Frequently asked questions
Strata management
Q: What is a strata plan?
A: A strata plan is a subdivision of a parcel of Real Property land into separate lots and common property. Lots are defined as a cubic space and must be limited in height and depth. Strata plans are effectively small communities where the activities and attitudes of residents can have a significant impact on the satisfaction and enjoyment of others.
Q: What is common property?
A: Basically, everything that is not defined on the registered strata plan as part of the lot is “common property”. The lot owner effectively owns the airspace (and anything within the airspace) inside the boundary walls, floors, and ceilings of the lot.
Q: What is an owners corporation?
A: The legal entity that comprises all of the owners of the lots contained in a strata plan.
Q: What is a strata manager?
A: Professionals who are responsible for the administration of owners corporations. Strata managers are specialists in their field, possessing the knowledge and skill to administer the owners corporation in accordance with the complex requirements of the particular state-based legislation. They also work to achieve consensus in decision making by the lot owners, and to otherwise assist the lot owners by assuming onerous responsibilities. Their functions differ to those of real estate agents or caretakers/onsite managers.
Q: Why use a strata manager?
A: Engaging a strata manager is an important step in ensuring the professional and compliant administration of a strata scheme. The proper day to day administrative requirements of the strata scheme can be demanding. Self-managed schemes rely on the time of (often unpaid) owners and strata committee members who may not have the time or proper training to undertake the required tasks. This could leave the owners corporation in danger of being non-compliant in a range of matters, with real financial and legal penalties.
Repairs and maintenance
Q: Who is responsible to maintain and repair common property?
A: The owners corporation, being all of the lot owners collectively.
Q: What repairs am I responsible for and what repairs is the strata scheme responsible for?
A: The answer to this question may not be immediately obvious and you should consult your strata manager. For a general overview click on the link below:
Who's Responsible
Sometimes it may not be known who is responsible at the time of submitting a works order. For example a faulty smoke detector may be caused by a problem with the wiring (common property) or the actual smoke detector (lot owner). Any work arranged by us for items that are the responsibility of the lot owner will be paid by the strata scheme and recouped from the lot owner.
Q: What is preventative maintenance?
A: A well managed strata scheme will implement a preventative maintenance program to extend the life of components of the building to maintain the value of the asset and achieve long term cost savings for the owners corporation. A well maintained building is also a safer building. Typical examples of preventative maintenance are regular gutter cleaning, clearing storm water outlets, swimming pool maintenance, touch up painting of high use areas, checking and replacement of light globes.
Q: Can I renovate my lot and/or alter the common property?
A: Any changes to the common property must be approved by the owners corporation at a general meeting. An common property rights by-law may be required to set out terms and conditions. Any changes to lot property must first be notified to the owners corporation at least 14 days prior to commencement. You may alter your own lot property as you wish, so long as it does not breach any by-laws (eg: damaging common property, or creating excessive noise). Please see our information sheet entitled “owners’ responsibilities”.
Q: Who is responsible for pruning trees at the property?
A: It depends on where the trees are located. If they are located on the common property, the owners corporation is responsible. If they are located within the airspace of your lot (eg: within the airspace of your courtyard), then you are responsible. If the trees are located in a neighbouring property, we recommend you contact your strata manager to discuss the way forward.
Insurance
Q: Who is responsible for insurance of the property?
A: The owners corporation is responsible to take out the strata plan building insurance. This covers the structure of the building and permanent fixtures. The individual lot owner is responsible to take out contents insurance, which covers the contents of the unit, including carpet and paintwork.
By-laws
Q: What is a by-law?
A: A by-law is a rule made to facilitate the administration and harmony of the strata scheme. They may cover such things as the use of the common property and the behaviour of residents. Owners and residents are required to abide by the by-laws of the strata scheme. Please see our information guide “breaches of by-laws”.
Q: Is it a legal requirement to have a noticeboard at the property?
