Your tiny home may be a caravan — but that doesn’t necessarily mean you can live in it
Tiny homes on wheels are easy to love. They’re compact, mobile and, especially on rural land, can seem like a smart alternative to building a conventional house. But in NSW, adding wheels to a home doesn’t wheel it outside the planning system.
That was the issue at the centre of Kelly v Bega Valley Shire Council [2026] NSWLEC 1588, decided by Commissioner Espinosa in the NSW Land and Environment Court on 9 September 2026. The case involved a tiny home being used as residential accommodation without the necessary planning consent. Council responded with two development control orders: one requiring the residential use to stop and another requiring the structure itself to be demolished.
At first glance, the result seems slightly odd. The Court revoked the demolish works order but allowed the stop use order to remain. So the tiny home could stay — but living in it could not continue without the required approval.
| Question | Court’s finding | Why it mattered |
| What was the tiny home? | A caravan and “moveable dwelling” | It wasn’t a “building” for the relevant demolition power |
| Could Council require its demolition? | Not under that particular order | The demolish works order was revoked |
| Could Council stop people living in it? | Yes | A moveable dwelling can still constitute “premises” |
| Did having wheels avoid planning law? | No | Residential use of the land was development requiring consent |
| Did the caravan rules solve the planning problem? | No | Local government rules did not displace the planning-consent requirement |
The wheels mattered — but only up to a point
This wasn’t simply a little house with decorative wheels tucked underneath. Evidence showed that the tiny home weighed 3,618 kg, below its 4,200 kg aggregate trailer mass rating. It was capable of registration, and its services and supports could be disconnected so it could be moved.
The Court also rejected the idea that a structure must be instantly or effortlessly transportable to qualify as a caravan. Needing some preparation before hitting the road did not necessarily change its legal character.
That distinction turned out to be crucial. A demolish works order under Schedule 5 of the Environmental Planning and Assessment Act 1979 (NSW) applies to a building, while the statutory framework excludes a moveable dwelling from that concept. For this particular structure, Council had used the wrong enforcement mechanism to require demolition.
Winning the “what exactly is this thing?” argument, however, didn’t answer another question that mattered just as much: what are you doing with it?
The stop use order operated differently because it could apply to premises. More importantly, using the land for residential accommodation constituted development under the EP&A Act. The tiny home’s ability to move did not make the planning-consent requirement disappear. Nor did the caravan and moveable-dwelling provisions under local government legislation override the applicable planning controls.
That is where Kelly becomes genuinely useful. It doesn’t say that every tiny home with wheels is automatically a caravan, that councils can never require one to be removed, or that every form of occupation requires precisely the same approval. Classification, zoning, exemptions, existing consents and the way the land is actually being used all matter.
If you’re looking at acreage and already imagining where the tiny home will go, ask the less glamorous questions before buying: • What is the zoning? • Is residential accommodation permitted? • What development consents already exist? • Is the structure legally a caravan, moveable dwelling or building? • Are separate Local Government Act approvals relevant? • What do the planning certificate and council records actually reveal? • Could wastewater, bushfire, access or environmental constraints affect the plan?
The distinction is simple, but important: mobility and planning permission are two different things. Your tiny home may legally have wheels. You still need somewhere lawful to call home.
Flash Conveyancing Advice
If you’re buying land and can already picture a tiny home, caravan or modular dwelling sitting on it, investigate the planning position before exchange. A section 10.7 planning certificate is an important starting point, but it isn’t a guarantee that your particular idea will be permitted. Check the zoning, existing approvals and restrictions, and obtain specialist planning advice where the proposed use needs further investigation.
Flash Conveyancing, led by Julian & Renee, specialises in property transactions throughout NSW. Rural and semi-rural purchases often deserve a little extra attention because what you want to do with the land may be every bit as important as the land you’re buying.
A section 10.7 planning certificate can tell you plenty about zoning and applicable planning controls, but Kelly shows why it shouldn’t be treated as a personalised green light for a particular project. A conveyancer can review the contract, title, registered interests and available planning information. If the real question is whether Council will allow a particular tiny home, secondary dwelling, wastewater system or residential use, specialist town-planning or council advice may also be necessary.
Existing structures deserve the same curiosity. A tiny home sitting peacefully on acreage isn’t necessarily approved just because it has been there for years, has wheels underneath it or looks perfectly at home in the agent’s photographs. What has actually been approved — and whether the current use matches that approval — is what counts.
Julian and Renee personally oversee files as part of Flash Conveyancing’s boutique, human-led service. According to the practice’s own procedures, sensitive settlement payment directions are directly voice-verified, while confidential client information is supported by offline local-storage measures.
Flash Conveyancing assists property clients throughout Sydney, Newcastle and Wollongong, as well as Blacktown, Hawkesbury, the Blue Mountains, The Hills, Hornsby and Parramatta. The practice also services Acacia Gardens, Angus, Arndell Park, Blacktown, Colebee, Glendenning, Glenwood, Grantham Farm, Kellyville Ridge, Kings Langley, Marsden Park, Melonba, Oakhurst, Parklea, Quakers Hill, Riverstone, Schofields, Seven Hills, Stanhope Gardens, Tallawong, The Ponds, Baulkham Hills, Beaumont Hills, Bella Vista, Castle Hill, Kellyville, Kenthurst, North Rocks, Northmead, Rouse Hill, Vineyard, Windsor, Annangrove, Box Hill, Cattai, Dural, Gables, Galston, Glenhaven, Glenorie, Maraylya, Middle Dural, Nelson, North Kellyville, Norwest and Winston Hills.
The practical lesson from Kelly isn’t “tiny homes are illegal”, and it certainly isn’t “put it on wheels and Council can’t touch it”. The Court drew a far more useful distinction: what the structure is and what you’re legally allowed to do with it on the land are separate questions. Before buying the block, make sure you have answers to both.
