Who pays what? Dividing fence cost split examples for Victoria

By Pete Kendall, registered building practitioner CDB-U 67771 · Updated 2 November 2026

The rules in one minute

• Sufficient fence. Section 6 lists what decides a "sufficient" fence: the existing fence, how both blocks are used, reasonable privacy, the fences common in the area, council policy, planning and building rules, and any covenants. Where different standards apply, the lesser one counts as sufficient.
• Equal shares. Owners contribute equally to a sufficient fence unless they agree otherwise (section 7).
• Better than sufficient. The owner who wants more pays the whole cost of the part above the sufficient standard (section 8).
• Damage. An owner whose deliberate or careless act damages the fence pays the whole repair (section 9).
• Fencing Notice. Work should follow an agreement, a Fencing Notice or a court order. The notice sets out the boundary, the work, the contractor, a cost estimate and each owner's share.

Example 1: a straight equal split

A 20 metre, 1.8m timber paling fence between two houses is worn out. Both owners agree that a like-for-like replacement is sufficient. The written quote is $4,000, so each owner pays $2,000. This is the most common case, and our written quote can show each neighbour's share on one page.

Example 2: one neighbour wants a taller fence

A two-storey home has gone up next door, and Owner A wants 2.0m palings for privacy. Owner B is happy with the 1.8m fence that is sufficient for the area. The 1.8m quote is $4,000 and the 2.0m quote is $4,400. Under section 8, Owner A pays the $400 difference, so Owner A pays $2,400 and Owner B pays $2,000. The same logic applies to lapped and capped palings, Colorbond, or a lattice top that only one side wants.

Example 3: a corner block with three neighbours

A corner block shares a side fence with Neighbour 1 and the back fence with Neighbours 2 and 3. Each section is its own dividing fence, shared only with the owner on the other side. If the side fence costs $2,400 and the two back sections cost $1,200 each, the corner owner pays $1,200 + $600 + $600 = $2,400, and each neighbour pays half of their own section only. Send each neighbour their own notice for their section.

Example 4: one owner damaged the fence

Owner B's builder backs a skip bin into the fence and knocks down 6 metres. Section 9 makes an owner responsible for damage they, or someone they let onto the land, cause through a deliberate or careless act. If the repair costs $1,500, Owner B pays all of it. The Act's own examples include creepers, soil piled against a fence and clothes lines attached to it. A tree falling in a storm is different; see our storm damage guide, and check your home insurance.

Example 5: an urgent repair

A storm drops a section of fence and the dog is now loose in the street. Sections 23 to 26 let an owner do urgent work without the usual notice when giving one is not practical. Afterwards they send an urgent fencing notice with the reason, the cost and the receipt, and the neighbour's share is worked out the normal way. If a $900 emergency repair is to a sufficient standard, each owner pays $450.

Example 6: the land behind is a park or reserve

Under section 4, a council or trustee holding land as a public park or reserve is not an "owner" for the cost sharing rules, so it does not have to contribute. If your back fence faces a reserve, you may pay the full $4,000. Some councils still have their own fence contribution schemes, so ask the council or land manager before you start. Council land that is not a park or reserve can be different, so check first.

Example 7: you cannot find the other owner

The house next door is empty and the owner is unknown. The Act expects reasonable inquiries (occupiers, other neighbours, the council). The Victorian Government also suggests a title search through LANDATA. If the owner still cannot be found, the Act sets out how work can go ahead and how the share can be recovered later through the Magistrates' Court. Get advice before relying on this, because a court order may be needed first to make the absent owner contribute.

Turning this into a notice

Once you know the split, put it in a Fencing Notice. If your neighbour does not respond within 30 days, work can generally proceed; if they respond but you cannot agree, the Dispute Settlement Centre of Victoria offers free help and the Magistrates' Court is the last step. Our free Fencing Notice generator fills one in, and our guides on how to fill in a Fencing Notice, who pays for a dividing fence and what to do when a neighbour won't pay walk through each step.

Shared fences in south east Melbourne

Most of the fences we build are shared boundaries, across Heatherton, Cheltenham, Mentone, Moorabbin, Highett, Bentleigh East, Dingley Village, Parkdale, Mordialloc, Clarinda. Our written quote can split the price into each neighbour's section.

Common questions

Do neighbours have to split the cost of a fence 50/50 in Victoria?

Generally yes, for a sufficient dividing fence, under section 7 of the Fences Act 1968, unless the owners agree otherwise. Extras that only one side wants are paid by that side.

My neighbour wants a higher fence. Do I have to pay half?

You pay half of a sufficient fence. Under section 8, the owner who wants a higher or better fence pays the whole extra cost above the sufficient standard.

Who pays if my neighbour damaged the fence?

Under section 9, an owner whose deliberate or careless act damages the fence, including people they let onto their land, pays the whole cost of the repair.

Does the council pay half when my fence backs onto a park?

Not under the Fences Act. A council or trustee holding land as a public park or reserve is not treated as an owner for cost sharing. Some councils have their own contribution schemes, so ask before you build.

How do I split a fence on a corner block?

Each section is a separate dividing fence shared only with the owner on the other side of that section. Work out each section's cost and send each neighbour their own Fencing Notice.

Can I fix an urgent fence problem without a notice?

Yes, if giving a notice first is not practical. Afterwards, send an urgent fencing notice with the reason, cost and receipt, and the share is worked out the usual way.

General information only, not legal advice, current at November 2026. Worked figures are illustrations, not Expanse Fencing prices. Sources: Fences Act 1968 (Vic), sections 4 to 9, 12 to 14, 17 to 26; Fencing in Victoria (vic.gov.au); Fencing Notice templates (vic.gov.au).