A: Only if it is required in the strata scheme by-laws. If there is no noticeboard at the property, the owners corporation must send all meeting and other notices to each lot owner directly.
Q: My neighbours are ignoring the by-laws. What can I do?
A: You should report the breach to your strata manager, or a member of the strata committee. Steps can be taken to issue a “notice to comply” to the offender. If breaches continue, application may be made to the NCAT for penalties. Please see our information guide “Breaches of by-laws”
Q: My upstairs neighbour has removed the carpet and the noise is disturbing me. What can I do?
A: Under the model by–laws that apply to most schemes, owners do not require permission to remove the carpet in their lot airspace. However the model by–laws require an owner to notify the owners corporation before proceeding. If a noise problem results, you can talk to the neighbour about it, or ask the owners corporation to serve them with a notice to comply with a by-law.
Q: I want to get a pet. Do I need permission?
A: The first step is to check the strata scheme by-laws. Some schemes allow pets with the permission of the owners corporation (the strata committee can give this approval). Other schemes do not allow pets at all. If the by-law allows for pets with permission, you should make a written request to the owners corporation, including supporting information such as type of pet and how it will be looked after.
Meetings
Q: What is a quorum?
A: A quorum is achieved when a minimum of 25% of entitled lot owners are present at a meeting. If a quorum is not achieved, the meeting must be adjourned. Quorum for a strata committee meeting is 50% of members being present at the meeting.
Q: What should I do if I cannot attend a general meeting?
A: You may submit a proxy appointment form, which will be included in your notice of meeting. You may use this form to nominate a representative to vote on your behalf.
Levies
Q: What are levies?
A: The primary source of funding for most strata schemes is from owners through payments called “levies”. The owners corporation must estimate how much money is needed each year to cover the expenses and needs of the strata scheme. The levy amount to be paid by owners is decided at each annual general meeting by a majority vote.
Q: How do I pay my levies?
A: There are several ways you can pay your levies including:
1. Click on ‘Client login’ in the menu bar of this page to connect to DEFT
2. BPay – your levy notice has BPay details
3. Australia Post – Present the payment slip on your levy notice at any Australia Post outlet and make your payment by cash, cheque, or EFTPOS. Please note, Australia Post now charge $2.75 for this service
4. Mail – send your cheque directly to DEFT.
Q: Why have the levy payments increased?
A: The owners corporation must estimate how much money is needed each year to cover the expenses and needs of the strata scheme. At times, the expenses and needs of the strata scheme will vary and could increase. As the budget expenditure increases, so will the levy income required to cover it. The levy amount to be paid by owners is decided at each annual general meeting by a majority vote.
Financial
Q: What is an administrative fund?
A: This is the fund for payment of daily administrative or ‘running’ expenses of the strata scheme. These expenses might include cleaning, gardening, insurance premiums, and management fees.
Q: What is a capital works fund?
A: Larger expenses of a capital nature are normally paid from the capital works fund. The purpose of the capital works fund is to accumulate funds over time to be used for payment of major capital expenses such as painting, roof replacement, and window replacement. The strata committee and the owners corporation use the capital works fund plan to assist them in making an informed decision as to the level of funds to be raised to the capital works fund each year.
Q: Why do we need to have a capital works fund plan.
A: From July 2009, legislation came into effect which requires all owners corporations to implement a 10 year capital works fund plan. The purpose of the plan is anticipate the future maintenance needs of the scheme so that the scheme can implement a strategy that enables funds to be available when needed. By keeping to a capital works fund plan, the owners corporation can maintain the value of the property and reduce the chance of implementing a special levy to meet major repair costs in the longer term.
Strata committee
Q: How can I be elected to the strata committee?
A: The strata committee is elected at the annual general meeting (AGM) of the owners corporation. An owner may nominate themselves, or somebody else (but not both) before or during the meeting. After nominations are received, the number of members is determined, and then the members are elected.
