The Green House in Barnsdale will be one of only 33 full 'earth-sheltered' homes in the UK and the first of its kind in Rutland.
The four bedroom home with a glass front and a grass roof will collect its own rainwater, and supply some of its own electricity. It will cost around £140,000 to build.
Charlotte and Phil Newby, of Queen Street, Stamford, have grand designs for the environmentally-friendly home that they hope will have almost zero utility bills.
The couple, who used to own their own café in the West End of London, moved to the area seven years ago in search of a better quality of life.
Four years ago they bought the former Barnsdale Hall kitchen garden. The Victorian walled garden was largely overgrown and they have cleared and restored much of the two acre site in what has been a labour of love.
Phil, 36, a former director of English Nature, runs a business devoted to environmental issues called Green Ventures.
He said: "We wanted to do something that would allow us to restore the garden. By building a house in the garden it means we can keep and restore it and hand it on in perpetuity."
Because the garden is on a slope, the house will not be seen from Rutland Water although there may be glimpses in the winter when the trees are bare.
Members of Rutland's development control meeting gave permission for the earth house at their meeting on Tuesday night with the condition that the Newbys open the garden to the public several days a year.
Mr Newby was delighted with their decision.
He said: "From the outset we've wanted to protect the walled garden's future, change our way of life and do something practical for the environment.
"It's great that Rutland County Council has shown the foresight and courage to give permission in a sensitive location for a zero-emissions and environmentally-friendly home. We are all delighted."
julie.emberton@
rutland-mercury.co.uk