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Subdividing blocks set to get easier in Victoria

The state government has announced it will make it easier for property owners to subdivide and build a second house in a typical suburban backyard.

New streamlined planning rules will come into effect in October to fast-track approvals for people who want to build a second home on their block, or subdivide their block and sell off the land – reducing wait times for the process from more than 60 days to 10 business days.

The fast-tracked VicSmart process will apply to Victorians who want to build a second home, replace an existing house with two new ones, or subdivide their block and sell part of it.

On average, the state government estimates that it will save applicants more than $2400 in fees, cut around two months in time and lessen the stress associated with the process.

Key criteria must be met to achieve the fast approval, such as siting, privacy and design standards.

Important protections – like heritage and environmental overlays – also still apply, so new homes fit well into existing neighbourhoods.

Premier Jacinta Allan said the changes will add to housing supply, make subdividing easier, faster and cheaper, and will help drive a homebuilding boom in the suburbs in a way that’s sensitive to every street.

“I want to get millennials into homes – and so many people in their 30s are looking at new townhouses and homes on subdivided blocks that have a couple of bedrooms and space for the kids to run around. It works for them,” Ms Allan said.

“Every time a new home is approved faster, a door opens for young people to live where they want – near the things they need and the people they love.”

Housing minister Harriet Shing said it will also bring economic benefits to the state.

“By making it quicker to subdivide and build, we’re unlocking thousands of new projects that will boost construction, create jobs and deliver more homes in the suburbs where people want to live,” she said.

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