diff --git a/src/demo-app/dialog/dialog-demo.ts b/src/demo-app/dialog/dialog-demo.ts
index 6fb4e994c7ef..1cb56c988b3f 100644
--- a/src/demo-app/dialog/dialog-demo.ts
+++ b/src/demo-app/dialog/dialog-demo.ts
@@ -1,5 +1,5 @@
 import {Component, ViewContainerRef} from '@angular/core';
-import {MdDialog, MdDialogConfig, MdDialogRef} from '@angular/material';
+import {MdDialog, MdDialogRef} from '@angular/material';
 
 @Component({
   moduleId: module.id,
@@ -16,10 +16,7 @@ export class DialogDemo {
       public viewContainerRef: ViewContainerRef) { }
 
   open() {
-    let config = new MdDialogConfig();
-    config.viewContainerRef = this.viewContainerRef;
-
-    this.dialogRef = this.dialog.open(JazzDialog, config);
+    this.dialogRef = this.dialog.open(JazzDialog);
 
     this.dialogRef.afterClosed().subscribe(result => {
       this.lastCloseResult = result;
@@ -34,8 +31,11 @@ export class DialogDemo {
   template: `
   <p>It's Jazz!</p>
   <p><label>How much? <input #howMuch></label></p>
+  <p> {{ jazzMessage }} </p>
   <button type="button" (click)="dialogRef.close(howMuch.value)">Close dialog</button>`
 })
 export class JazzDialog {
+  jazzMessage = 'Jazzy jazz jazz';
+
   constructor(public dialogRef: MdDialogRef<JazzDialog>) { }
 }
diff --git a/src/lib/core/overlay/overlay.ts b/src/lib/core/overlay/overlay.ts
index 236a5c258c88..00b3dae201b8 100644
--- a/src/lib/core/overlay/overlay.ts
+++ b/src/lib/core/overlay/overlay.ts
@@ -1,7 +1,4 @@
-import {
-  ComponentFactoryResolver,
-  Injectable,
-} from '@angular/core';
+import {ComponentFactoryResolver, Injectable, ApplicationRef, Injector} from '@angular/core';
 import {OverlayState} from './overlay-state';
 import {DomPortalHost} from '../portal/dom-portal-host';
 import {OverlayRef} from './overlay-ref';
@@ -29,7 +26,9 @@ let defaultState = new OverlayState();
 export class Overlay {
   constructor(private _overlayContainer: OverlayContainer,
               private _componentFactoryResolver: ComponentFactoryResolver,
-              private _positionBuilder: OverlayPositionBuilder) {}
+              private _positionBuilder: OverlayPositionBuilder,
+              private _appRef: ApplicationRef,
+              private _injector: Injector) {}
 
   /**
    * Creates an overlay.
@@ -53,7 +52,7 @@ export class Overlay {
    * @returns Promise resolving to the created element.
    */
   private _createPaneElement(): HTMLElement {
-    var pane = document.createElement('div');
+    let pane = document.createElement('div');
     pane.id = `md-overlay-${nextUniqueId++}`;
     pane.classList.add('md-overlay-pane');
 
@@ -68,7 +67,7 @@ export class Overlay {
    * @returns A portal host for the given DOM element.
    */
   private _createPortalHost(pane: HTMLElement): DomPortalHost {
-    return new DomPortalHost(pane, this._componentFactoryResolver);
+    return new DomPortalHost(pane, this._componentFactoryResolver, this._appRef, this._injector);
   }
 
   /**
diff --git a/src/lib/core/portal/dom-portal-host.ts b/src/lib/core/portal/dom-portal-host.ts
index 413f2ee8e309..2a0acab45a98 100644
--- a/src/lib/core/portal/dom-portal-host.ts
+++ b/src/lib/core/portal/dom-portal-host.ts
@@ -1,6 +1,11 @@
-import {ComponentFactoryResolver, ComponentRef, EmbeddedViewRef} from '@angular/core';
+import {
+  ComponentFactoryResolver,
+  ComponentRef,
+  EmbeddedViewRef,
+  ApplicationRef,
+  Injector,
+} from '@angular/core';
 import {BasePortalHost, ComponentPortal, TemplatePortal} from './portal';
-import {MdComponentPortalAttachedToDomWithoutOriginError} from './portal-errors';
 
