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Short answer: SIL and ILO are alternative pathways for daily support in your home (you get one or the other, not both). SDA is separate funding for the physical building itself, available only to a small group with very high needs. And for many participants, the actual answer is none of the above. Drop-in support is the most common and most overlooked option, and you can absolutely still share a house with friends or housemates on drop-in.

If you've been told you "need SIL" without anyone explaining the alternatives, this article is for you. By the end you'll know exactly how the options fit together, why SIL is getting harder to get approved, the truth about so-called "SIL homes," and which pathway actually matches your life.

Let Me Start With a Story

I was talking to a family recently about their son moving out of home. They were absolutely insistent. He needed 1:1 SIL. Twenty-four hours a day. No housemates. Couldn't possibly share with anyone.

So I asked a few clarifying questions. Can he toilet on his own? Yes. Can he make himself food? Yes. Anything else he's working on? Oh, he's learning to drive.

I sat with that for a second and then asked the obvious question. If he can toilet himself, cook for himself, and is learning to drive a car, why on earth does he need 1:1 support 24 hours a day in a SIL? And why can't he share a house with anyone?

Their answer is the same answer I hear from so many families. Because he's never been without us before.

And there it is. The single biggest unspoken assumption in NDIS housing. People default to high level support packages not because the person actually needs it, but because moving out of the family home feels enormous and 1:1 SIL feels like the safest landing pad. Somewhere along the line we collectively decided that the only way for someone with disability to live independently is alone, with a paid worker, around the clock.

It isn't. It really, really isn't.

Most people who move out of home need less support than their families assume on day one. Most people thrive with housemates, not without them. And most of the time, the right answer isn't even SIL. So before we get into definitions, let me just say this loud: the goal of moving out is not to recreate your bedroom with paid staff. The goal is a real life.

Right. With that out of the way, let's actually define each option properly. In English.

The 30-Second Version

SIL = Structured daily support. Funding for support workers, usually (but not always) 24/7. Now typically delivered at a 1:3 staff-to-participant ratio. Getting harder to be approved for.

ILO = An alternative to SIL. Can be 24/7 or scheduled support, often supplemented by someone (a host or co-resident) who provides informal support in exchange for a discounted rent or stipend. A newer support type to SIL, but a real option.

Drop-in support = The most common option people forget exists. A support worker visits on a schedule. Not 24/7. Funded under Core Supports. Where most participants with moderate needs actually land.

SDA = The building itself. Sits separately. Funds the bricks and mortar of a purpose-built home for participants with very high physical or behavioural support needs. Around 6% of participants qualify. Can pair with SIL.

A few quick clarifications before we go deeper:

• SIL and ILO do not stack. They're alternative pathways. You get one or the other.
• SIL and SDA can stack for participants who need both a specialised building and intensive daily support.
• Most participants in home and living do not get SIL. They get drop-in support. This is increasingly the typical pathway since the NDIS Review.
• You can share a house and supports on drop-in. You don't need SIL to live with housemates. More on this below.

Now let's pull each one apart.

Supported Independent Living (SIL): Structured Daily Support

SIL is funding for the support workers who help you live in your home. It is not a house. It is not rent. It is not your groceries. It's the staff.

That distinction matters because it's the single most misunderstood thing in NDIS housing.

What SIL Covers

• Help with personal care (showering, dressing, medication)
• Help with cooking, cleaning, laundry, and household tasks
• Building life skills like budgeting, social skills, communication
• Behaviour support if it's part of your plan
• Overnight support (active or sleepover)
• Help getting to appointments, work, or community activities

What SIL Technically Does NOT Cover

• Your rent
• Your groceries
• Your electricity, gas, water, internet
• The physical house itself (that's SDA territory if you qualify)

The Bit Nobody Explains Properly

Here's where it gets interesting, and where most articles stop short. Yes, SIL technically doesn't cover those costs. But in practice, most SIL providers will charge you a separate amount to cover or subsidise them. They typically take a portion of your Disability Support Pension (DSP) and your Commonwealth Rent Assistance (CRA) to pay for rent, utilities, and household running costs. This is usaully 25% of your DSP but some providers will charge more.

So your day-to-day budget under SIL usually ends up looking something like this

• NDIS pays the provider: for support workers (this is your SIL funding)
• You pay the provider (from DSP and CRA): for rent, utilities, and some household costs
• You pay personally: for groceries, phone, personal items, anything social

This arrangement isn't written into the NDIS rules. It's how the SIL market has organically structured itself, because someone has to pay for the house.

How Much Support Does SIL Provide?

SIL is usually 24/7 support, but not always. The traditional SIL model assumes shared rostered staff around the clock, which is what most participants with high support needs receive. Lower-intensity SIL packages exist for participants who need substantial daily support but not constant supervision.

