WA warns consumers over misleading claims for DIY prefab pods

Authorities say permit-free marketing may leave homeowners exposed to compliance, safety and financial risks.

Western Australian authorities are warning consumers to exercise caution when purchasing prefabricated pods, tiny homes and other outbuildings amid growing concerns that some suppliers are promoting products as “DIY” or “permit-free” when approvals may still be required. (main image: A growing number of prefabricated pods are being marketed directly to homeowners, prompting renewed attention to how these buildings fit within existing planning and building approval frameworks in Western Australia.)

The joint warning from the Department of Local Government, Industry Regulation and Safety’s Consumer Protection and Building and Energy divisions follows an increase in advertising suggesting prefabricated structures can be assembled over a weekend without council approval or building permits.

According to the agencies, such claims may be false or misleading under the Australian Consumer Law and could result in homeowners installing structures that fail to meet planning or building requirements.

Consumers are being urged to check approval requirements with their local government before purchasing or installing any prefabricated building. Authorities note there are no specific exemptions for prefabricated structures, and many products used as buildings or parts of buildings will still require building permits.

Where a building permit is required, habitable buildings valued above $20,000 and non-habitable structures, such as sheds, valued above $50,000 must be installed by a registered builder or an approved owner-builder. The builder named on the permit is responsible for ensuring the completed building complies with applicable standards.

Trish Blake, Commissioner for Consumer Protection, Western Australia.
Trish Blake, Commissioner for Consumer Protection, Western Australia.

Commissioner for Consumer Protection Trish Blake said misleading marketing could create significant problems for homeowners.

“We’re concerned that some homeowners may be led to believe these structures don’t require permits or approvals, which may not be the case. That misinformation can create avoidable headaches for households and their councils,” she said.

Blake added that Western Australians were entitled to clear and accurate information when making purchasing decisions and reminded suppliers that making false or misleading representations about products is an offence under Australian Consumer Law.

Building Commissioner Phil Payne said compliance extended beyond the structure itself, with factors including setbacks from property boundaries, height restrictions and underground services also requiring consideration.

He said building permits and registration requirements exist to ensure structures comply with applicable codes and standards, while any associated electrical and plumbing work must be undertaken by appropriately licensed tradespeople.

The agencies recommend consumers confirm planning and building approval requirements with their local council, engage a registered builder where required, and obtain written assurances from suppliers regarding compliance obligations before proceeding with a purchase.

Complaints can be lodged with Consumer Protection about misleading information or with Building and Energy about home building work contracts between $7,500 and $500,000 or building work of any value.