Units and townhouses appeal to a wide range of buyers, including first home purchasers, downsizers, and investors. Compared to freestanding houses, strata properties are often more affordable, generally involve less personal maintenance, and are commonly located near public transport, shopping hubs, and lifestyle amenities.

That said, purchasing within a strata scheme is quite different from buying a standalone home. You are not just acquiring an individual residence. You are also entering into a shared ownership arrangement where certain decisions, costs, and responsibilities are managed collectively.

Before committing to a contract, it is important for buyers to understand how strata living works and what should be reviewed to prevent unexpected costs or restrictions after settlement.

Understanding Strata Ownership

A strata property involves owning a specific lot, such as an apartment or townhouse, while also holding shared ownership of common areas with other owners. Common property can include driveways, gardens, staircases, lifts, roofs, external building structures, and shared services, depending on the development.

The strata scheme is overseen by a body corporate, known in some states as an owners corporation. This entity manages the upkeep of common areas, collects levies, organises insurance, and enforces the by laws that apply to residents.

The Key Difference Buyers Need to Appreciate

When you purchase a freestanding home, most decisions relating to the property are yours alone. In a strata arrangement, many aspects of ownership are governed by shared rules and collective decision making.

This means factors such as your ongoing expenses and how you use your property can be influenced by:

• Body corporate levies
• Maintenance and repair programs
• Building insurance arrangements
• By laws regulating pets, noise, and renovations
• Major works and special levies approved by the owners

For many buyers, strata remains a practical and appealing option, but it requires careful consideration before proceeding.

Levies and Recurring Expenses

Owners in strata schemes contribute regular levies to cover the costs of running and maintaining the property. These funds typically pay for building insurance, shared utilities, gardening, cleaning, lift maintenance, and administrative services. Levies can increase over time, particularly as buildings age or operating costs rise.

Before purchasing, buyers should review:

• The current levy amounts and payment schedule
• Whether levies have increased frequently in the past
• Whether the levy levels appear sufficient to meet ongoing maintenance needs

If levies seem unusually low, it may indicate that the scheme is underfunded, which can result in substantial increases or additional charges in the future.

Special Levies and Major Building Works

One of the most significant financial risks associated with strata ownership is the possibility of special levies. These are additional payments required when the body corporate does not have adequate funds to cover major or unexpected expenses.

Special levies may be imposed for:

• Roof repairs or replacement
• Structural rectification, including concrete cancer
• Plumbing or waterproofing failures
• Lift repairs or upgrades
• Fire safety compliance works
• Storm or water damage not fully covered by insurance

These costs can be substantial and may arise with limited notice once approved by the owners. Reviewing body corporate records can provide insight into whether major works are planned or anticipated.

By Laws and Restrictions on Use

Strata by laws set out rules that apply to owners and occupants. These can place limits on how you use and modify your property, and buyers are often surprised by how restrictive some schemes can be, particularly in relation to pets and renovations.

By laws may cover matters such as:

• Whether pets are permitted and under what conditions
• Noise and nuisance standards
• Use of balconies and storage areas
• Short term or holiday letting
• Renovations, flooring changes, and air conditioning installation
• Use of common areas and visitor parking

If you have specific plans for how you want to live in or use the property, it is essential to ensure the by laws align with your expectations.

Insurance and Repair Responsibilities

In most strata schemes, the body corporate arranges building insurance, funded through levies paid by owners. However, responsibility for repairs can vary depending on whether an item forms part of the lot or the common property, which is a frequent source of confusion.

Some components that appear to be within your unit may actually fall under body corporate responsibility, while others may be the owner’s responsibility. A property lawyer can help clarify these distinctions by reviewing the strata plan and related documentation.

What You Can Learn from a Strata Search

A strata search gives buyers access to key body corporate records and information about how the scheme is operating.

This may reveal:

• Financial statements and fund balances
• Levy schedules and any outstanding arrears
• Insurance cover details
• Maintenance history and planned works
• Ongoing disputes, complaints, or legal proceedings
• Meeting minutes and previous decisions

This information can highlight potential risks that would not be apparent from a physical inspection alone.

How a Property Lawyer Can Assist with a Strata Purchase

Strata purchases involve additional documentation and considerations. A property lawyer can support buyers by:

• Reviewing the contract and identifying strata specific risks
• Explaining levy obligations and ongoing financial commitments
• Reviewing disclosure documents where applicable
• Ordering and interpreting strata search results
• Advising on by laws, insurance arrangements, and special levy exposure
• Assisting through settlement and post contract processes

This professional guidance helps buyers make informed decisions and avoid unpleasant surprises after settlement.

Final Considerations

Strata properties can be an excellent choice for buyers seeking convenience, location, and lower personal maintenance. However, purchasing into a strata scheme is about more than the individual unit. It also involves understanding the financial position of the scheme, the by laws that apply, and the shared responsibilities for long term upkeep.

Before signing a contract, obtaining legal advice and carefully reviewing strata records is essential. Doing so ensures the purchase aligns with both your lifestyle goals and your financial expectations.

If you’re looking to buy a unit or townhouse, speak with a trusted Brisbane conveyancing specialist or property lawyer.