The 1:3 Ratio You Need to Know About

Post-NDIS Review, SIL is increasingly being delivered at a 1:3 staff-to-participant ratio. One support worker shared between three participants in a household.

What this means practically: if you're heading toward SIL, expect to be living with at least two other participants and sharing your support staff. This makes housemate compatibility absolutely critical. Three strangers sharing one worker in one house can either be the start of a great chapter or a slow-motion disaster. The difference is whether you actually chose each other.

Who SIL Is For

SIL is for participants who genuinely need substantial daily support to live safely. SIL is getting harder to be approved for. The NDIA is scrutinising applications much more carefully, and many participants who would have been approved five years ago are now being directed toward alternatives.

The Honest Pros and Cons

Pros: Structured, predictable support. Round-the-clock coverage when needed. Social connection with housemates. Provider usually handles the housing logistics so you don't have to.

Cons: Lower flexibility than ILO or drop-in. Shared staff under the 1:3 ratio. You may end up living with people you didn't pick (unless you use a housemate matching platform).Usually a little more "locked-in" which can make switching providers feel scarier than it actually is.

The "SIL Home" Myth

Let's clear something up because it confuses everyone, including a lot of people working in this sector.

A "SIL home" is not a thing under the NDIS. The NDIS does not fund or define "SIL homes." If you read the NDIS guidelines cover to cover, you won't find the term.

What's actually happened is the wider disability sector has invented the concept. A "SIL home" in market language means a regular house (usually unmodified, not SDA-approved) that a SIL provider has sourced, leased, or in some cases bought, specifically to fill with participants who'll share support inside it.

Why This Matters

Your SIL funding does not pay for the house. The provider sources the property and pays for it separately. They generally use the profit margin from your SIL supports, combined with rent contributions from each participant, to cover the property costs.

This has two big implications for you:

1. The provider has a financial incentive to keep that house full. Vacant rooms cost them money. This can sometimes lead to pressure on participants to accept housemate placements that aren't a great fit, because the provider needs the room filled.

2. If you leave, you don't take the house with you. The house belongs to (or is leased by) the provider. Your SIL funding can move with you to a new provider, but the bricks and mortar stay where they are. Worth knowing before you sign anything.

What This Means in Practice

You're not buying or renting "a SIL house." You're entering an arrangement where a provider sources a house, fills it with participants who share rostered support, and charges each of you separately to cover housing costs out of your DSP and CRA. The NDIS pays for the support. You and the other participants pay for everything else, through the provider.

It's not bad. It's just not not the most participant empowering option.

Individualised Living Options (ILO): The Alternative to SIL

ILO is the other pathway. The alternative to SIL for participants who want a more flexible, personalised home and living arrangement.

Where SIL says "here's a structured shared home with rostered support," ILO says "okay, how do you actually want to live? Let's design it from scratch."

How Much Support Does ILO Provide?

ILO can be 24/7 or scheduled support, depending on your needs. What makes ILO genuinely different is that it's usually supplemented by informal support. The classic ILO arrangement involves a host, co-resident, or housemate who provides informal support in exchange for a stipend or discounted rent. This other person more often that not does not have a disability.

So a real-world ILO might look like:

• You live in a granny flat at the back of a family's home. The family checks in on you each morning and evening. They get a small stipend and you get the privacy of your own space.
• You share a unit with a co-resident who's not an NDIS participant. They cook a few nights a week and help with shopping. They get reduced rent. You get a flatmate who pitches in.
• You live with a host family, almost like an adult homestay. They get a stipend. You get the structure of family life without it being yours.

This is what makes ILO genuinely different. It weaves informal supports (real human relationships, often discounted in exchange for some level of help) together with paid support workers. The NDIS funding makes that arrangement viable.

One honest note. ILO is more flexible than SIL, which also means there's less day-to-day oversight. Your stipended co-resident or host may not be a registered support worker, and the model has fewer of the checks and balances built into a SIL arrangement. That doesn't make ILO unsafe, but it does mean you need to ask your provider directly what screening, supervision, and check-ins are in place. Familiar setting doesn't automatically mean safe setting.

How ILO Funding Works

ILO is delivered in two stages. Stage 1 funds the exploration and design of your arrangement. You work with an ILO provider to figure out where you want to live, with whom, and what supports you need. Stage 2 funds the actual delivery, the ongoing supports that keep the arrangement running.

Who ILO Is For

Participants who want a flexible, personalised setup rather than a structured shared home with rostered staff. If you've got informal supports (family, friends, community, or someone willing to be a stipended co-resident) you want to weave into your living arrangement, ILO is built for exactly that.