Q: How many members may be on an strata committee?
A: A minimum of 1 and a maximum of 9.
Q: Can an strata committee member be removed?
A: Yes, by self-resignation or by a special resolution at a general meeting.
Q: Can I attend an strata committee meeting as an owner?
A: Yes, but you will need permission of the strata committee to address the meeting.
Q: How many times must the strata committee meet per year?
A: There is no set rule – members can meet at their discretion.
Tenants
Q: Do I have to go to any meetings of the owners corporation?
A: Tenants are not required to attend meetings and do not have voting rights. However, an owner could choose to give their tenant a proxy vote to vote on behalf of the owner.
Q: Who is responsible to make repairs in my unit?
A: Repairs with the space of the lot (or unit) are generally the responsibility of the landlord/real estate agent. You should consult with them in the first instance. You may wish to put your request for repairs in writing.
Q: Who is responsible to make repairs outside of my unit or in the common areas?
A: Generally, these repairs will fall under the responsibility of the owners corporation. You should make your request in writing, via your landlord or real estate agent who will then liaise with the strata committee or the strata manager.
Q: Am I required to abide by the strata scheme by-laws?
A: Yes. All owners and tenants are required to abide by the strata scheme by-laws. A copy of these by-laws is lawfully required to be given to you within 7 days of starting a tenancy agreement.
Q: Can I keep a pet?
A: The first step is to put a written request to your landlord or real estate agent. There will need to be a check of the strata scheme by-laws. Some schemes allow pets with the permission of the owners corporation (the strata committee can give this approval). Other schemes do not allow pets at all. If the by-law allows for pets with permission, your written request will be forwarded to the owners corporation for consideration. By-laws cannot prevent you from having a guide dog or hearing dog.
Q: Can I be evicted by an owners corporation?
A: No. The owners corporation cannot evict a tenant. Only the NCAT (NSW Civil & Administrative Tribunal) can if it makes a termination order on application by the landlord or real estate agent.
Q: What is a strata plan?
A: A strata plan is a subdivision of a parcel of Real Property land into separate lots and common property. Lots are defined as a cubic space and must be limited in height and depth. Strata plans are effectively small communities where the activities and attitudes of residents can have a significant impact on the satisfaction and enjoyment of others.
Q: What is common property?
A: Basically, everything that is not defined on the registered strata plan as part of the lot is “common property”. The lot owner effectively owns the airspace (and anything within the airspace) inside the boundary walls, floors, and ceilings of the lot.
Q: What is an owners corporation?
A: The legal entity that comprises all of the owners of the lots contained in a strata plan.
Q: What is a strata manager?
A: Professionals who are responsible for the administration of owners corporations. Strata managers are specialists in their field, possessing the knowledge and skill to administer the owners corporation in accordance with the complex requirements of the particular state-based legislation. They also work to achieve consensus in decision making by the lot owners, and to otherwise assist the lot owners by assuming onerous responsibilities. Their functions differ to those of real estate agents or caretakers/onsite managers.
Q: Why use a strata manager?
A: Engaging a strata manager is an important step in ensuring the professional and compliant administration of a strata scheme. The proper day to day administrative requirements of the strata scheme can be demanding. Self-managed schemes rely on the time of (often unpaid) owners and strata committee members who may not have the time or proper training to undertake the required tasks. This could leave the owners corporation in danger of being non-compliant in a range of matters, with real financial and legal penalties.
Repairs and maintenance
Q: Who is responsible to maintain and repair common property?
A: The owners corporation, being all of the lot owners collectively.
Q: What repairs am I responsible for and what repairs is the strata scheme responsible for?
A: The answer to this question may not be immediately obvious and you should consult your strata manager. For a general overview click on the link below:
Who's Responsible
Sometimes it may not be known who is responsible at the time of submitting a works order. For example a faulty smoke detector may be caused by a problem with the wiring (common property) or the actual smoke detector (lot owner). Any work arranged by us for items that are the responsibility of the lot owner will be paid by the strata scheme and recouped from the lot owner.
