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HIA Member Survey Signals Higher Granny Flat Building Plans

Concept of a modest weatherboard granny flat beside a main brick home
A compact backyard granny flat.

HIA reported in March 2026 that surveyed members expected to build ten times more granny flats in 2026 than they did in 2022. That is a statement about member expectations, not a count of completed granny flats across Australia. Updated 2 October 2026.

Clarification: our earlier article treated the figure too broadly and added unsupported claims about trade backlogs and regional enquiry growth. Those claims have been removed.

What HIA actually reported

The association’s 12 March 2026 statement attributed the expectation to its member survey while calling for more consistent planning rules. It framed secondary dwellings as part of a wider housing discussion.

The distinction matters. A builder’s expected workload is different from an approval, commencement or completed dwelling. The statement alone doesn’t establish the total number built nationwide, a final 2026 growth rate or the chance of finding a tenant for one particular property.

To judge a construction trend, readers would need comparable counts, the period covered, the sample and a clear definition of the dwellings being measured. We haven’t used the survey claim to calculate a national completion total.

Survey expectations can help explain what an industry association is hearing from members. They still need a defined sample and a later comparison with actual activity before being used as an outcome measure. A forecast can be informative without being presented as a result that has already happened.

Planning proposals still need local checks

A call for a national framework doesn’t create one. The NSW secondary-dwelling guidance is one example of the operative framework to check. State and local provisions still determine what can be proposed on a particular site, while building requirements govern the construction. Read the state comparison before applying a reform headline to your property.

Tasmania’s proposed larger allowance and Western Sydney’s airport-area changes concern different legal provisions and land. They shouldn’t be combined into a general statement that every backyard can now accommodate a larger granny flat.

What the forecast means for a buying decision

Treat the report as industry context. Ask shortlisted suppliers for their current availability, contract milestones and scope, then verify the approval route for the address. A national expectation cannot establish a particular builder’s schedule or justify a deposit.

For an income-focused project, research comparable lawful rentals locally and model expenses, vacancy and finance separately from construction cost. Our property-value guide explains why construction spend, rent and resale value are different measures.

Follow TGFG news for sourced policy developments. The quote comparison guide provides the practical next step once the property requirements and supply scope are clear.

Primary sources

These cards are an editorial summary of official pages. The Granny Flat Guide is not a certifier, council or licensed builder. Check the live official URL before you lodge or sign.

  • Your Home (Australian Government)Your Home: Australia's guide to environmentally sustainable homesJurisdiction: Australia · Effective: Living resource (check current page) · Checked on: 2026-09-02 · Layer: editorial summary
  • Australian Building Codes BoardNational Construction CodeJurisdiction: Australia · Effective: NCC 2022 (confirm current edition) · Checked on: 2026-09-02 · Layer: building approval
  • Victorian Building AuthorityBuilding Act 1993 / small second dwelling settingsJurisdiction: Victoria · Effective: Confirm current VBA guidance · Checked on: 2026-09-02 · Layer: building approval
  • QBCC (Queensland)Queensland Building and Construction Commission licensingJurisdiction: Queensland · Effective: Confirm current QBCC page · Checked on: 2026-09-02 · Layer: building approval

See our editorial standards for how we research and update guides.

About The Granny Flat Guide

Independent Australian research on secondary dwellings and backyard housing. We publish cost guides, council rules and supplier reviews. We are not a builder. See our editorial standards.


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