed backyard tiny home: state guidance says a small second dwelling can be used for short-term accommodation, but check with your council first, as some councils say a separate permit may be needed. Victoria’s short stay levy of 7.5% of the total booking fee applies to stays of less than 28 consecutive days. Your own home is excluded, but the levy does apply to a granny flat on the same land if it can be lived in separately. If guests book through a platform like Airbnb, the platform pays the levy.
Will adding a tiny home increase my council rates and land tax?
Tiny home on wheels: a caravan or similar temporary structure doesn’t count as a home for the land tax main residence exemption unless it’s approved for residential use. From 1 January 2026, owner-occupied land valued under $300,000 that contains a temporary residence, such as a caravan, tent or shed, can be exempt. You apply to the State Revenue Office in writing.
Fixed backyard tiny home: your home is exempt from land tax, but if a granny flat or bungalow on the same title was rented out to earn income in the previous tax year, you’ll pay land tax on that part of the land.
For council rates, check with your council about how a tiny home affects your property’s valuation and rates.
Can I go off-grid, use a composting toilet, or connect to services?
Tiny home on wheels: some councils say connecting a tiny home on wheels to mains plumbing means it’s no longer treated as movable. A composting toilet doesn’t deal with greywater (water from sinks, showers, laundries and kitchens), which still has to be managed properly. The no-permit exemption we found requires wastewater, sewage and rubbish to be taken off site.
Fixed backyard tiny home: if your property isn’t connected to sewer, you’ll need a council permit to construct, install or alter an on-site wastewater system, and it must follow EPA Victoria’s requirements. Check with your council’s environmental health officer before you install anything.
Common myth: going off-grid means you don’t need approval.
Being off-grid doesn’t change the other rules. Depending on your council and property, a tiny home can still need a planning permit, a building permit or a local law permit, whether or not it’s connected to services.
Can I subdivide my land or sell the tiny home separately later?
Fixed backyard tiny home: no. A small second dwelling can’t be subdivided from the main house or sold separately, so it stays part of the same property. It also doesn’t need its own car parking.
What regulatory changes are coming next in Victoria?
Tiny home on wheels: Surf Coast Shire’s tiny homes on wheels pilot ends on 13 December 2026, and at least one other council plans to review its local law on caravans and tiny houses. We found no announced statewide changes.
Fixed backyard tiny home: Victoria’s building regulations are due to be updated to match new planning standards for small second dwellings on lots under 300m². Applications for dependent person’s units close on 28 March 2027, and new energy efficiency standards for rental properties start on 1 March 2027.
Comparing states? See how every state’s rules stack up in our state-by-state comparison.