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Writer's pictureMortgage Insights

Decoding DA vs CDC for NSW Homeowners

Updated: May 18



When embarking on a new home construction or significant renovation project, understanding the approval process is crucial. In NSW, you have two primary avenues: Development Application (DA) and Complying Development Certificate (CDC).

Let’s explore the key distinctions:


1. Approval Speed


  • DA: The DA route involves submitting your plans to the local council. Approval typically takes three to six months. Timelines may vary based on the completeness of your submission.

  • CDC: A CDC, overseen by a private certifier, offers faster approvals—usually within two to three weeks. However, it lacks neighbor engagement.

2. Flexibility


  • DA: While the DA process allows some flexibility, deviations from council guidelines are scrutinized.

  • CDC: The CDC adheres strictly to a standardized Code applicable across all state councils. It offers less design flexibility but streamlines the approval process.


Regardless of your choice, securing approval is essential before commencing any construction work. Engage with your specialists and follow the right path for a successful project.



Complying Development Certificate (CDC)


A Complying Development Certificate (CDC) is assessed by a private certifier rather than the local council. The evaluation is based on a standardized development regulation known as the Code, which remains consistent across all local councils in the state. While you must inform your local council when pursuing a CDC, they do not have decision-making authority in the approval process.


CDC Route

Compared to the extensive documentation required for most DAs, a CDC submission typically involves less paperwork. The private certifier reviews and approves designs that align with the Code. It’s essential to note that even a minor deviation from the specified Code can lead to application rejection—no flexibility or leniency is granted. This rigidity often necessitates adjustments to meet Code requirements, limiting the latitude for realizing design aspirations compared to the potential leniency offered by local councils in DAs.


CDC is designed to expedite approvals for small projects, bypassing the slower local council process. Typically, CDC approvals take approximately 2-3 weeks, significantly faster than the timeline for DAs.


When pursuing CDC, it’s akin to simultaneously handling both the DA and Construction Certificate. If your design adheres to the State Environmental Planning Policy (SEPP) 2008 (applicable to homes, housing alterations, and additions) or SEPP 2021 (for granny flats and additional dwellings), the process can be further streamlined. Additionally, from 2021, duplexes, triplexes, and townhouses may be approved under SEPP 2008 part 3.B—the low-rise density housing code.



Choosing the Right Approval Process


Determining the most suitable approval process for your project involves several considerations. During the design phase, maintaining an open mind is crucial to achieving the best outcome. Rather than rigidly adhering to predetermined rules set by either the local council or CDC guidelines, you can prioritise your vision for the construction.


Once initial design concepts are established, consult with your team of specialists to decide between DA and CDC. Consider the following factors:


1. Local Council Jurisdiction: Understand the specific regulations of the local council governing your area. This is often a key consideration in deciding between CDC or DA.


2. Design Specifics: Evaluate whether your new build or renovation aligns well with CDC guidelines.


3. Land Characteristics: Consider the unique features of your land or block.


4. Construction Timeline: Assess your desired project timeline.


Generally, if your project aligns with CDC guidelines, involves a straightforward build or renovation, and prioritizes time efficiency, opting for CDC approval is a quicker and slightly more cost-effective choice.


Conversely, if your envisioned home design significantly diverges from strict CDC guidelines, heritage restrictions apply during renovation, or your property lies within an environmentally sensitive zone, pursuing a DA through the council may be the only viable option.


Although the DA process takes longer, detailed and professional documentation can facilitate a smooth progression, especially if your plans align with the council’s somewhat flexible development controls.



Professional Services


You will require a team of professionals to ensure compliance with regulations and successful execution of the construction/development.


Here are the key services to consider:


1. Land Surveyor

A land surveyor is essential for preparing a detailed survey of your land and adjacent blocks. This survey outlines land features and boundaries, which is crucial for the development application or complying development certificate process. The surveyor’s work helps determine setbacks, easements, and other site-specific details.


2. Geotechnical Specialist

Depending on your land and location, a geotechnical specialist may be necessary. They analyze subsurface conditions (such as soil type, rock, or clay) to understand how it will impact house construction. Their report informs foundation design and construction methods.


3. Architect or Building Designer:

Engaging an architect or building designer is crucial for creating detailed plans and designs for your duplex property. They consider aesthetics, functionality, and compliance with regulations.

4. Private Certifier:

In NSW, a private certifier assesses your project against the Low Rise Housing Diversity Code (LRHDC) or other relevant codes. They verify compliance with regulations and issue the complying development certificate.


5. Legal Advisor or Solicitor:

Before signing any contracts, consider seeking legal advice from a solicitor or legal advisor. They can review your home building contract and provide guidance on legal matters. Your solicitor can also help you to resolve issues with council and/or other disputes.

6. Town Planner: A town planner is essential for navigating the complex regulatory landscape. They understand local zoning laws, development controls, and planning regulations. For your construction project, a town-planner can provide services such as site assessment, preparing development applications (DAs), community engagement and ensuring compliance.


7. Builder: A builder is the hands-on expert responsible for executing your construction project on the site and adhering to building codes, safety regulations, and design plans.


8. Finance Broker:

A finance brokerage firm such as Fairlane Finance specialises in securing funding for property development. We can connect you with suitable lenders and financial products such as:

  • Development Finance: Arranging loans specifically for construction and development.

  • Land Bank Finance: Securing funding to hold land until construction begins.

  • Equity Line of Credit: Leveraging existing equity for working capital or future projects.

  • Tailored Solutions: Customising financing options based on your project’s needs.



Remember that collaboration among these professionals is critical for a successful construction project.


Fortuitously, Fairlane Finance aligns with our own team of these strategic professionals to allow our clients an integrative approach for better outcomes. Their expertise together with ours ensures compliance, effective financing, and successful quality construction.


For your next construction, renovation or property development project, talk to us.

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