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September 3, 2026

The Knock Down Rebuild Process in Melbourne, Step by Step

By :
September 3, 2026

The knock-down rebuild process replaces an existing house with a new one on the same block. In Melbourne it runs through six stages: feasibility, design, approvals, demolition, construction and handover. Most of the delay sits in approvals, not construction, because Victoria requires a separate council consent to demolish before a building permit can issue at all.

This guide covers the sequence as it applies to a custom build on an established block, including the Victorian statutory steps that most process guides leave out.

What a knock down rebuild actually involves

A knock-down rebuild means demolishing the existing dwelling and building a new one on the same title. You keep the land, the address and the location. Everything above ground goes.

It is treated as new construction, not renovation. That distinction matters because it changes which approvals apply, which contract you sign and which insurances are required.

The three things that separate it from a renovation:

  • The existing structure is removed entirely rather than retained and altered
  • The new home is designed from scratch rather than working around existing walls, footings and services
  • Compliance is assessed against current standards for a new dwelling, not the standards that applied when the original house was built

For owners who like where they live but not what they live in, it is often the only way to get a house that suits the site.

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Is your Melbourne block suitable?

Feasibility is settled by the title and the planning controls, not by the condition of the existing house. Work through these before spending money on design.

  • Covenants and easements. A covenant on the title can restrict materials, height, or the number of dwellings. An easement can rule out building over part of the block entirely.
  • Heritage overlay. If the property sits in a heritage overlay, demolition is discretionary and council can refuse it. This is the single most common reason a Melbourne knock down rebuild does not proceed.
  • Neighbourhood character overlay. Less restrictive than heritage, but it shapes what the replacement dwelling can look like.
  • Significant trees. Many Melbourne councils maintain tree registers and tree protection zones. A protected tree can dictate where the new house is positioned.
  • Block dimensions and slope. Fall across the site affects footings, retaining and access for demolition machinery.
  • Service locations. Where the power, gas, water and sewer connections sit determines disconnection sequencing and whether anything needs relocating.

A title search and a planning property report will answer most of this in a week. It is cheap information that prevents expensive surprises.

Stage 1: Feasibility and site assessment

This stage establishes what can be built and what the site will demand before any design work starts.

  1. Title search and planning property report. Confirms covenants, easements, overlays and zoning.
  2. Feature and level survey. A licensed surveyor maps boundaries, levels, existing structures, trees and service locations. Every drawing that follows is built on this.
  3. Soil test and site classification. Determines the footing system. Melbourne's reactive clay soils frequently push sites into a classification that changes the slab design and the cost with it.
  4. Existing conditions assessment. Identifies what is coming down, including any material likely to contain asbestos.

Getting this right at the start is the difference between a design that can be built and one that has to be redrawn. Our pre-construction planning checklist sets out the full list of what to have in hand before design begins.

Stage 2: Design and documentation

Architectural and engineering documentation for a custom home build

On a custom build there is no standard plan to select from, so this stage takes longer than it does with a volume builder. That is the trade-off: more time in design, a house that actually suits the site.

Design and documentation runs in three parts:

  • Concept design. Site response, orientation, room arrangement and how the house sits on the block. Reviewed and revised until the arrangement works.
  • Design development. Materials, structural approach, service routes and the level of detail needed for accurate pricing.
  • Working drawings and consultant documentation. The full set a surveyor and a builder can work from: architectural drawings, structural engineering, energy rating and any specialist reports the site requires.

The documentation set is also what determines how accurately the build can be priced. Thin drawings produce a cheap-looking quote and expensive variations later. Our architectural design service covers this stage end to end.

Stage 3: Approvals, and where Melbourne differs

This is where a Victorian knock down rebuild diverges most from the generic process described elsewhere. Three separate approvals may apply, they are issued by different parties, and they run in sequence.

Planning permit, and when you need one

A planning permit is issued by the council and deals with land use and the appearance of the development. On a standard residential block with no overlays, a single replacement dwelling often does not need one.

