Buying Properties Run by Owners’ Corporations

Increasingly, people are attracted to purchasing townhouses and apartments in inner suburbs as an affordable alternative to a house.

It’s important to remember when buying this type of property within a complex that you will also have to deal with an owners’ corporation and that your financial responsibilities extend beyond your particular property.

The owners’ corporation, or body corporate, is responsible for all the properties within a particular complex, ensuring that there is adequate building insurance and proper management for the upkeep and repair of the common property and grounds. Common areas may include external walls, roofing, fencing, driveways and shared courtyards. Therefore it is essential to do your homework and understand your responsibilities and potential financial liabilities as a member and property owner.

Prior to purchasing this type of property it’s essential that you obtain an owners’ corporation certificate as part of the vendor’s statement. This document discloses if there are any repairs, maintenance or major upgrades being planned, along with an estimate of the costs.

Source:

http://www.propertyobserver.com.au/residential/do-your-research-before-buying-a-property-within-a-residential-owners-corporation-mark-armstrong-ownerscorporation-bodycorporate/2013052161536