Torrens Title

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Brent1
Participant
@brent1
Join Date: 2003
Post Count: 14
August 16, 2003 - 4:25 am
Hello everyone. I was hoping for some help on torrens title block of units.
What is torrens exactly? And what am I getting myself into if I purchase this title?
Thankyou
Stuart Wemyss
Member
@stuart-wemyss
Join Date: 2003
Post Count: 598
August 16, 2003 - 6:02 am
The Torrens system is a normal title. The old system meant that the mortgagee actual has an equitable interest in the property. The enactment of the Torrens system in Australia (in 1870’s) changed that. Now the owner/borrower retains the equity interest and the lender (mortgagee) takes a charge over the property.
The vast majority of titles fall under the Torrens system so you should be ok. Talk to your solicitor/conveyancer for more information on this.
Cheers
Stu
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Brent1
Participant
@brent1
Join Date: 2003
Post Count: 14
August 16, 2003 - 6:24 am
So will I have to pay body corporate as with strata?
Simply, would I be better off buying torrens rather than strata?
Nessie
Member
@nessie
Join Date: 2001
Post Count: 73
August 16, 2003 - 11:46 pm
Hi Brent
I understand this to be that the block of Units is all under the one Title – Torrens – that is the Units have not been subdivided. So there would be no body corporate fees because a Body Corporate is only created when there are separate titles for each Unit.
If you intend to sell any of the Units individually you will have to subdivide and create Strata Titles for each Unit. This will also mean that you will create a body corporate. You will however, be able to create Strata Titles and pay no body corporate fees whilst you are the owner of all the Units.
Once you sell off any individual unit, you will be required to have body corporate insurance and then Body Corporate Fees will need to be paid with respect to all of the Units.
Speak to your Solicitor for a more detailed explanation.
Cheers
Nessie