Granny's New Flat Life A Reality

Building Act Changes: Simpler Rules for Small Structures and “Granny Flats”

Recent amendments to the Building Act 2004 aim to make small-scale building work quicker and more affordable for homeowners, while maintaining essential safety and compliance standards, writes Charlotte Morris.

Small Dwellings – Reduced Setback Requirements

The Government has introduced measures to simplify the building consent conditions for single-storey detached dwellings – such as garden sheds, garages, and sleep outs.

Previously, such dwellings had to be setback from a boundary or another building by at least their own height. Anything closer generally required a building consent.

The new changes remove the minimum setback requirement for single-storey buildings under 10 square metres and reduce the minimum setback to one metre for single-story buildings between 10 to 30 square metres.

These changes enable homeowners to maximise the use of their land while reducing consenting costs and delays. Building works must still comply with the Building Code and the remaining Building Act requirements, including site coverage and height limits. 

Granny Flats – New Consent Exemption for Small Dwellings

A new building consent exemption will allow homeowners to construct secondary dwellings (granny flats exemption) up to 70 square metres without needing a building consent. This new granny flats exemption is expected to commence in early 2026.

To qualify for the granny flats exemption, the dwelling must be:

·         Standalone, single-storey and self-contained;  

·         Compliant with the Building Code;

·         Newly built, or supervised, by licensed building professionals; and

·         Notified to the local council before works commence and after it is completed.

There are various conditions and requirements that apply to this granny flats exemption so it is important to approach the project with the same rigour you would any building/renovation work - checking building standards, planning rules, services and access, and keeping your records in order.

You will still need a building consent before the granny flats exemption is in force.

These reforms collectively aim to reduce costs, speed up small-scale building projects, and expand affordable housing options across New Zealand.

If you have questions on how these changes affect your property, please contact a member of our Property Team for further information.