 
 /**
@@ -12,27 +17,60 @@ import {MdComponentPortalAttachedToDomWithoutOriginError} from './portal-errors'
 export class DomPortalHost extends BasePortalHost {
   constructor(
       private _hostDomElement: Element,
-      private _componentFactoryResolver: ComponentFactoryResolver) {
+      private _componentFactoryResolver: ComponentFactoryResolver,
+      private _appRef: ApplicationRef,
+      private _defaultInjector: Injector) {
     super();
   }
 
   /** Attach the given ComponentPortal to DOM element using the ComponentFactoryResolver. */
   attachComponentPortal<T>(portal: ComponentPortal<T>): ComponentRef<T> {
-    if (portal.viewContainerRef == null) {
-      throw new MdComponentPortalAttachedToDomWithoutOriginError();
-    }
-
     let componentFactory = this._componentFactoryResolver.resolveComponentFactory(portal.component);
-    let ref = portal.viewContainerRef.createComponent(
-        componentFactory,
-        portal.viewContainerRef.length,
-        portal.injector || portal.viewContainerRef.parentInjector);
+    let componentRef: ComponentRef<T>;
+
+    // If the portal specifies a ViewContainerRef, we will use that as the attachment point
+    // for the component (in terms of Angular's component tree, not rendering).
+    // When the ViewContainerRef is missing, we use the factory to create the component directly
+    // and then manually attach the ChangeDetector for that component to the application (which
+    // happens automatically when using a ViewContainer).
+    if (portal.viewContainerRef) {
+      componentRef = portal.viewContainerRef.createComponent(
+          componentFactory,
+          portal.viewContainerRef.length,
+          portal.injector || portal.viewContainerRef.parentInjector);
+
+      this.setDisposeFn(() => componentRef.destroy());
+    } else {
+      componentRef = componentFactory.create(portal.injector || this._defaultInjector);
+
+      // When creating a component outside of a ViewContainer, we need to manually register
+      // its ChangeDetector with the application. This API is unfortunately not yet published
+      // in Angular core. The change detector must also be deregistered when the component
+      // is destroyed to prevent memory leaks.
+      //
+      // See https://github.com/angular/angular/pull/12674
+      let changeDetectorRef = componentRef.changeDetectorRef;
+      (this._appRef as any).registerChangeDetector(changeDetectorRef);
+
+      this.setDisposeFn(() => {
+        (this._appRef as any).unregisterChangeDetector(changeDetectorRef);
 
-    let hostView = <EmbeddedViewRef<any>> ref.hostView;
-    this._hostDomElement.appendChild(hostView.rootNodes[0]);
-    this.setDisposeFn(() => ref.destroy());
+        // Normally the ViewContainer will remove the component's nodes from the DOM.
+        // Without a ViewContainer, we need to manually remove the nodes.
+        let componentRootNode = this._getComponentRootNode(componentRef);
+        if (componentRootNode.parentNode) {
+          componentRootNode.parentNode.removeChild(componentRootNode);
+        }
 