You are likely to need a planning permit if the property sits in a heritage overlay, a neighbourhood character overlay, an environmental significance overlay, or if the proposal does not meet the standard residential requirements. Where a planning permit is required, the application may be advertised and neighbours can object, which adds time that is outside anyone's control.

Check this first. It is the approval most capable of changing the programme.

Section 29A report and consent for demolition

This is the step almost no national guide mentions, and it is mandatory in Victoria.

Demolition is governed by sections 28, 29A and 29B of the Building Act 1993, set out in the Building and Plumbing Commission's practice note on demolition of buildings. Under section 29A, consent must be obtained from the council before a building permit to demolish can issue.

According to the City of Boroondara's Section 29A guidance, consent is required where you demolish or remove 100% of a building, demolish more than 50% of its volume, or alter any facade facing a street or laneway. Boroondara assesses applications within 15 business days. Assessment periods and application requirements vary between councils, so confirm the process with the council that covers your property.

What the council is assessing is whether the demolition itself is appropriate, separate from whatever you intend to build afterwards. Consent can be granted with conditions.

Building permit

The building permit is issued by a registered building surveyor, not the council, and it is what legally authorises construction. Where a planning permit is required, it must be obtained first. Where Section 29A consent applies, that consent must be in hand before the permit to demolish can issue.

Approval Issued by When it applies
Planning permit Council Overlays apply, or the proposal does not meet standard residential requirements
Section 29A report and consent Council Full demolition, more than 50% of building volume, or alteration to a street-facing facade
Building permit Registered building surveyor All construction and demolition work

Three approvals, two different issuing bodies and a required sequence is a large part of why Melbourne knock down rebuilds take longer than owners expect. Our project management service exists to hold this together rather than leaving the owner to coordinate it.

Stage 4: Demolition

Excavator demolishing a house during a Melbourne knock down rebuild

Demolition is short. Getting ready for it is not.

  1. Hazardous material assessment. Homes built before the 1990s may contain asbestos in eaves, cladding, wet area sheeting and floor coverings. An assessment identifies what is present before anything is disturbed.
  2. Licensed removal. WorkSafe Victoria licenses asbestos removal by class: Class A for friable material and Class B for non-friable material. Removal must be completed before demolition proceeds.
  3. Service disconnection. Electricity, gas, water and telecommunications are formally disconnected or abolished by the relevant authorities. These are third-party lead times and they are the most common cause of delay at this stage. Start them early.
  4. Protection work notices. Where demolition could affect an adjoining property, protection work must be addressed with the neighbouring owner before work begins.
  5. Site establishment. Fencing, signage and access.
  6. Demolition and site clearance. Machine demolition, sorting and removal of material, and clearing the site to a level surface.

The physical demolition of a single-storey house is usually a matter of days. The preparation ahead of it is measured in weeks.

Stage 5: Construction

With a clear site and permits in hand, construction follows the standard residential sequence.

  • Site works. Excavation, cut and fill, service trenching and any retaining required by the fall of the block.
  • Slab or footings. Set out and poured to the engineer's design and the site classification from Stage 1.
  • Frame. The structure goes up and the shape of the house becomes obvious for the first time.
  • Lock-up. Roof, external cladding, windows and external doors installed. The building is weathertight.
  • Fixing. Internal linings, joinery, doors, skirting and architraves.
  • Finishing. Painting, tiling, fixtures, fittings and appliances.
  • Practical completion. The house is complete and ready for handover inspection.

Mandatory inspections are carried out by the building surveyor at set points through this sequence. Our custom home construction service covers the build from siteworks through to practical completion.

Stage 6: Handover and the defects period

At practical completion, the building surveyor issues an occupancy permit, which is what allows you to legally move in. Handover follows.

  • Handover inspection. You walk the house with the builder and list anything that needs attention.
  • Documentation. Occupancy permit, warranties, manuals and compliance certificates.
  • Defects liability period. A defined period after handover during which the builder returns to rectify defects. The length is set out in your contract.

Domestic building insurance also applies to residential building work in Victoria. Ask your builder for the certificate before construction starts rather than at the end, and confirm what the policy covers and for how long.

