Here are some of the most frequently asked questions about Strata Plans
What is a Strata Scheme?
A strata scheme is a building or collection of buildings that has been divided into ‘lots’. Lots can be individual units/apartments, townhouses or houses. When a person buys a lot, they own the individual lot and also share the ownership of common property with other lot owners.
What is a Unit Entitlement?
Each lot has a comparative value that is decided when the strata plan is registered. The unit entitlement of each lot is set out in the schedule of unit entitlement on the strata plan and is used to calculate each owners contributions for levies and voting entitlements
What is a Levy?
Lot owners in a strata scheme are required to pay a fee to the Owners Corporation to cover any financial commitments. The amount and frequency of levy payments are decided on an annual basis at the Annual General Meeting.
What is a Strata Committee?
In a strata scheme the strata committee of the Owners Corporation is a group which represents owners or owners’ nominees. It administers the day-to-day running of the strata scheme and is elected at each Annual General Meeting.
What are by-laws?
By-laws are a set of rules that all owners, occupiers and their visitors must abide by. By-laws can be added, repealed or amended at a general meeting. By-laws address matters like noise, parking of vehicles and keeping of animals.
I want to get a dog. Do I need permission?
Check your by-laws first. Some schemes allow pets with the permission of the Owners Corporation – the strata committee can give this approval. Other schemes may not allow pets at all. If your by-laws allow pets, please contact our office to obtain a pet application form.
Why do we need to have a Capital Works Fund Plan?
Developing a 10-year Capital Works Fund Plan means that future repairs and maintenance are anticipated well in advance. The Owners Corporation can then agree on the best way to raise levies to cover future costs. Each strata plan is required to have a capital works fund plan.
Do I have to insure the content of my strata unit?
While there is no obligation to do so, it is highly recommended that you take out adequate insurance on the contents of your unit. The insurance that the owners corporation organises covers common property including the structure of the building.
Contents such as your furniture, electrical appliances, curtains and carpets are not covered. Owners can suffer major loss if their personal property is not insured in the event of a fire or through water damage. In addition, contents insurance usually covers your paint finishes on walls and ceilings.