Different Types Of Buildings
There are many different types of buildings, but to keep this guide simple most people are interested in either residential buildings or commercial buildings.
Commercial buildings are for business purposes and are beyond the scope of this guide.
Generally accepted definitions of different types of residential buildings and their property titles are –
Is normally a stand alone house on it’s own section of land with it’s own property title.
Unit title property –
Is generally referring to a defined part of a building, such as an apartment and shared ownership of common areas such as the lifts, lobbies or driveways. It’s important to get legal advice to define precisely what you are buying before committing to purchase this type of property.
The law governing buildings where multiple owners hold a type of property known as a unit title is the Unit Titles Act 2010.
Pre-Contract Disclosure Statement
Before you purchase your unit title property, the owner has to provide you with a pre-contract disclosure statement. This covers what you need to know about the unit title and specific information about the unit title you are buying. Read and review it carefully. For more info go here –
Once you buy a Unit Property Title you automatically become a body corporate member. The body corporate owns the common property, such as swimming pools, lifts and recreational space. It has rules how you can use your unit and common areas. Unit owners are entitled to contribute to decisions by including voting at meetings as long as they have paid all their fees.
Owners of unit title property have to pay annual fees to cover costs, including: insurance, repair and maintenance, management and all matters relating to common property. These fees have to be included in the pre-contract disclosure agreement.
Before buying a unit title –
1. Communicate with your lawyer about the pre-contract disclosure statement to ensure you know exactly what you are buying before making an offer.
2. Check how the body corporate is managed by examining the previous meeting minutes and the body corporate financial reports and budgets. Check the body corporate rules are in accordance with the Unit Titles Act 2010.
3. Examine the title and survey plan for the development with your lawyer so you know what’s your property and what’s common property. Also consider any other details on the title and how it may affect your use of the property.
If you want more information about different types of buildings you can research the subject at –
Buy Property – What Do I Need Versus What I Want
Go back to the start of Buying A House Guide
House Buying Guide page order:
1. Pros And Cons Of Owning Versus Renting.
7. Building Types. This Page.