Q: What is preventative maintenance?
A: A well managed strata scheme will implement a preventative maintenance program to extend the life of components of the building to maintain the value of the asset and achieve long term cost savings for the owners corporation. A well maintained building is also a safer building. Typical examples of preventative maintenance are regular gutter cleaning, clearing storm water outlets, swimming pool maintenance, touch up painting of high use areas, checking and replacement of light globes.
Q: Can I renovate my lot and/or alter the common property?
A: Any changes to the common property must be approved by the owners corporation at a general meeting. An common property rights by-law may be required to set out terms and conditions. Any changes to lot property must first be notified to the owners corporation at least 14 days prior to commencement. You may alter your own lot property as you wish, so long as it does not breach any by-laws (eg: damaging common property, or creating excessive noise). Please see our information sheet entitled “owners’ responsibilities”.
Q: Who is responsible for pruning trees at the property?
A: It depends on where the trees are located. If they are located on the common property, the owners corporation is responsible. If they are located within the airspace of your lot (eg: within the airspace of your courtyard), then you are responsible. If the trees are located in a neighbouring property, we recommend you contact your strata manager to discuss the way forward.
Insurance
Q: Who is responsible for insurance of the property?
A: The owners corporation is responsible to take out the strata plan building insurance. This covers the structure of the building and permanent fixtures. The individual lot owner is responsible to take out contents insurance, which covers the contents of the unit, including carpet and paintwork.
By-laws
Q: What is a by-law?
A: A by-law is a rule made to facilitate the administration and harmony of the strata scheme. They may cover such things as the use of the common property and the behaviour of residents. Owners and residents are required to abide by the by-laws of the strata scheme. Please see our information guide “breaches of by-laws”.
Q: Is it a legal requirement to have a noticeboard at the property?
A: Only if it is required in the strata scheme by-laws. If there is no noticeboard at the property, the owners corporation must send all meeting and other notices to each lot owner directly.
Q: My neighbours are ignoring the by-laws. What can I do?
A: You should report the breach to your strata manager, or a member of the strata committee. Steps can be taken to issue a “notice to comply” to the offender. If breaches continue, application may be made to the NCAT for penalties. Please see our information guide “Breaches of by-laws”
Q: My upstairs neighbour has removed the carpet and the noise is disturbing me. What can I do?
A: Under the model by–laws that apply to most schemes, owners do not require permission to remove the carpet in their lot airspace. However the model by–laws require an owner to notify the owners corporation before proceeding. If a noise problem results, you can talk to the neighbour about it, or ask the owners corporation to serve them with a notice to comply with a by-law.
Q: I want to get a pet. Do I need permission?
A: The first step is to check the strata scheme by-laws. Some schemes allow pets with the permission of the owners corporation (the strata committee can give this approval). Other schemes do not allow pets at all. If the by-law allows for pets with permission, you should make a written request to the owners corporation, including supporting information such as type of pet and how it will be looked after.
Meetings
Q: What is a quorum?
A: A quorum is achieved when a minimum of 25% of entitled lot owners are present at a meeting. If a quorum is not achieved, the meeting must be adjourned. Quorum for a strata committee meeting is 50% of members being present at the meeting.
Q: What should I do if I cannot attend a general meeting?
A: You may submit a proxy appointment form, which will be included in your notice of meeting. You may use this form to nominate a representative to vote on your behalf.
Levies
Q: What are levies?
A: The primary source of funding for most strata schemes is from owners through payments called “levies”. The owners corporation must estimate how much money is needed each year to cover the expenses and needs of the strata scheme. The levy amount to be paid by owners is decided at each annual general meeting by a majority vote.
Q: How do I pay my levies?
