Certainly, there are several questions that you might have about strata management which we are going to discuss here in detail. Right from what the Strata scheme is and what all you should do when it comes to buying into a strata scheme, we will be answering it all here. So, without any adieu, let’s get right to the frequently asked questions about Strata management.
Strata Management FAQs
In this section, we are going to list a few very common questions that businessmen have about Strata Management.
Q1. What is strata management?
Ans. Strata is basically an Australian innovation that is introduced in property law that other countries across the globe have copied. This is the innovation that allows individual ownership of a part of a property. Not just this, this also includes the shared ownership in the remainder through a legal entity known as the owner’s corporation. In Sydney alone, the Strata now accounts for more than half of residential sales as well as leases.
Q2. Who is responsible for making management decisions in a Strata community?
Ans. When it comes to making a decision, all owners can vote on management decisions at AGM that is Annual General Meeting. But when it comes to making decisions, they are usually made on the behalf of the owner’s corporation by a committee of owners who are usually elected at AGM. However, there are several strata schemes that do not have any committees but mostly, it is the responsibility of the committee to make management decisions.
Q3. What are the duties & responsibilities of committee members?
Ans. Under the responsibilities of the committee members comes –
- Authorizing the minutes of the previous meetings both committee and general.
- They have the authority to rule a motion “Out of Order” at the general meetings
- Approving the annual building insurance quotes and renewals.
- Authorizing the committee’s spending limit.
These are a few responsibilities of the committee members.
Q4. Can you manage the strata yourself?
Ans. Yes, there is no law that states against the idea of managing the strata yourself. Usually, when this occurs, it is called self-managed strata, diy strata, or diy body corporate. There are thousands of strata schemes self manage their strata schemes. There are some owners who think self-managing is not managing at all. One thing to note here is that a poorly managed strata scheme can devalue a property. So, before you decide to self manage your strata, be very sure of it.
Q5- What is an owners corporation?
Ans. An owner corporation is a legal entity that combines all the lot owners in the strata scheme. These are automatically created when a plan of subdivision contains a common property. There are several things that can be included in the list of common property such as – driveways, foyers, stairs, lifts, common gardens, and more. All the owners automatically become a member of the owners corporation excluding the ones who are renting. It is their responsibility to maintain the common property and ensure that the whole of the property for a full replacement value.
These are some of the frequently asked questions about Strata management. Companies like Capital Starta can help you with everything. So, if you have any more questions, you can get in touch with them and they will explain it all.
