Each parcel of land in South Australia is issued with a certificate of title of which there are three main types.
Torrens Title this is the most common type of title by far and gives the owner the greatest ownership rights. The owner can demolish, extend, repaint and improve the property as they wish within the planning and building controls that apply across the State expressed in the respective Council’s Development Plan and the state wide Building Code.
The owner is fully responsible for the allotment area the buildings on the lot and associated driveways, paths and services such a water and sewerage. The exception is boundary fences which are shared with neighbours and different controls apply to these covered by the Fences Act.
Strata Titles were used in situations where there is common areas such as shared driveways, stairs, rubbish collection areas that are shared by more than one owner. The owners contribute to a ‘sinking fund’ then the Strata Corporation administers the upkeep of common areas in accordance with strata by-laws to maintain, improve and insure the shared areas.
Strata titles are no longer available for new developments in South Australia. Therefore it is older townhouses and apartments where strata titles, sinking funds and Strata Corporations still apply. If a Strata Corporation exists it is important a prospective new owner establishes the Corporation is financially viable and how much the respective owners are obliged to pay.
Community Titles typically apply to standalone houses or townhouses with some shared areas for water metres, driveway or garden. Rather than a sinking fund for townhouses you will normally be required to contribute to common insurance and maintenance for common garden areas. Owners on this titles often manage issues themselves but a formal Community Corporation can be formed if required.
Community Strata Schemes Titles these titles are usually for apartment complexes replacing strata titles. Shared areas can include things like pools, spas, gymnasium, lifts, basements, carparks and garden areas. These schemes are managed by a community corporation a formal body with legal obligations. The corporation also administers restrictions that may apply to sub-letting, B&B and pets are common. The more area that are shared generally the owners will need to contribute more to insurance and maintenance
In summary a prospective purchaser of a property should be aware of the type of title that is in place prior to purchase. Given the type of accommodation different titles are appropriate and each come with advantages and disadvantages.