The Honest Pros and Cons

Pros: Maximum choice and flexibility. The stipended co-resident model can build genuine relationships, not just paid support transactions. You can evolve the arrangement over time.

Cons: Harder to design and set up than SIL. You need a good ILO provider and a good Support Coordinator. Stage 1 planning takes a few months. Finding the right co-resident or host can take patience. Less day-to-day oversight than SIL, so screening and check-ins need to be clearly built in.

Drop-In Support: The Most Common Option Nobody Talks About

This is the option that gets left out of every comparison article on the internet, and it's the one most participants actually end up with.

Drop-in support is exactly what it sounds like. A support worker visits your home on a schedule, a few times a week or a couple of hours a day, to help with specific tasks. It's not 24/7. It's funded under Core Supports (Assistance with Daily Life), not under SIL or ILO.

What Drop-In Support Covers

• A support worker visiting your home for a set number of hours
• Help with specific tasks (medication, meal prep, showering, cleaning)
• Skill-building sessions
• Community access support

Who Drop-In Support Is For

Most participants in home and living, honestly. If you don't need round-the-clock support, and you can manage independently for most of the day with some help around the edges, drop-in is almost certainly the right pathway.

Can You Still Live With Housemates on Drop-In?

Yes. Absolutely yes. And this is one of the best-kept secrets in the NDIS.

You don't need SIL to live with housemates. You can share a house with friends, other participants, or chosen housemates and each of you can have your own drop-in support arrangement. You all live together. You all get help when you need it.

In some ways, this can be a better setup than SIL, especially when it comes to covering housing costs. Here's why.

The Cost Reality of Drop-In Shared Living

Because drop-in support is funded at a much lower level than SIL or ILO, providers generally don't have the profit margin to source houses, cover rent, or subsidise utilities for you.

So drop-in shared living usually looks like this:

• You and your housemates rent a regular house (private rental, public housing, family-owned property, whatever works).
• Rent and utilities are split between housemates the way any share house splits them, often using your DSP and CRA.
• Each housemate has their own NDIS-funded drop-in support schedule.
• You can coordinate visits if it makes sense (e.g. a worker comes for one of you on a Tuesday morning while another worker comes for someone else on a Wednesday afternoon).

Why This Matters

Many participants get pushed toward SIL because their family or coordinator is most familiar with it, when drop-in support would actually be a better fit. If someone is suggesting SIL and your support needs aren't substantial, ask whether drop-in support, possibly in a shared house with chosen housemates, has been properly considered.

Specialist Disability Accommodation (SDA): The Building

SDA is separate from everything above. It pays for the building, not the support.

SDA funds purpose-built or modified homes for participants whose disability is significant enough that an ordinary house won't work safely. Around 6% of participants qualify, and the eligibility bar is genuinely high.

What SDA Properties Include

• Wider doorways and corridors for wheelchairs
• Roll-in showers and ceiling hoists
• Reinforced walls and floors
• Robust construction for participants with complex behavioural needs
• Smart home technology
• Layouts designed around accessibility, not aesthetics

What SDA Does NOT Include

• Support workers (SIL pays for that)
• Your full rent (SDA pays the provider for the building, you still contribute a reasonable rent from your Disability Support Pension)
• Day-to-day living costs

How SDA Combines With Other Supports

Most people who live in an SDA home also receive SIL to cover the daily support inside it. SDA + SIL is the most common combination for participants with very high physical or complex needs.

You can technically live in an SDA home with drop-in support if your needs are lower, but in practice SDA approval and high-intensity support tend to go hand in hand.

You generally won't see SDA paired with ILO. SDA properties are usually run by registered SDA providers with their own operating models, which don't sit neatly inside the ILO framework.

Who SDA Is For

Participants whose disability genuinely requires specialised housing to live safely. Serious physical disabilities, complex medical needs, or behavioural support requirements that need a robust environment. If you can live safely in a standard home with the right supports, you almost certainly won't be approved for SDA.

The Honest Pros and Cons

Pros: Genuinely accessible housing designed for your needs. Long-term stable tenure. Separation between housing and support providers (when done right).

Cons: Tough eligibility criteria. Smaller pool of properties. Longer wait times in some regions. SDA on its own does not include any support, so you'll need SIL on top.

Common Scenarios

"I need support around the clock and I'm okay with shared living."

You're looking at SIL. Probably in a provider-sourced shared home with two other participants under the 1:3 ratio. The big question becomes who you live with, which is where housemate-matching matters more than people realise.

"My disability is significant and a normal house genuinely doesn't work for me."

You're looking at SDA, with SIL layered on top for the daily supports. This is the most common combination for participants with high physical or complex needs.

"I want to live my way, possibly with a host or stipended co-resident who provides informal support."

