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Restrictive covenants are legal restrictions recorded on a property’s title that limit how land can be used or developed. In Victoria, they can prevent subdivision, extensions, or certain building types—even if council approval is granted. Covenants bind future owners and must be reviewed before buying.
Common Types of Restrictive Covenants in Victoria
Restrictive covenants vary widely, but common examples include restrictions on:
• Building materials (e.g. brick only, no weatherboard)
• Building size or height
• Subdivision of the land
• Type of dwelling (e.g. single dwelling only)
• Use of the property (e.g. residential use only, no commercial use)
• Outbuildings or fencing
• External appearance or setbacks
Many older Melbourne suburbs contain restrictive covenants that were created decades ago but still apply today.
How Do Restrictive Covenants Affect Property Use?
Restrictive covenants can significantly limit what you can do with a property, including:
• Renovating or extending a home
• Building a second dwelling or townhouse
• Subdividing land
• Running a business from home
• Altering the external appearance of a property
Even if a proposed development complies with local council planning rules, a restrictive covenant can still prevent it from going ahead.
How Are Restrictive Covenants Enforced?
Restrictive covenants are usually enforced by:
• Other property owners who benefit from the covenant
• Developers or owners of nearby land
Importantly, council approval does not override a restrictive covenant. A neighbour who benefits from the covenant may object or take legal action if it is breached.
Can a Restrictive Covenant Be Removed or Changed?
In some circumstances, a restrictive covenant can be:
• Removed or varied by agreement with all benefiting parties (often difficult)
• Modified or removed through the Supreme Court of Victoria
• Amended as part of a planning permit process, in limited situations
These processes can be complex, time-consuming and costly, which is why understanding restrictive covenants before purchasing is so important.
How Can You Find Out If a Property Has a Restrictive Covenant?
Restrictive covenants are recorded on the Certificate of Title or may be referred to in associated documents such as a Plan of Subdivision.
As part of the conveyancing process, Red Door Conveyancing carefully reviews the title and related documents and explains any restrictive covenants in plain English, so you know exactly how they may affect the property.
Why Restrictive Covenants Matter Before You Buy
If you’re purchasing a property with future plans in mind, such as renovating, extending or developing, restrictive covenants can make or break those plans.
Understanding them early can help you:
• Avoid unexpected limitations
• Assess whether the property suits your long-term goals
• Renegotiate or reconsider before committing to a purchase
How Red Door Conveyancing Can Help
At Red Door Conveyancing, we take the time to identify and explain restrictive covenants and other title issues, so there are no surprises after settlement.
Whether you’re buying your first home, an investment property or land for development, our Melbourne-based team ensures you fully understand what you’re buying—and any restrictions that come with it.
If you have questions about restrictive covenants or need expert conveyancing advice, contact Red Door Conveyancing today by submitting a contact form or call us on 03 8456 6797.
