What is strata title?

Strata title is a system for owning units and townhouses, which generally have a combination of private residences as well as communal spaces.

When you buy into a strata plan you buy a “lot”, which may include the main unit area and possibly a balcony, garage or even storage area. Other parts of the property – such as a foyer, stairways and driveways – are usually common property.

What is an owners corporation?

All unit owners are voting members of the owners corporation, which has the responsibility for making decisions that benefit the building and caring for things such as the land around the building, entrances, stairways and paths.

For the day-to-day decision making, owners corporations usually delegate authority to the strata committee. Owners vote on the composition of this committee each year at the annual general meeting. Often owners corporations also choose to delegate some of their power and duties to a strata manager.

The Strata Schemes Management Act 2015 governs an owners corporation’s rights and responsibilities.

The rules and regulations which bind all owners and occupiers (including tenants) are called by-laws. Some by-laws restrict residents’ behaviour, such as their right to keep pets on the property. The owners corporation has power to remove or change by-laws and create new ones.

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