This article is based on content from The WA Strata Magazine by LookUpStrata, published on 16th August, pages 38-39. For more information, visit The WA Strata Magazine.
Purchasing a strata property in Western Australia involves unique considerations compared to buying a standalone home. One of the key differences is the concept of “Positive Obligations.” Unlike standalone houses, where ongoing payments are prohibited, strata properties require owners to contribute to the maintenance and repair of common property through annual levies. These obligations are transferable to future owners, ensuring the upkeep of the property.
As a strata owner, you become part of a strata company, with responsibilities such as voting at general meetings, having a say in the management of the property, and contributing financially to the scheme’s management. New laws in WA now mandate that sellers provide specific information to potential buyers, including minutes from the previous Annual General Meeting (AGM), the strata plan, scheme by-laws, and financial statements. This ensures that buyers have all the necessary information to make an informed decision.
Prospective buyers should thoroughly inspect the property and common areas, looking for any potential issues. Assessing the financial health of the scheme is also crucial. Review the strata company’s financial statements and documentation, including estimated contributions, the most recent statement of accounts, and any outstanding debts.
While conducting your own research and inspections is important, seeking professional advice from strata lawyers, consultants, and building inspectors can provide additional protection and insights. These experts can help you understand the implications of purchasing a specific property.
Additionally, consider whether community living suits your lifestyle. Strata living involves active participation in a community, so engaging with current residents can offer valuable insights into the living experience. Overall, purchasing a strata property can be a rewarding experience with the right due diligence and understanding of your rights and responsibilities.
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