A trial of new planning rules for mobile tiny is being launched by a NSW council, with the goal of giving residents more affordable housing options.

Shellharbour Council, located in the Illawarra region, mentions that the results from a two-year testing period could potentially serve as a foundation for approving mobile homes in NSW.

Tiny houses – usually built on wheels or trailers – appeared to many as the ideal solution to the housing crisis.

These homes are relatively affordable to either purchase or construct (when compared to traditional houses or units) and can be placed on private property in areas with limited housing availability.

But regulations for tiny houses differ across states, territories, and local council areas and can be hard to navigate.

In NSW, homes that are transportable via a trailer are generally classified as caravans. One of the stipulations is that they are permitted to be occupied only by individuals from the main household.

Now Shellharbour Council thinks it has designed a roadmap allowing anyone to occupy tiny homes, and it could become a blueprint throughout NSW.

Before the trial phase begins, the council is set to modify planning rules to allow for the installation of mobile tiny homes on current residential properties without needing a development application.

Despite this, there will be stringent conditions, which include maintaining minimum setbacks, ensuring connection to essential services, and adhering to fire safety and construction standards.

The move needs to be approved by the NSW government, a process expected to take about six months.

Mayor Chris Homer said he hopes the results of the trial will help cut red tape throughout the state surrounding tiny mobile homes.

“We understand that renting can often be a challenge and costly. Our aim is to offer people more housing options while ensuring that everything is safe and properly managed,” he stated.

“Tiny homes offer a flexible and lower cost option for locals. This trial will help us see how well they work in our area.”