Pros and cons of strata and Torrens titled properties
| Strata | Strata | Torrens | Torrens |
| ✓ | Lifestyle benefit of outsourcing the bul ... | ✓ | You are free to make changes to your pro ... |
| ✗ | Changes to property will usually require ... | ✓ | You can determine when and if repairs ar ... |
| ✗ | Strata fees are subject to change and ar ... | ✗ | You are solely responsible for the cost ... |
| ✓ | Strata properties are usually easier to ... | ✓ | No restrictions on pets, hanging washing ... |
What is strata title property and how does it work?
Strata Title Property that is Strata Title is similar to Torrens Title and any transfer of ownership must also be registered with the Department of Lands. But the Strata Title System is unique in that it allows for parts of buildings to be owned by different owners. Torrens Title registers the horizontal division of the piece of land only.
What is the difference between a Torrens title and a stratum subdivision?
A person who owns a Torrens Title lot is assumed to own both the air above the surface and the soil beneath the surface to the extent necessary for the ordinary use and enjoyment of that land. Stratum subdivision is a type of Torrens title subdivision that creates “stratum lots” which are lots that are limited in height or depth (or both).
What should I look for when buying a strata property?
There are a number of points to consider when purchasing a strata property. 'Torrens' refers to a land title system, where the owner of the property owns the land and the building on it. With a Torrens title, you secure your land through registration of title (an alternate system to deed titles).
Can a Strata Plan apply to a Torrens title?
The control usually states that it does not apply to the subdivision of individual lots in a strata plan or community title scheme. However, the clause will usually apply to other types of subdivision as defined under the EPA Act – including Torrens title and stratum subdivision.
What is Torrens title in NSW?
The Torrens Title System is simply a system of ownership, whereby the Government's Department of Lands, records and documents all ownership of property in NSW: For land to be transferred or sold, particular documents must be produced in the Land Titles Office.
What is the advantage of a Torrens certificate?
Main Advantages Of The Torrens System The acceptance of the title in those jurisdiction where there has been adequate and proper supervision of the original procedures for transfer and encumbrance. A Certificate of Title is ordinarily easier to examine than an abstract.
What does Torrens title mean in South Australia?
A Torrens title is a single certificate of title for an allotment of land. It is the most common type of title in South Australia. The Torrens title certificate shows: details of who currently owns the property. any easements – for example for water pipes.
What does strata title mean in NSW?
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.
Why is it called Torrens title?
Its name derives from Sir Robert Richard Torrens (1814–1884), who designed, lobbied for and introduced the private member's bill which was enacted as the Real Property Act 1858 in the Province of South Australia, the first version of Torrens title in the world.
What is the main purpose of Torrens system?
A Torrens Certificate, also referred to as a certificate of title, is a document that assigns unassailable ownership of real property to the registered titleholder. The certificate acts as the ultimate authority on the title to a property, and its legal supremacy makes recording deeds unnecessary.
Are townhouses Torrens title?
A Torrens Title property is the most common form of ownership for free-standing houses and some townhouses. The title includes the house and the land on which it sits as defined by the lot. The owner is solely responsible for the maintenance of the whole lot including the payment of Council and Water Rates.
What are the disadvantages of strata title?
Disadvantages of Strata PropertyHigh Strata Fees, more common in developments with many amenities or older buildings that require more maintenance and repairs.Disagreements with other Owners, which may require dispute resolution.More responsibilities, unless you hire a Strata Manager.More items...
Is Torrens title the same as freehold?
Torrens Title is the most common form of property ownership in New South Wales. Also referred to as Freehold Title, this system of ownership was introduced in 1858.
Can you opt out of strata?
A strata scheme may be terminated for a number of reasons including, it is no longer viable or beneficial to residents to be part of a strata scheme, or if the owners corporation decides it would be in the owners interests to redevelop. The termination of a strata scheme requires all owners to be in agreeance.
Why strata titles are important?
Strata schemes are designed to give property owners more control over the space they occupy. The structure of strata titles designates the management corporation as the owner of the land. In the eyes of the law, the management corporation is solely responsible for matters involving legal obligations in its dealings.