-    return ref;
+        componentRef.destroy();
+      });
+    }
+
+    // At this point the component has been instantiated, so we move it to the location in the DOM
+    // where we want it to be rendered.
+    this._hostDomElement.appendChild(this._getComponentRootNode(componentRef));
+
+    return componentRef;
   }
 
   attachTemplatePortal(portal: TemplatePortal): Map<string, any> {
@@ -58,4 +96,9 @@ export class DomPortalHost extends BasePortalHost {
       this._hostDomElement.parentNode.removeChild(this._hostDomElement);
     }
   }
+
+  /** Gets the root HTMLElement for an instantiated component. */
+  private _getComponentRootNode(componentRef: ComponentRef<any>): HTMLElement {
+    return (componentRef.hostView as EmbeddedViewRef<any>).rootNodes[0] as HTMLElement;
+  }
 }
diff --git a/src/lib/core/portal/portal-errors.ts b/src/lib/core/portal/portal-errors.ts
index 5ef00508cc5e..e5617fc4fc4e 100644
--- a/src/lib/core/portal/portal-errors.ts
+++ b/src/lib/core/portal/portal-errors.ts
@@ -1,14 +1,5 @@
 import {MdError} from '../errors/error';
 
-/** Exception thrown when a ComponentPortal is attached to a DomPortalHost without an origin. */
-export class MdComponentPortalAttachedToDomWithoutOriginError extends MdError {
-  constructor() {
-      super(
-          'A ComponentPortal must have an origin set when attached to a DomPortalHost ' +
-          'because the DOM element is not part of the Angular application context.');
-  }
-}
-
 /** Exception thrown when attempting to attach a null portal to a host. */
 export class MdNullPortalError extends MdError {
   constructor() {
diff --git a/src/lib/core/portal/portal.spec.ts b/src/lib/core/portal/portal.spec.ts
index 291a9e36f6b0..6f9c176f3c8a 100644
--- a/src/lib/core/portal/portal.spec.ts
+++ b/src/lib/core/portal/portal.spec.ts
@@ -8,6 +8,7 @@ import {
   ComponentFactoryResolver,
   Optional,
   Injector,
+  ApplicationRef,
 } from '@angular/core';
 import {TemplatePortalDirective, PortalModule} from './portal-directives';
 import {Portal, ComponentPortal} from './portal';
@@ -134,20 +135,26 @@ describe('Portals', () => {
     let componentFactoryResolver: ComponentFactoryResolver;
     let someViewContainerRef: ViewContainerRef;
     let someInjector: Injector;
+    let someFixture: ComponentFixture<any>;
     let someDomElement: HTMLElement;
     let host: DomPortalHost;
+    let injector: Injector;
+    let appRef: ApplicationRef;
 
-    beforeEach(inject([ComponentFactoryResolver], (dcl: ComponentFactoryResolver) => {
+    let deps = [ComponentFactoryResolver, Injector, ApplicationRef];
+    beforeEach(inject(deps, (dcl: ComponentFactoryResolver, i: Injector, ar: ApplicationRef) => {
       componentFactoryResolver = dcl;
+      injector = i;
+      appRef = ar;
     }));
 
     beforeEach(() => {
       someDomElement = document.createElement('div');
-      host = new DomPortalHost(someDomElement, componentFactoryResolver);
+      host = new DomPortalHost(someDomElement, componentFactoryResolver, appRef, injector);
 
-      let fixture = TestBed.createComponent(ArbitraryViewContainerRefComponent);
-      someViewContainerRef = fixture.componentInstance.viewContainerRef;
-      someInjector = fixture.componentInstance.injector;
+      someFixture = TestBed.createComponent(ArbitraryViewContainerRefComponent);
+      someViewContainerRef = someFixture.componentInstance.viewContainerRef;
+      someInjector = someFixture.componentInstance.injector;
     });
 
     it('should attach and detach a component portal', () => {
@@ -238,6 +245,27 @@ describe('Portals', () => {
 
       expect(someDomElement.textContent).toContain('Pizza');
     });
+
+    it('should attach and detach a component portal without a ViewContainerRef', () => {
+      let portal = new ComponentPortal(PizzaMsg);
+
+      let componentInstance: PizzaMsg = portal.attach(host).instance;
+
+      expect(componentInstance)
+          .toEqual(jasmine.any(PizzaMsg), 'Expected a PizzaMsg component to be created');
+      expect(someDomElement.textContent)
+          .toContain('Pizza', 'Expected the static string "Pizza" in the DomPortalHost.');
+
+      componentInstance.snack = new Chocolate();
+      someFixture.detectChanges();
+      expect(someDomElement.textContent)
+          .toContain('Chocolate', 'Expected the bound string "Chocolate" in the DomPortalHost');
+
+      host.detach();
+
+      expect(someDomElement.innerHTML)
+          .toBe('', 'Expected the DomPortalHost to be empty after detach');
+    });
   });
 });
 
