NEW 70M2 GRANNY FLAT RULING.

New 70m² Granny Flat Rule in New Zealand: What It Means for You

New Zealand is preparing to introduce a major change to housing rules that will allow standalone dwellings—often called granny flats—of up to 70m2 to be built without a building or resource consent. This new policy is expected to come into effect in early 2026, and it could make building small, self-contained homes faster and more affordable than ever before.

What’s Changing?

The biggest change is that granny flats up to 70m2 will no longer require formal building or resource consent, as long as they follow these conditions. 

• The build must be new, single storey and have a simple design that meets the building code.
• The build must be 2m from any other building or boundary.
• Be constructed or supervised by a Licensed Building Practitioners or certified tradespeople.
• Engage relevant engineering and soil reports where required. 
• Notify council before starting the build using a Project Information Form and submit final building plans to council once it’s completed.

Infrastructure charges still apply

Even though consents will no longer be required, councils will still charge development contributions. These are fees that help fund the infrastructure needed to support new dwellings, such as water, stormwater, roads, and public facilities. These charges will be collected through the Project Information Memorandum (PIM) process. 

Design and professional requirements apply

The new rules come with clear design and construction requirements. To be exempt from consent, the dwelling must be no higher than 4m, maintain at least 2m of setback from all boundaries, and be built using lightweight materials such as timber or light steel framing. The home must also include safe and code-compliant plumbing, drainage, and electrical systems, which must be installed by qualified professionals. Builders will be required to submit standard documentation like energy efficiency certificates, Records of Work, and other compliance paperwork to the council. 

What This Means for Homeowners

For many, this change will mean building a granny flat is simpler, faster, and more affordable. Removing the need for building consent eliminates a significant cost—on average around $4,400 and cuts down on weeks or even months of paperwork and delays. This could be a game-changer for families looking to add space for elderly parents, grown children, or even to generate rental income.

The new rule offers much more flexibility for people who want to make better use of their land without going through the traditional red tape of council approvals. It’s estimated that this change could support the creation of approximately 13,000 additional homes across the country over the next 10 years.

However, the new system does not remove all responsibilities. Homeowners must still use qualified professionals to ensure the build meets all relevant standards. Even though building consent is not required, each project still needs to comply with local planning rules such as zoning, flood zones, and hazard overlays. Development contributions must still be paid, and the build still has to follow the guidelines outlined in the Building Code.

Councils will continue to play an important role in managing infrastructure and development impacts, even though their role in inspections and approvals will be reduced. Responsibility for the quality and compliance of each build will shift more heavily onto the builders and trades involved.

What Should You Do Now?

Although the new rule is not yet in effect, now is a good time to begin planning if you’re considering building a granny flat. It’s important to wait until the exemption is officially in place—any projects started before that time will still require full consents under the current law.

If you're thinking ahead, speak with us today we can help ensure your project will comply. 

The legislation and final policy details are expected to be confirmed and enacted through amendments to the Building Act and a new National Environmental Standard. These changes are likely to be finalised late 2025, with implementation expected in 2026.

Link: Building consent changes for small dwellings

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