Selling Your Strata or Community Title Property: A Step-by-Step Guide

FAQs

31 July

Selling a property within a strata or community title scheme is not exactly the same as selling a freestanding home. There are additional documents to prepare, rules to follow, and considerations unique to shared living environments. Whether you're moving on to a new home or cashing in on your investment, here's a clear five-step guide to help you through the process of selling your strata or community titled property in Australia.

Step 1: Understand Your Legal and Disclosure Obligations

Before listing your property, it’s essential to understand that strata and community title properties come with additional legal disclosure requirements compared to standalone houses. These vary slightly by state or territory, but generally include:

Strata records or certificates (e.g., Section 184 in NSW, Section 32 in VIC, Disclosure Statements in QLD)

Copies of by-laws or rules

Details of current levies and any outstanding fees

Insurance certificates

Minutes from recent meetings of the owners corporation

You must disclose any known issues that could affect a buyer’s decision, such as:

Pending building works or special levies

Ongoing disputes or legal action

Restrictions in by-laws (e.g., no pets, no short-term letting)

Failing to provide accurate or complete information can delay settlement or even cause a contract to fall through. Your solicitor or conveyancer can help gather and prepare the required documents for your state or territory.

Step 2: Order a Strata or Community Title Disclosure Certificate

One of the most important steps in selling a strata or community property is obtaining the relevant disclosure certificate or inspection report. This document gives buyers detailed insight into the operation of the scheme, and typically includes:

Current contributions (levies)

Capital works fund (or sinking fund) balance

Outstanding debts

Details of insurance

By-laws or rules

Upcoming works or major projects

Meeting minutes and financial records (if applicable)

Here’s what it’s called in various jurisdictions:

NSW: Section 184 Certificate

VIC: Owners Corporation Certificate (Part of Section 32 Vendor Statement)

QLD: Body Corporate Disclosure Statement

WA: Form 28 Disclosure Statement

SA: Form 1 Vendor Statement with community corporation details

TAS: Disclosure Statement under Section 83 of the Strata Titles Act

ACT: Unit Title Certificate

NT: Information under Section 107 of the Unit Title Schemes Act

These certificates are generally obtained from the strata or community managing agent and must be up to date at the time of listing or contract exchange.

Step 3: Prepare Your Property for Sale

In strata and community schemes, presentation matters—not just inside your lot, but also how it fits within the overall complex. Consider these steps to maximise appeal:

Inside Your Lot:

Declutter and stage: Create a spacious and neutral environment for inspections.

Fix minor repairs: Dripping taps, cracked tiles, or flaking paint can raise red flags.

Ensure compliance: Make sure renovations, air conditioners, or balconies comply with by-laws and approvals if applicable.

Outside Your Lot:

Check the condition of common property: Buyers may walk through shared areas, so consider liaising with the strata committee if maintenance is needed.

Provide clarity: Clearly indicate which areas belong to the lot (e.g., car spaces, storage cages) and which are common or shared.

Buyers often judge the entire building or complex as part of their purchasing decision, so working cooperatively with your neighbours or committee can improve outcomes for everyone.

Step 4: Work With Professionals Familiar With Strata or Community Sales

Selling a strata property involves more paperwork and legal steps than a standard house. To avoid delays and ensure you meet your obligations, it’s wise to work with professionals who understand strata and community schemes.

Consider engaging:

A real estate agent experienced in apartment or strata sales

A conveyancer or solicitor with strata-specific expertise

A strata manager (to provide certificates and respond to queries)

You’ll also need to:

Provide all documentation to your agent for inclusion in the contract

Be prepared to answer questions about strata levies, by-laws, disputes, or upcoming works

Communicate with the managing agent about settlement timelines and buyer enquiries

A good team can streamline the process and help avoid common pitfalls, such as failing to disclose special levies or providing outdated certificates.

Step 5: Facilitate a Smooth Handover

Once you’ve exchanged contracts and settlement is approaching, there are a few final things to consider in order to wrap up your sale successfully:

Notify the Owners Corporation or Community Association:

Let the strata or community manager know about the upcoming settlement so they can update their records. In many cases, the buyer will automatically become a member of the scheme once the title is transferred.

Clear Any Outstanding Levies or Fees:

Unpaid levies or interest may need to be settled before or at settlement. Ensure your financial obligations are finalised so they don’t cause delays.

Provide All Necessary Documents:

Make sure the buyer receives:

Keys, swipe cards, garage remotes

Instructions for building access or amenities

Any relevant manuals (e.g., for air conditioning or appliances)

Contact details for the strata or community manager

Post-Sale Considerations:

In some states, former owners may still be liable for certain issues if they were not disclosed. Keeping clear records and full disclosure at the contract stage helps protect you from future disputes.

Final Thoughts

Selling a strata or community titled property may come with more administration and collaboration than selling a freestanding home but with the right preparation, it can be just as smooth and rewarding. From understanding your disclosure obligations to preparing your property and working with the right professionals, each step is essential to achieving a clean sale and a satisfied buyer.

Being upfront, organised, and transparent not only protects your legal position but also builds trust with prospective buyers and helps secure the best price.

Disclaimer:

This article is intended for general educational purposes only and does not constitute legal or financial advice. Readers should seek independent legal and professional guidance relevant to their specific circumstances and jurisdiction

Narada Kapao | StrataYou

Narada is no stranger to the strata sector, having worked across a number of strata and property management services companies over the years—but owning in strata has given him an entirely new perspective.

As a new owner, he has seen firsthand the ups and downs of strata living, which has inspired him to help other owners better understand how it all works and how they can get the most out of both their unit and their community as a whole.

Together with his vast network of industry experts and trusted thought leaders (i.e. people who know a lot more than he does), Narada sheds light on key issues from across the strata sector in a simple and digestible way.