diff --git a/src/lib/dialog/dialog-config.ts b/src/lib/dialog/dialog-config.ts
index fa6d74fb6e26..155f2a665bdf 100644
--- a/src/lib/dialog/dialog-config.ts
+++ b/src/lib/dialog/dialog-config.ts
@@ -9,10 +9,10 @@ export type DialogRole = 'dialog' | 'alertdialog'
  * Configuration for opening a modal dialog with the MdDialog service.
  */
 export class MdDialogConfig {
-  viewContainerRef: ViewContainerRef;
+  viewContainerRef?: ViewContainerRef;
 
   /** The ARIA role of the dialog element. */
-  role: DialogRole = 'dialog';
+  role?: DialogRole = 'dialog';
 
   // TODO(jelbourn): add configuration for size, clickOutsideToClose, lifecycle hooks,
   // ARIA labelling.
diff --git a/src/lib/dialog/dialog.spec.ts b/src/lib/dialog/dialog.spec.ts
index 6ff5b8651ee8..133cab843674 100644
--- a/src/lib/dialog/dialog.spec.ts
+++ b/src/lib/dialog/dialog.spec.ts
@@ -64,6 +64,20 @@ describe('MdDialog', () => {
     expect(dialogContainerElement.getAttribute('role')).toBe('dialog');
   });
 
+  it('should open a dialog with a component and no ViewContainerRef', () => {
+    let dialogRef = dialog.open(PizzaMsg);
+
+    viewContainerFixture.detectChanges();
+
+    expect(overlayContainerElement.textContent).toContain('Pizza');
+    expect(dialogRef.componentInstance).toEqual(jasmine.any(PizzaMsg));
+    expect(dialogRef.componentInstance.dialogRef).toBe(dialogRef);
+
+    viewContainerFixture.detectChanges();
+    let dialogContainerElement = overlayContainerElement.querySelector('md-dialog-container');
+    expect(dialogContainerElement.getAttribute('role')).toBe('dialog');
+  });
+
   it('should apply the configured role to the dialog element', () => {
     let config = new MdDialogConfig();
     config.viewContainerRef = testViewContainerRef;
diff --git a/src/lib/dialog/dialog.ts b/src/lib/dialog/dialog.ts
index 05384daecc78..59c3dbdcbbdf 100644
--- a/src/lib/dialog/dialog.ts
+++ b/src/lib/dialog/dialog.ts
@@ -40,7 +40,7 @@ export class MdDialog {
    * @param component Type of the component to load into the load.
    * @param config
    */
-  open<T>(component: ComponentType<T>, config: MdDialogConfig): MdDialogRef<T> {
+  open<T>(component: ComponentType<T>, config = new MdDialogConfig()): MdDialogRef<T> {
     let overlayRef = this._createOverlay(config);
     let dialogContainer = this._attachDialogContainer(overlayRef, config);
 
@@ -64,7 +64,8 @@ export class MdDialog {
    * @returns A promise resolving to a ComponentRef for the attached container.
    */
   private _attachDialogContainer(overlay: OverlayRef, config: MdDialogConfig): MdDialogContainer {
-    let containerPortal = new ComponentPortal(MdDialogContainer, config.viewContainerRef);
+    let viewContainer = config ? config.viewContainerRef : null;
+    let containerPortal = new ComponentPortal(MdDialogContainer, viewContainer);
 
     let containerRef: ComponentRef<MdDialogContainer> = overlay.attach(containerPortal);
     containerRef.instance.dialogConfig = config;