I have come across a unit in a rural NSW town that has a community title instead of strata title. Can anyone please explain the differnence. Does it affect pricing, availability of finance, security of title, responibility etc.
Is it possible to multi-let a community titled property or even to have pets? Or is it like strata title in that you need permission from the other community title holders?
Just found this information from the NSW Land & Property Management Authority;
Community titles
The community titles legislation was designed to fill the vacuum between conventional methods of subdivision and strata subdivision to enable shared property to be created within conventional subdivisions.
The Registrar General's Directions for Community Schemes is a practical to assist with the preparation of plans for community schemes for lodgment at LPMA. Also see Approved Community Plan forms
In addition to extending the concept of the shared use of common facilities to subdivisions, which might consist of no more than vacant blocks of land, the community title also provides for:
- the development of planned communities of any type where the use of some land is shared
- the development of non-staged "stand-alone" schemes or schemes comprising several stages that can be developed over an unlimited time frame
- projects ranging in size from small groups of houses clustered around common open space to large communities with shared roadways and facilities based on commercial, sporting or agricultural features
- common areas within a community development owned and managed by an association comprising all lot owners
- association owned common areas, referred to as "Association Property", the association is agent for its members in shares proportional to the member's unit entitlement, based on site values, which will determine voting rights and contributions to maintenance levies
the promotion of theme or mixed use developments - flexibility in the management and administrative arrangements operating for schemes set out to a specific theme or containing separate areas for residential, commercial, recreational and industrial uses. This necessary degree of flexibility is achieved by providing for a multi-tiered management concept and by permitting a management statement to be prepared for each scheme setting out the rules and procedures relating to the administration of and participation in the scheme
- an effective means of subdivision for medium density housing and can also facilitate the construction of major resort developments in New South Wales
It seems to very particular to NSW, so anyone from there may have more practical experience of this. I would suspect that, given the similarity to strata titling, there would be extra costs to cover the shared properties, and extra responsibilities (similar to body corporate fees). There may also be financial constraints if these types of properties are considered to be more difficult to buy & sell than a standard property.
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