You're looking at ILO. Start with Stage 1 funding so you can design the arrangement properly. Remember, ILO is the alternative to SIL, not an add-on.

"I only need help a few hours a day and otherwise I'm pretty independent."

You're looking at drop-in support under your Core Supports. Don't let anyone funnel you into SIL or ILO if drop-in is the right fit.

"I want to live with friends or other participants but I don't need 24/7 support."

You're looking at drop-in support in a shared house. You can absolutely share a house and each have your own drop-in arrangement. This is one of the most underused setups in the entire NDIS.

"I want to move out of mum and dad's house but I'm not sure how much support I really need."

Get an Occupational Therapy Functional Capacity Assessment first. The OT will help you understand your actual support needs, and the report becomes the evidence base for whichever pathway you end up choosing.

"I'm in a SIL house and it's not working for me."

You are not stuck. We've written a whole piece on your right to choose your own housemates, and transitioning out of an arrangement that isn't working is genuinely doable. SIL is not a life sentence.

What You Actually Need to Apply

For SIL, ILO, or SDA, you'll generally need:

• An Occupational Therapy Functional Capacity Assessment for housing
• Evidence from your doctors, therapists, and other professionals showing your support needs
• A clear statement of your housing goals (this is where your Support Coordinator earns their keep)
• A Home and Living submission to the NDIA

For SDA specifically, you'll also need detailed evidence of why a standard home is genuinely unsuitable. For ILO Stage 1, you'll need to identify an ILO provider who'll help you design the arrangement.

Drop-in support is typically simpler because it sits inside your Core Supports budget rather than requiring a separate Home and Living submission.

Approval times vary. Plan for at least 3 to 6 months (or longer) for SIL. Often longer for SDA. ILO is two stages, so build that into your timeline.

Frequently Asked Questions

Can I have SIL and SDA at the same time?

‍Yes. SDA pays for the building, SIL pays for the support inside it. They're designed to work together when your needs require both. The most common combination for participants with very high needs.

Can I have SIL and ILO at the same time?

‍No. They're alternative pathways. You get one or the other. The NDIA treats them as two different routes to the same destination, and you pick the route that fits.

Is a "SIL home" something the NDIS funds?

‍No. The NDIS does not fund or define "SIL homes." The term has been coined by the market. A "SIL home" is a house (usually unmodified) sourced by a SIL provider for participants to share support inside. Your SIL funding does not pay for the house itself. The provider generally covers the property costs from the profit margin of your SIL supports plus your rent contribution.

Does SIL cover my rent and bills?

‍Technically no. SIL only covers the support workers. But in practice, most SIL providers charge a separate amount (usually drawn from your DSP and CRA) to cover or subsidise rent, utilities, and household costs.

Can I share a house with friends on drop-in support?

‍Yes. You don't need SIL to live with housemates. You can share a regular rental with friends or other participants and each of you can have your own drop-in support arrangement. This is often a great option for people with moderate needs.

Is SIL always 24/7?

‍Usually but not always. Most SIL packages assume rostered round-the-clock support, but lower-intensity SIL exists for participants who need substantial daily support but not constant supervision.

Is ILO always 24/7?

‍ILO can be 24/7 or scheduled support, depending on your needs. What's distinctive about ILO is that the paid support is often supplemented by a host, co-resident, or housemate who provides informal support in exchange for a stipend or discounted rent.

Is ILO safe?

‍ILO can be very safe when set up properly, but it has less built-in oversight than SIL. Your stipended co-resident or host may not be a registered support worker. Ask your ILO provider what screening they run, what ongoing check-ins they do, and how concerns get escalated. A good provider will have clear answers.

So, Which One Is Right For You?

Honestly? It depends. (I know, I know, the most annoying answer in the world.) But here's the cleaner version:

Drop-in support if your needs are moderate and you can manage independently most of the day. Can be combined with shared living through your own private rental.

SIL if you genuinely need round-the-clock support and you're okay with the 1:3 shared model and the provider sourcing the house.

ILO if you want a flexible, personalised arrangement, especially one supplemented by a host or stipended co-resident.

SDA (usually with SIL) if your disability genuinely requires specialised housing to live safely.

Whichever pathway you choose, the next step is the same: get a good OT report, a Support Coordinator who actually advocates for you, and a clear sense of who you want to live with before you start signing anything.

That last bit is what Marco Polo Portal was built for. Whether you're heading toward SIL, ILO, drop-in support, or SDA, you'll need to find housemates who actually work for you. Start your free housemate search here.

If you're a Support Coordinator helping participants navigate this decision, here's how Marco Polo speeds up your housing matches. If you're a SIL or ILO provider working toward the 1 July 2026 registration deadline, here's how we help you fill vacancies with pre-matched groups.

Your home. Your support. Your call. Always.

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