If the fence between you and your neighbour is falling down, the good news is you usually don't have to foot the whole bill. In Victoria, the Fences Act 1968 sets out how neighbours share the cost of a dividing fence (the fence on a common boundary). A dividing fence is joint property, and both owners have the same rights and obligations. Here's how it works in practice.
Who usually pays, situation by situation
| Situation | Who usually pays |
|---|---|
| A standard, sufficient dividing fence | Split 50/50 between the two owners |
| One owner wants a higher-spec fence (taller, lapped and capped, dearer materials) | That owner pays the extra above "sufficient", unless you both agree to share it |
| Fence damage | A neighbour who deliberately or negligently damages the fence: usually that neighbour pays. Storm or tree damage: talk to your neighbour and the DSCV. |
| The house next door is rented | The owner (rental provider), not the tenant, in most cases. See the renters FAQ below. |
| Fence next to a public park or government land | Some Crown land is exempt from contributing, so check with your council or the land manager before planning on a 50/50 split |
What counts as a sufficient dividing fence?
The law doesn't set a height or a material. Neighbours contribute equally to a "sufficient dividing fence", and what is sufficient depends on things like:
- the style of the existing dividing fence, if there is one
- how you and your neighbour use the land
- reasonable privacy and security concerns
- the types of fences commonly used in your local area.
The Victorian Government's own example: for residential properties, a sufficient dividing fence might be a 1.8 metre timber paling fence (for rural properties, a wire and post fence). Typically the new fence is built the same as the old one.
If one of you wants something above that, such as a taller fence (see paling fence heights: 1.8m vs 2.1m) or a lapped and capped finish, the person who wants it pays the difference between a sufficient fence and the higher standard. If you both agree, you can share the extra.
Can't agree which side the rails face? Between two homes, the rails and framing go on the same side as the existing fence. With no existing fence, they go on the side least exposed to the weather.
Height limits and permits are a separate council and building question from who pays. See do you need a permit for a fence in Victoria? and, for our home patch, fence rules in Kingston, Bayside & Glen Eira.
What costs are shared?
Sharing goes beyond the palings and posts. According to the Victorian Government, the shared cost of fencing works can include:
- the fence itself (materials and labour)
- clearing the land so the fence can be built or repaired
- removing the old fence (see our old fence removal guide, including what to do about fibro fences, which may contain asbestos)
- a boundary survey to find the common boundary
- temporary barriers, for example to keep pets or kids in while the new fence goes up.
On our jobs, removing and disposing of the old fence is itemised on the written quote so both owners can see it. Clearing vegetation along the line and protecting garden beds are not part of our quote, so arrange those separately (they can still be shared costs between you). Gates are priced separately too.
Step 1: Talk to your neighbour first
Most fence projects are sorted with a friendly chat over the old fence. Agree on the type of fence, roughly when, and a 50/50 split. If you both agree, you don't have to follow any further formal steps. Getting a clear estimate up front makes this conversation much easier.
If the house next door is rented, you need the owner, not the tenant. Ask the tenant for the property manager's details, call your council and say you need to send the owner a Fencing Notice, or run a title search through LANDATA (fees apply).
Step 2: Give a Fencing Notice
If you want it formal (or your neighbour is hard to pin down), serve a Fencing Notice: the formal written proposal under the Act. It sets out the boundary line, the type of works, the contractor, a cost estimate and how the cost should be shared. Attach the quote. Your neighbour has 30 days from the day they receive it to respond.
If your neighbour doesn't respond to a Fencing Notice within 30 days, the work can go ahead and you can apply to the Magistrates' Court of Victoria to recover their share. Free help is available first from the Dispute Settlement Centre of Victoria (DSCV), and talking it through is almost always cheaper and quicker than court.
We built a free Fencing Notice generator that fills in a proper notice from your details, ready to print and serve, no signup needed.
Fencing Notice form: standard or urgent?
Almost always use a standard Fencing Notice. The urgent notice is only for a fence that has been damaged or destroyed (fire, flood, a fallen tree or branch) and needed immediate repair or replacement.
You can hand the notice to your neighbour personally, but registered post is recommended so you can show you sent it and the day it arrived, which is when the 30 days start.
- Official templates, standard and urgent, in PDF and Word: vic.gov.au/fencing-notice
- Our free standard notice generator: fill it in online, print and serve
You don't strictly have to use a notice. If you agree on everything, many people just sign the agreed quote. Without a Fencing Notice, though, a dispute is settled under contract law rather than the Fences Act, which makes it a lot harder to resolve.
What if my neighbour won't pay?
Don't start work and hope. Free help comes first from the Dispute Settlement Centre of Victoria, and if a Fencing Notice is ignored for 30 days you can go ahead and apply to the Magistrates' Court of Victoria to recover their share. Our guide to what to do when a neighbour won't pay for the fence covers every option, from mediation to court, step by step.
Urgent repairs: when you can fence first
Where a dividing fence is damaged or destroyed and needs urgent repair, for example by a falling tree or branch, fire or flood, you can do the work without giving notice or getting your neighbour's agreement first. Not all fence work counts as urgent, and talking to your neighbour first is still recommended. To ask them to contribute afterwards, give them an urgent fencing notice setting out the work done, the cost and why it was urgent. Storm damage has its own wrinkles, see fence blown down in a storm? Who pays and what to do.
How much is "half"?
