Are you buying a strata titled, community titled or company titled property?
You may have heard of a Section 182, strata search or pre-purchase strata report? These are other names for a strata inspection report. As is a Owners Corporation Records Inspection. If you are thinking of purchasing a strata titled property it is best to engage the services of a fully qualified Inspector.
A strata inspection report will reveal multiple details of a property. It is closely related to a building report when a person is purchasing a home.
The major variant is a Strata Inspection Report analyses the building which is also referred to as the Strata Scheme. All the recorded data must comply with the Strata Schemes Management Act. The reports will alert the buyer to the activity within the building.
What Should Strata Inspection Reports Reveal?
The following is a checklist a strata inspection report can disclose.
- Is there any insurance on the building and if so, to what level?
- What are the balances in the Administration Fund and Capital Works Fund?
- Who owns the property?
- In the past 3 years have there been any legal issues or are any existing today?
- Is the Strata Scheme experiencing any disputes?
- What are the policies on animals?
- Do you have voting rights and entitlements?
- Are there any insurance claims for the building?
- How much are the quarterly levies for the property and who are these paid to?
- In relation to quarterly levies are there any proposed special levies that may arise due to works and defects?
- If there is a Sinking Fund what are the strata scheme estimates around likely capital works and the time frame?
- Are there any proposed major works or expenditures?
- Notes relating to the AGM minutes.
How Much is a Strata Inspection Report
A strata inspection report could be for a block of flats, a commercial premise or an industrial estate.
$55 for a small (basic) report and $330 for a full inspection report.
Why you should perform a Strata Inspection
A strata inspection report is going to uncover everything you will want to know about a property’s past history and its current status. The main things you will want to know is how is the strata scheme has been managed and what shape it is in going into the future. Due diligence always outperforms bad luck. As they say good luck is the result of preparation.