Approvals & compliance

NSW vs Victoria: Where Modular Construction Law Actually Stands

Both states have relevant reforms, but their approval and contract changes are different. Compare the current pathway for your site, not a simple claim that one state has legislated and the other has not.

Reading time
4 min read
Author
Author: ModuHaus Editorial Team
Reviewer
Reviewed by: ModuHaus Editorial Team
Last updated
Last updated: 28 September 2026
Planning professionals reviewing a modular home site between suburban and regional Australian settings

NSW and Victoria both have reforms relevant to modular construction. They are not identical, and a law receiving assent is not the same as every new requirement being in operation.

For a buyer, the useful comparison is the approval pathway, contract scope and evidence required for the specific project.

The short answer

NSW's Building (Approvals and Practitioners) Act 2026 has received assent. Victoria has also enacted relevant legislation, including domestic building contract reforms addressing modern methods of construction.

It is therefore misleading to describe the comparison simply as "NSW has legislated; Victoria has not". Check what each reform covers and when the relevant provisions apply.

NSW: passage is confirmed, implementation is separate

The NSW Parliament record confirms assent on 14 August 2026. The new Act is relevant to the building approvals and practitioner framework.

NSW Planning says most provisions have not started and existing approval processes continue until the relevant parts commence.

Do not assume that a manufactured-home installation approval or existing certificate can be skipped. Read our NSW reform guide before discussing the transition with your certifier.

Victoria: contract reform and building reform are distinct

Victoria's building reform guidance records assent to the Domestic Building Contracts Amendment Act 2025 on 16 September 2025. It includes changes addressing offsite-manufacturing payments and MMC contract arrangements.

Consultation on draft regulations ran from 18 August to 16 September 2026. Separate work on the broader MMC building framework is also described. Do not treat a consultation proposal as a final rule, or assume every contract change began on assent.

Compare the project questions side by side

CheckNSW starting pointVictoria starting point
Reform statusConfirm commencement and transition requirements for the relevant Act provisionsConfirm applicable contract provisions, regulations and building requirements
Land and intended useAsk which planning and installation pathway appliesAsk whether planning permission is needed and confirm the building pathway
Factory evidenceAgree acceptable documentation before manufactureAgree acceptable documentation before manufacture
Payment arrangementsObtain an itemised written contract and applicable payment termsCheck which domestic building contract and MMC payment rules apply
Site completionIdentify installation, inspection and occupation requirementsIdentify installation, inspection and occupation requirements

The table is a discussion checklist, not a finding that either state approves all modular homes or offers the same pathway for every product.

Which state is better for a modular home?

There is no reliable statewide answer based on reform headlines alone. A suitable site with clear access and an established approval pathway may be more important than the construction label.

Compare these practical constraints before choosing a location:

  • 01Permitted use, zoning and relevant site constraints.
  • 02Setbacks, usable footprint and service availability.
  • 03Delivery access, lifting and installation arrangements.
  • 04Required engineering, energy and other compliance evidence.
  • 05Written allocation of applications, inspections and site works.
  • 06Complete project cost and a realistic programme.

Treat unanswered questions as unresolved costs or risks. Do not turn a policy objective about faster construction into a guaranteed completion date.

Do not transfer approval between states

A supplier's documents can support review, but approval for one location does not establish approval for another. Ask the local project team what can be reused and what needs site-specific work.

Use the NSW approval starting point or Victoria approval starting point for the proposed land. Also check the energy assessment assumptions, which can change with climate and orientation.

Before comparing quotations

Ask both suppliers to quote against the same intended use and scope. Separate the module price from transport, supports, service connections, professional fees and approvals.

Our product price versus project cost guide helps make the comparison meaningful. A lower catalogue price is not enough to establish a lower installed cost.

Frequently asked questions

Has Victoria passed legislation relevant to modular construction?

Yes. Victoria's Domestic Building Contracts Amendment Act 2025 addresses MMC contract arrangements. It is not identical to NSW's approvals reform; check which provisions and regulations apply before relying on a payment or approval rule.

Are all NSW building reforms already operating?

No blanket assumption is safe. NSW Planning says most provisions have not started and existing approval processes continue until the relevant parts commence. Confirm the current pathway with the certifier.

Can an approval in NSW be used automatically in Victoria?

No. Ask the Victorian project team which documents can support assessment and which need site-specific review. An approval for another site does not establish approval for the proposed land.

Which state is easier for a modular home project?

It depends on the land, intended use, product, access and applicable requirements. Compare the actual approval and installation tasks with local professionals rather than ranking the states from reform announcements.

Next steps

Start your Planning Assessment with the proposed site, intended use and product shortlist.

This is general information, not legal, planning or compliance advice. Confirm requirements with the relevant authority and qualified project professionals before making a commitment.

Sources and further reading

Requirements change and can be applied differently by site and local authority. Check the current official sources and confirm your project with the relevant council, certifier or qualified professional.

Planning Assessment

Start with your site, not only the design.

Share the practical details around your land, intended use and timing so ModuHaus can help clarify the next conversation.

This guide is general information only and is not legal, planning, building, certification or financial advice. Australian requirements can change and may apply differently to each site. Confirm requirements with your local council, a registered certifier or another qualified professional before proceeding.