How long does a knock down rebuild take in Melbourne?

Plan on twelve to twenty-four months from first engagement to handover. That is a planning range rather than a measured figure, and approvals and design account for a large share of it. Those are the stages owners most often underestimate.

For national context, the Australian Bureau of Statistics publishes average dwelling completion times, measuring the period from construction commencement to completion. Note that the latest reference period on that dataset is 2018-19, so treat it as a historical benchmark rather than a current figure.

The durations below are indicative planning figures only. Every one of them moves with the block, the design and the council.

Stage Indicative duration
Feasibility and site assessment 2 to 6 weeks
Design and documentation 3 to 6 months
Approvals 2 to 6 months, longer if a planning permit is advertised
Demolition, including preparation 4 to 8 weeks
Construction 9 to 14 months
Handover 2 to 4 weeks

Durations are indicative planning figures. Every stage moves with the block, the design and the council.

Two things reliably extend the programme: a planning permit that attracts objections, and service disconnections started too late.

What does a knock down rebuild cost?

Cost varies too widely for a single figure to be useful, because the block drives it as much as the house does. These are the factors that move the number most:

  • Demolition scope. Size of the existing house, presence of asbestos, and whether there are outbuildings, pools or slabs to remove.
  • Site access and slope. A narrow frontage or a steep fall increases machinery costs, excavation and retaining.
  • Service relocation. Moving a connection point costs considerably more than reconnecting to an existing one.
  • Design complexity. Two storeys, split levels, cantilevers and non-standard structure all carry cost.
  • Specification. Finishes, joinery and fittings are where budgets move most after contract.

A pre-construction consultation is the practical way to get a number for your block rather than a national average.

Knock down rebuild or renovate?

Renovating retains the existing structure and works within its constraints. A knock down rebuild removes them.

Consideration Renovation Knock down rebuild
Structure Existing footings, walls and services retained New throughout
Compliance Assessed against the scope of works Assessed as a new dwelling
Design freedom Limited by what stays Limited only by the site and planning controls
Cost certainty Lower, as unknowns appear once walls open up Higher, as everything is designed and priced upfront
Outcome An improved older house A new house on the same land

Renovation usually wins where the existing structure is sound and the layout broadly works. A rebuild wins where the house is at the end of its life, the layout cannot be fixed, or the site can support something substantially better.

Building a knock down rebuild in Melbourne with ROMAAC

ROMAAC Group is a registered Victorian builder holding building licences DB-U 100420 and CD-BU 100477, working across Melbourne and south-east Queensland. Our North Warrandyte build was completed on an established sloping block, the same conditions most Melbourne knock down rebuilds involve.

If you are weighing up a rebuild on a block you already own, the useful first step is establishing what the planning controls allow before committing to a design. That takes a title search, a planning property report and a conversation.

Frequently asked questions

1. Does a knock down rebuild count as a new build?

Yes. Once the existing dwelling is demolished, the replacement is treated as new construction. It is assessed against current standards for a new home, requires its own building permit, and is covered by a new domestic building contract rather than a renovation contract.

2. Do I need a planning permit to demolish my house in Melbourne?

Not always. A planning permit is generally required where the property sits in a heritage, neighbourhood character or environmental significance overlay, or where the proposal does not meet standard residential requirements. Separately, Section 29A consent from council is required for full demolition regardless of whether a planning permit applies.

3. How long does Section 29A consent take?

It varies by council. The City of Boroondara assesses applications within 15 business days. Other councils publish their own timeframes and application requirements, so confirm directly with the council covering your property before building a programme around it. Consent can also be granted with conditions attached, which may require further work before demolition proceeds.

4. Can I live on site during the rebuild?

No. The site becomes a construction site from demolition onwards and you will need alternative accommodation for the full build period. Factor that cost and its duration into the budget from the beginning, because it runs for the length of the programme.

5. What happens to my existing services and connections?

Electricity, gas, water and telecommunications are formally disconnected or abolished before demolition, then reconnected during construction. These are handled by the relevant authorities on their own lead times, which is why they are among the first things to arrange rather than the last.

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