Who is an Owner-Builder?

Understanding the legal definition under Victorian law and when owner-builder obligations are triggered

The Legal Definition

The Victorian Building Authority (VBA) defines an owner-builder as "someone who takes responsibility for domestic building work carried out on their own land." This definition is deliberately broad and encompasses a wide range of activities beyond simply picking up a hammer.

Under the Building Act 1993 (Vic), domestic building work carries an expansive definition. It encompasses:

  • Constructing a new dwelling
  • Alterations, renovations, and additions to an existing dwelling
  • Ancillary buildings and structures (pergolas, decking, garages, sheds)
  • Demolition of a building or part of a building
  • Any work associated with the above

Key principle: Owner-builder work includes circumstances where the owner intends to carry out part of the work themselves and contract out other aspects — but not circumstances where all work is contracted out to a single registered builder under a major domestic building contract.

Certificate of Consent

An owner-builder who wishes to carry out domestic building work in excess of $16,000 (including the cost of materials and labour) must first obtain a Certificate of Consent from the Victorian Building Authority before commencing work.

To be eligible for a Certificate of Consent, the applicant must satisfy all of the following criteria:

Be the registered owner of the land
Intend to perform work in relation to a single domestic dwelling
Reside or intend to reside at the dwelling
Not be 'in the business of building'
Complete the VBA owner-builder eLearning assessment

Exclusions and Restrictions

Applicants are excluded from obtaining a Certificate of Consent if they have previously entered into a contract to sell an owner-built home without the relevant insurance, or if they have been issued an owner-builder permit in the previous 5 years for a different property. Exceptions may be granted in special circumstances by the VBA.

What Counts as Owner-Builder Work?

This is one of the most commonly misunderstood aspects of owner-builder law. The scope is far broader than most vendors realise. The critical test is not whether a permit was required or obtained — it is whether the work was done by or managed by the owner without a registered builder engaged under a major domestic building contract.

Examples of Owner-Builder Work
Kitchen renovation or makeover
Bathroom renovation
Pergola or deck construction
Retaining wall construction
Landscaping involving structures
Room additions or extensions
Garage or carport construction
Structural alterations
New home construction
Works managed by owner using multiple trades
NOT Owner-Builder Work
Work done by a registered builder under a major domestic building contract
Work where all tasks contracted to a single registered tradesperson
Work where a permit was not required AND a registered builder performed all work with a MDBC
Routine maintenance and repairs

The Permit Misconception

Many vendors incorrectly assume that because a building permit was not required for certain works, those works are not "owner-builder" works. This is wrong. If works were done without a permit (whether a permit was required or not), they are regarded as owner-builder works — unless a permit was not required and a registered builder performed all the work under a major domestic building contract.

Owner-Builder Responsibilities

By taking on the role of owner-builder, an individual assumes a broad range of legal responsibilities that would ordinarily rest with a registered building practitioner:

Work Performance: Doing all or part of the work yourself, except for work required to be carried out by licensed tradespeople. Note: owner-builders are not permitted to carry out demolition, subfloor works, or relocate homes.
Contracting: Entering a major domestic building contract when required (i.e., where costs exceed $10,000, involve structural work, or involve two or more trades).
Licensing: Ensuring all contracted tradespeople are registered and licensed as required by law.
Building Surveyor: Engaging a building surveyor to issue building permits, conduct inspections, and issue an Occupancy Permit (new building) or Certificate of Final Inspection (renovations).
Supervision & Safety: Supervising building work and maintaining occupational health and safety for all workers on site.
Compliance: Ensuring all building works comply with the National Construction Code and relevant Australian Standards.

On This Page

Key Threshold

$16,000
Certificate of Consent required for works exceeding this value (including materials and labour)

VBA Public Register

The VBA maintains a public register of Certificates of Consent issued since 2016. Practitioners should search this register as part of due diligence when acting for purchasers. Records remain listed for 10 years.

Search VBA Register →