What does strata cover in NSW?
Strata insurance covers the following: Common property such as common areas, car parks, stairwells, lifts, gardens, and common floors, walls, and ceilings. Common contents such as communal furniture, equipment, and appliances.
What is strata title?
Properties that are adjoining in some way – like apartments or townhouses – are normally bought under strata title , because they share some common areas such as roofs, lifts, gardens, driveways, etc. The common areas must be maintained by all unit owners collectively and any expenses incurred will be shared. Strata buildings require the owners to pay a levy that covers the ongoing expenses of maintaining the common property.
What is Torrens title?
Torrens title means you are the sole owner of the property. 'Torrens' refers to a land title system, where the owner of the property owns the land and the building on it. With a Torrens title, you secure your land through registration of title (an alternate system to deed titles). When you buy under the Torrens title system, ...
Do strata buildings require a levy?
Strata buildings require the owners to pay a levy that covers the ongoing expenses of maintaining the common property.
What is the difference between Strata Title and Torrens Title?
When purchasing a property in NSW, it is important for you to consider the type of title that the property falls under. This is particularly true if the property falls under a Strata Title, as there are certain rules and issues related to property that is Strata Title.
What is a Torrens Title?
A Torrens Title system is the most traditional form of ownership. When you buy a property that falls under the Torrens Title, you are the sole owner of both the house and the plot of land on which the house is built. The property is registered with the Department of Lands and Information.
What is a Strata Title?
A property that is Strata Title allows it to be co-owned by several owners. When you buy a property that falls under the Strata Title, such as a townhouse or an apartment unit, you share the common areas such as the lobby and the gardens with other people who live in the same apartment.
Things to consider when buying a Strata property
If you are thinking of buying a Strata Title property, there are a few things that you should consider.
What is Torrens title vs strata title?
ARE YOU CONFUSED ABOUT TORRENS TITLE VS STRATA TITLE? Torrens title simply means the purchaser owns the land and building. This can also be known as ‘freehold.’. Strata title simply means that there are multiple owners of properties on one piece of land where all owners are responsible for the areas that are shared known as ‘common areas.’.
Why do you buy strata?
The reason for this is because there are common areas that are used by all that reside there. These common areas have the cost bared by all owners equally.
What is strata title?
Properties sold under Strata Title are usually units or villas. The lot you purchase only includes the unit itself, however as an owner you also have an interest in the common property. Therefore, the contract of sale will have two title searches; the lot and the common property.
What is Torrens title?
A Torrens Title property is the most common form of ownership for free-standing houses and some townhouses. The title includes the house and the land on which it sits as defined by the lot. The owner is solely responsible for the maintenance of the whole lot including the payment of Council and Water Rates. The only restriction on your use of the lot is Council zoning and approval, therefore you have more freedom to use the property as you please.
What to do before exchange of Torrens title?
Prior to exchange we recommend purchasers of Torrens Title obtain a building and pest inspection to determine whether there are any structural or pest issues with the building or land.
What title do you use when buying a property?
When you purchase property it will likely be Torrens or Strata title. It is important to understand the differences between the two and how they will impact your ownership and use of the property.
What is Torrens subdivision?
Torrens title subdivision involve the creation of lots that are defined by boundaries that limit the two-dimensional area of space occupied by the land. A person who owns a Torrens Title lot is assumed to own both the air above the surface and the soil beneath the surface to the extent necessary for the ordinary use and enjoyment of that land.
What are the features of stratum subdivision?
Other features of stratum subdivision include: Easements for support and shelter are automatically created when the plan of subdivision is registered. Other easements, like rights for access and easements for services, may be specified on the plan of subdivision. These easements may be required to regulate the use and maintenance ...
What is subdivision in the Conveyancing Act?
The definition of plan of subdivision in section 195 of the Conveyancing Act 1919 extends to plans of subdivision for lease purposes (within the meaning of section 23H of that Act) and to various kinds of plan under the Community Land Development Act 1989. (3) However, subdivision of land does not include—. (a) a lease (of any duration) of ...
