A bill was introduced to Parliament on 22 May 2025 to reduce the time and cost of building a granny flat. This long-awaited legislation intends to permit small stand-alone dwellings up to 70 square metres to be built without a building consent if certain conditions are met. The bill passed its first reading on 22 May 2025, and it is currently with the Select Committee with their report due on 23 September 2025. The purpose of the Select Committee is to gather information and prepare a report on the bill for the House to review, including any recommended changes. Following the Select Committee’s report, the bill will go through its second reading before being presented to the whole House where it is further debated and changed before being prepared in final form. The bill in its final form is debated in the third reading, following which there will be a final vote in the House to either pass the bill or reject it. If the bill is passed it then needs to receive Royal assent by being signed by the Sovereign, or the Sovereign’s representative in New Zealand (the Governor-General). There is no definite time frame on when this change will come into effect, however the bill is anticipated to be passed by the end of the year, coming into effect in early 2026. It is important to note that the law has not yet changed, and the proposed building consent exemption will not be retrospective. This means that if you are going to start building a granny flat now, you cannot apply for the exemption when the law changes. If you are unsure whether your building work needs a building consent or resource consent, check with your local council. Have another property related question? Get in touch with us today!