You can't split a cost you don't know yet. The simplest way to start the conversation is an accurate figure for your actual fence line, so you and your neighbour each know what a fair 50/50 share looks like. When you're ready to go ahead, we can split the written quote across both owners, so each of you has your share in writing.
For typical Melbourne market costs, see our paling fence cost guide. Weighing up several quotes? Our 12-point quote checklist shows what separates a cheap quote from a properly built fence: post material (see hardwood vs treated pine posts), rail count, concrete footings, old fence removal and who is actually building it.
Get a free online instant estimate for your shared fence
Draw your boundary on a satellite map and get an estimate in about 2 minutes, handy to show your neighbour when you propose splitting the cost. The on-site measure and written quote are free and no-obligation (we just need 24 hours' notice).
Get my free instant estimate → Call 0433 938 540Frequently asked questions
Who pays for a fence between neighbours?
It depends on your state, because each state has its own fencing law. In Victoria, under the Fences Act 1968, adjoining owners generally share the cost of a sufficient dividing fence equally. An owner who wants a higher standard usually pays the difference, and a neighbour who deliberately or negligently damages the fence usually pays for the repairs. Outside Victoria, check your own state's rules.
Who pays for a fence between two houses in Victoria?
Under the Victorian Fences Act 1968, the two adjoining owners are generally each liable for half the cost of a sufficient dividing fence, which for homes might be a 1.8m timber paling fence. The shared cost can also include removing the old fence, clearing the land, a boundary survey and temporary barriers. If one owner wants a fence of a higher standard than sufficient, they generally pay the extra.
Is it normal to split the cost of a fence?
Yes. In Victoria a 50/50 split of a sufficient dividing fence is the starting point under the Fences Act 1968, and most neighbours simply agree on it. Many people formalise the deal by both signing the agreed quote. A Fencing Notice is the safer route if there is any doubt, because without one a dispute is settled under contract law rather than the Fences Act, which is harder to resolve.
What is a Fencing Notice?
A Fencing Notice is the formal written proposal under the Fences Act to build, replace or repair a dividing fence. It sets out the boundary line, the type of works, the contractor, a cost estimate and how the cost should be shared. Your neighbour has 30 days from receiving it to respond. If your neighbour doesn't respond within 30 days, the work can go ahead and you can apply to the Magistrates' Court of Victoria to recover their share.
What is an urgent fencing notice?
An urgent fencing notice is used after urgent fencing work, where a dividing fence was damaged or destroyed (for example by a falling tree or branch, fire or flood) and needed immediate repair. You can do urgent work without notice or agreement first, although talking to your neighbour is still recommended. To ask your neighbour to contribute afterwards, you give them an urgent fencing notice setting out the work done, the cost and the reason it was urgent.
Do I need my neighbour's permission to replace a shared fence?
You need your neighbour's agreement, or to have followed the Fencing Notice process, before the work starts. If you don't, your neighbour is not legally obliged to pay anything. The exception is genuinely urgent work, such as after a fallen tree, fire or flood, where you can fence first and then give an urgent fencing notice.
What if my neighbour won't pay or won't respond?
Start with the free Dispute Settlement Centre of Victoria, which helps neighbours resolve fence disagreements. If your neighbour doesn't respond to a Fencing Notice within 30 days, the work can go ahead and you can apply to the Magistrates' Court of Victoria to recover their share. If they respond but you can't agree, a magistrate can decide whether the work is needed, the type of fence, the timing and who pays what.
Do renters have to pay for a dividing fence?
Usually not. Under the Fences Act the land owners are responsible, and most residential and retail tenants do not have to contribute. Some long-term tenants on other leases, such as commercial leases, can be liable depending on the time left on the lease: under 5 years nothing, 5 to under 10 years half the rental provider's share, and more than 10 years all of it, and only if they receive the required notices. If you rent, speak to your rental provider.
Is there a dividing fences act fact sheet for Victoria?
The official plain-English summary is the Victorian Government's Fencing in Victoria page at vic.gov.au/fencing-victoria. It covers cost sharing, what a sufficient fence is, urgent repairs, renters and going to court. The standard and urgent Fencing Notice templates are at vic.gov.au/fencing-notice, and the law itself is the Fences Act 1968 and the Fences Regulations 2024 on legislation.vic.gov.au. Older PDFs online may predate the 2024 regulations, so check the date on anything you download.
Related guides
- Neighbour won't pay for the fence?Your options in Victoria, from mediation to court
- Fence blown down in a storm?Who pays and what to do (Victoria)
- Old fence removal MelbourneCost, disposal and fibro fences
- Fence rules in Kingston, Bayside & Glen EiraHeights and permits
- How to compare fence quotesA 12-point checklist
- Paling fence cost per metreMarket costs and what sets the price
- Do you need a permit for a fence?Height rules and permits in Victoria
- Free Fencing Notice generatorFill in, print and serve, no signup
Areas we serve
Timber paling fencing by region: Eastern suburbs · South East Melbourne · Western suburbs · Northern suburbs
Close to home in the south-east: Heatherton · Cheltenham · Mentone · Moorabbin · Brighton · Bentleigh
Sources: Fencing in Victoria (vic.gov.au), Fencing Notice templates (vic.gov.au), Dispute Settlement Centre of Victoria, Fences Act 1968 (Vic) and Fences Regulations 2024. This guide is general information, not legal advice, current at October 2026.