When a Tree Can Kill a Sale: Property Boundaries, Tree Roots, and Overhanging Branches in Victoria

By David Dawn, Licensed Conveyancer – Victorian Property Settlements

It may sound dramatic, but it’s true: a single tree can derail a property transaction in Victoria. Whether it’s a mature gum shedding limbs across a neighbour’s roof, a fig tree whose roots are lifting the neighbour’s driveway, or an overgrown hedge creating a boundary dispute, trees can trigger legal battles, valuation disputes, and even settlement delays.

At Victorian Property Settlements, we’ve seen these seemingly minor landscaping issues turn into major contractual headaches. This article explains how trees affect property law in Victoria and what buyers and sellers need to know to avoid costly surprises.

Trees and the Boundary Line: Who Owns What?

In general, a tree is considered to be owned by the person whose land it grows on. But roots and branches don’t obey title boundaries — they often extend beyond the legal fence line.

Legally, if a tree’s roots or branches encroach onto a neighbour’s land, the neighbour has a limited right to trim them — but only up to the boundary, and only if doing so doesn’t kill or damage the tree.

This becomes particularly important when:

  • A large tree’s canopy overshadows a neighbouring property

  • Roots damage foundations, fencing, or underground services

  • A hedge blocks access, views, or violates fencing laws

If the tree is protected by council laws or located within a heritage overlay, even pruning may be illegal without a permit.

Tree Damage and Liability: What Happens If It Goes Wrong?

If a tree causes damage to a building, fence, driveway, or underground pipe — the owner of the land where the tree grows may be liable. This includes:

  • Cracked retaining walls

  • Sewer or stormwater blockages

  • Roof damage from falling limbs

But proving liability is difficult. Under Victorian law, the affected party must generally show:

  • The tree was reasonably foreseeable to cause damage

  • The owner knew or ought to have known about the risk

  • The owner failed to act within a reasonable time

This is often a grey area, especially during contract negotiations or final inspections.

Trees and Planning Overlays: Traps in Suburban and Coastal Areas

In many local council areas (especially Mornington Peninsula, Frankston, Banyule, and Boroondara), local laws or planning overlays protect native vegetation, large canopy trees, or specific species.

In these areas:

  • You may need council approval to remove, prune, or disturb a tree

  • Fines for unauthorised tree removal can exceed $10,000

  • Special rules apply if the tree is near a heritage-listed property or in a bushfire-prone zone

We’ve seen settlements delayed because the buyer believed they could remove a tree, only to discover too late that a Vegetation Protection Overlay (VPO) applied.

Common Tree Disputes Between Neighbours

Neighbourhood tree disputes are one of the most common causes of VCAT applications related to residential property.

Typical issues include:

  • Overhanging branches that drop debris or restrict sunlight

  • Root systems lifting concrete or cracking pipes

  • Shared fencing is compromised by vegetation

  • Hedges planted as de facto fences encroaching onto both properties

Disputes often escalate when new owners move in and discover existing trees are already causing conflict. This creates stress, legal fees, and ongoing animosity.

Trees at Final Inspection: What Should Buyers Look For?

The final inspection before settlement is the last chance to identify changes, damage, or encroachments. Buyers should:

  • Check for new cracks or heaved paving near large trees

  • Examine fences for signs of root pressure or limb damage

  • Confirm no tree work has been done without permits

  • Review any council or arborist reports provided in the Section 32

We recommend buyers photograph trees at contract time and again at final inspection — especially if they are close to the boundary or structures.

Can You Make a Tree Removal a Contract Condition?

Yes — but it must be clearly stated in the contract or as a signed addendum. You can request:

  • That a specific tree be removed before settlement

  • That the vendor obtains a permit or arborist report

  • That overhanging branches or root issues be addressed

If the vendor refuses or council approval is needed, the buyer can then decide whether to proceed, renegotiate, or walk away (if conditional).

Best Practice: Tree Awareness from the Start

Whether buying a suburban block or a coastal retreat, follow these steps:

  1. Get a title and overlay search – check for vegetation restrictions

  2. Review the Section 32 carefully – look for disclosure of council action or disputes

  3. Walk the boundary – identify encroachments, roots, and overhangs

  4. Ask your conveyancer – we can advise on how to handle potential tree risks

  5. Talk to neighbours – they may already have an issue with a tree you're inheriting

Trusted Support for Property Buyers

At Victorian Property Settlements, we take tree risks seriously. They’re often overlooked — until they cause a serious financial or legal problem. We ensure every contract and Section 32 review includes consideration of:

  • Encroachments and fencing boundaries

  • Planning overlays and protected species

  • Existing neighbour disputes or claims

  • Condition of structures near root systems

Need help reviewing your property? We’re here to help.
📞 Call (03) 9783 0111
🌐 Visit: www.victorianpropertysettlements.com.au