
Mayor Chris Homer inside one of the tiny homes. Photo: Shellharbour City Council.
Shellharbour homeowners can now put an eligible mobile tiny home on their property and rent it out long term without lodging a development application, under a NSW-first council trial aimed at tackling housing affordability and rental shortages.
Shellharbour City Council’s two-year Tiny Homes Pilot Program is officially underway after changes to the Shellharbour Local Environmental Plan 2013 were finally approved, moving an idea first developed in response to the housing crisis from planning into practice.
The pilot applies to moveable dwellings that could be registered like a vehicle, removing development fees and streamlining the approval process for those used as rental accommodation.
Mayor Chris Homer said the pilot demonstrated council’s commitment to exploring practical solutions to housing challenges.
“We know housing affordability and rental availability are putting real pressure on many people in our community,” councillor Homer said.
“While there’s no single answer, we need to be open to exploring new ideas that can help provide more housing options for local residents.
“This is an important step because we’re now moving from planning into action.”
The pilot applies to eligible portable dwellings built on trailers that can be registered as a vehicle under the Road Transport Act 2013 and installed on suitable residential properties.
These are often built within four months and avoid the higher costs and delays associated with other building methods.
Under the pilot, eligible mobile tiny homes will be approved through the council’s Local Approvals Policy without the need for a development application, provided they meet specific requirements.
“The pilot will allow us to see how mobile tiny homes work in a real-world setting, while ensuring appropriate safeguards are in place for residents,” he said.
“The lessons we learn through this trial will help inform future decisions and give council a better understanding of whether mobile tiny homes could play a role in broadening housing options across our city.”
The pilot’s main goals include increasing housing diversity and affordability by providing a more flexible and lower cost rental option, and testing how mobile tiny homes work in practice before considering any future planning changes.
Developed through a detailed planning process that included community consultation and public exhibition, the council adopted the required planning changes in June.
During previous council meetings, some councillors expressed concerns around visual impact on streetscapes, parking and deterioration of roads through increased usage.
The council will monitor the pilot throughout the trial period and evaluate the results to inform future decisions and identify lessons learned.
He said all levels of government were trying to address the housing crisis and what the council was undertaking was being closely watched by other councils.
Residents interested in participating in the pilot can find eligibility requirements, application information, FAQs and supporting documents on the council’s website.
Original Article published by Kellie O’Brien on Region Illawarra.








