Contact our friendly staff at the below convenient locations to start enjoying the rewards of strata investment now.
Newcastle 1/22 Portside Cres
Wickham NSW 2293
Port Stephens 5/63 Donald Street
Nelson Bay 2315
Central Coast 6/19 Reliance Dr
Tuggerah NSW 2259
Level 1, 72 The Esplanade
Terrigal NSW 2260
Suite 4, 17 Thomas Street
Noosaville QLD 4566
27 Feb 2014 - Strata Reform Summary
The NSW Government is reforming NSW strata law.
NSW has more than 72,000 schemes worth $350 billion in assets. The reforms will affect around 2 million industry professionals, strata owners, and residents in strata-titled townhouses and units.
Based on consultation, 70 proposed reforms will update 50-year-old Strata Title. Together, they will help to guide strata schemes to best manage their strata community's needs into the future.
Changes to strata scheme rules (by-laws):
- Strata schemes can adopt all or any new model by-laws (standard rules) that suit them. The owners corporation (formerly body corporate) will need to review their rules within a set period to check if changes are needed.
- Pet-friendly units will be encouraged, but not mandated, by reversing the default pet ban in model by-laws.
- Real-estate agents and landlords must provide residents with up-to-date by-laws.
- Repeat offenders who have breached a by-law within the last 12 months can be penalised without reissuing a notice to comply or further mediation.
- Smokers may be fined for smoke drifting from their balcony or a common area to better protect neighbours' health.
- Owners can prevent overcrowding for their scheme by introducing an upper-limit rule on occupiers per bedroom.
Changes to support the fair and efficient management of your scheme:
- Reforms will bring strata law up-to-speed with the Internet era. This includes options for your scheme to email, keep and issue electronic records, and to network and attend meetings ‘virtually’.
- Tenants can attend meetings and elect a non-voting representative to speak at the strata committee to represent their interests (where more than half a scheme is tenanted).
- Clearer, common-sense approvals for owner renovations waiving restrictions for minor, cosmetic changes to lots such as handrails inside the lot to make it safer for elderly people.
- Owners will directly elect strata committee office bearers.
- Owners corporations must outline how they plan to fund their 10-year sinking fund plan.
- Owners corporations will be able to seize rents from levy-defaulting properties until debt is cleared.
- To promote fair play, proxy voting limits will help to curb proxy harvesting.
- New accountabilities and a 3-term limit for strata managers.
- Schemes may engage their local council (subject to council arrangements) to patrol their scheme and impose parking penalties.
- For new schemes there will be a developer bond, independent defects report, and a maintenance and servicing schedule prepared by developers. This will be used to inform budgets and levies and proactively limit escalating costs, disputes and damage from defects.
- Collective sale and renewal of the scheme possible with most owners agreeing (at least 75% agreement, supported by inclusive decision-making requirements including distribution of a detailed plan).