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Strata vs Community Title

As the Hunter Region continues to grove, more and more properties will become part of strata or community groups. Here's a quick run down from us a Fox Stevens, of what both of these terms mean. 


A Strata unit is defined by structural divisions of a building. This means the inner lining of the walls and bottom on the ceiling. It's NOT a reference to the land.

The common property is created as part of this plan. It's not part of a unit, but is usually a shared space (i.e driveway, service area & gardens). A strata manager is usually appointed to maintain the common property on behalf of the unit owners and also enforces the Strata Corporation. 

All unit owners are automatically members of the Strata corporation. Funds are raised by contributions charged against all owners usually on a quarterly, half yearly or annual basis and are calculated based on unit entitlement. Building and Public Liability Insurance must be taken out by the Strata Corporation to cover the buildings and common property of the land. 

The owner of the unit is liable for their own contents insurance.


In Community Title, the land is divided into Lots (as opposed to units), but common property is held similarly to Strata Titles. The boundaries like a Strata Title, but rather the Lot measurements (specified on the plan). 


A Community Title Corporation is also appointed, which comprises of the registered owners of the lots, and the corporation is responsible for the administration of the groups By-Laws (rules), maintenance and insurance of the common property. The cost for the insurance over the common property is shared between the registered owners according to their lot entitlement. 


Owners are responsible for the maintenance and insurance of any structures on their own lot. No owner is obligated to provide funds for maintenance to other lot owners buildings.


Handy links:

If you have further queries, whether you're planning on purchasing a property that might be Strata or Community Titled, contact Fox Stevens Conveyancing on 02 4040 0540 or to discuss.


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