New granny flat rules: what they mean for your property

The rules around granny flats changed on 15 January 2026. Since then, some new standalone single-storey dwellings up to 70 m² can be built without building consent, provided the exemption conditions are met.

That has made granny flats a much more realistic option for many properties, but it does not mean every project is automatically approved or that the same answer applies to every site.

A granny flat may be able to use the new exemption if it is new, standalone, single storey, and 70m² or less, and if the design and construction comply with the New Zealand Building Code.

Even without a building consent, the work still needs to be done properly. In practice, that means the build must involve the right qualified people. Where restricted building work is involved, it must be carried out or supervised by Licensed Building Practitioners, and other specialist work must be completed by the appropriately licensed trades.

There are also process requirements. A Project Information Memorandum (PIM) must be applied for and issued before building work starts, and the council must be notified before work begins and again upon completion.

This is where people can come unstuck. Even if a granny flat meets the size and design criteria, there may still be other things to work through.

On the planning side, the national granny flat pathway also comes with standards around where the dwelling can sit on the property. In residential zones, the current national standard generally requires a granny flat to be set back at least 2 metres from the front, side, and rear boundaries. Other planning rules and site-specific factors can still affect what is possible on a property. Rural zones use different setback standards, and mixed-use or Māori-purpose zones can still rely on the underlying district plan.

It is also important to check for other factors that can affect a project, such as natural hazards, infrastructure constraints, power line clearances, earthworks, local bylaws, and any district or regional plan rules that still apply. The PIM process is designed to help identify many of these site-specific issues early.

This is where early planning really matters. We can help talk through whether a Pod is likely to suit the granny flat pathway, what needs to be checked for the property, and what questions should be answered before the project gets too far down the track.

That can include intended use, site access, placement, orientation, delivery, and the practical requirements around foundations and service connections. We can also help point you in the right direction for the council and professional input needed to confirm the pathway for your property.