A: There are several ways you can pay your levies including:
1. Click on ‘Client login’ in the menu bar of this page to connect to DEFT
2. BPay – your levy notice has BPay details
3. Australia Post – Present the payment slip on your levy notice at any Australia Post outlet and make your payment by cash, cheque, or EFTPOS. Please note, Australia Post now charge $2.75 for this service
4. Mail – send your cheque directly to DEFT.
Q: Why have the levy payments increased?
A: The owners corporation must estimate how much money is needed each year to cover the expenses and needs of the strata scheme. At times, the expenses and needs of the strata scheme will vary and could increase. As the budget expenditure increases, so will the levy income required to cover it. The levy amount to be paid by owners is decided at each annual general meeting by a majority vote.
Financial
Q: What is an administrative fund?
A: This is the fund for payment of daily administrative or ‘running’ expenses of the strata scheme. These expenses might include cleaning, gardening, insurance premiums, and management fees.
Q: What is a capital works fund?
A: Larger expenses of a capital nature are normally paid from the capital works fund. The purpose of the capital works fund is to accumulate funds over time to be used for payment of major capital expenses such as painting, roof replacement, and window replacement. The strata committee and the owners corporation use the capital works fund plan to assist them in making an informed decision as to the level of funds to be raised to the capital works fund each year.
Q: Why do we need to have a capital works fund plan.
A: From July 2009, legislation came into effect which requires all owners corporations to implement a 10 year capital works fund plan. The purpose of the plan is anticipate the future maintenance needs of the scheme so that the scheme can implement a strategy that enables funds to be available when needed. By keeping to a capital works fund plan, the owners corporation can maintain the value of the property and reduce the chance of implementing a special levy to meet major repair costs in the longer term.
Strata committee
Q: How can I be elected to the strata committee?
A: The strata committee is elected at the annual general meeting (AGM) of the owners corporation. An owner may nominate themselves, or somebody else (but not both) before or during the meeting. After nominations are received, the number of members is determined, and then the members are elected.
Q: How many members may be on an strata committee?
A: A minimum of 1 and a maximum of 9.
Q: Can an strata committee member be removed?
A: Yes, by self-resignation or by a special resolution at a general meeting.
Q: Can I attend an strata committee meeting as an owner?
A: Yes, but you will need permission of the strata committee to address the meeting.
Q: How many times must the strata committee meet per year?
A: There is no set rule – members can meet at their discretion.
Tenants
Q: Do I have to go to any meetings of the owners corporation?
A: Tenants are not required to attend meetings and do not have voting rights. However, an owner could choose to give their tenant a proxy vote to vote on behalf of the owner.
Q: Who is responsible to make repairs in my unit?
A: Repairs with the space of the lot (or unit) are generally the responsibility of the landlord/real estate agent. You should consult with them in the first instance. You may wish to put your request for repairs in writing.
Q: Who is responsible to make repairs outside of my unit or in the common areas?
A: Generally, these repairs will fall under the responsibility of the owners corporation. You should make your request in writing, via your landlord or real estate agent who will then liaise with the strata committee or the strata manager.
Q: Am I required to abide by the strata scheme by-laws?
A: Yes. All owners and tenants are required to abide by the strata scheme by-laws. A copy of these by-laws is lawfully required to be given to you within 7 days of starting a tenancy agreement.
Q: Can I keep a pet?
A: The first step is to put a written request to your landlord or real estate agent. There will need to be a check of the strata scheme by-laws. Some schemes allow pets with the permission of the owners corporation (the strata committee can give this approval). Other schemes do not allow pets at all. If the by-law allows for pets with permission, your written request will be forwarded to the owners corporation for consideration. By-laws cannot prevent you from having a guide dog or hearing dog.
Q: Can I be evicted by an owners corporation?
A: No. The owners corporation cannot evict a tenant. Only the NCAT (NSW Civil & Administrative Tribunal) can if it makes a termination order on application by the landlord or real estate agent.