There are various options when buying property:
Established property
Buying an established property generally means buying an older house, and maybe planning renovations and extensions.
Before you buy an established property to renovate, ask an architect, draftsperson or builder to report on the kind of work that is possible.
Even if you do not intend to renovate, a building inspection before you buy can identify repairs and maintenance requirements, and estimate the cost.
If building work has been carried out on the property in the past 10 years, check if these works were registered. You can do this by:
- checking the vendor’s statement (also known as a Section 32), which should include these details
- contacting the local council.
The quality and workmanship of registered building works are automatically covered by warranties from the builder. These warranties apply to the building work for 10 years, even if the property sells several times.
For more information, view our Building warranties, insurance and insolvency page.
Buying from an owner builder
An established property may have an owner-built house or include other building work by an owner builder. An owner builder is a person who:
- used their own skills to build, extend or renovate their home
- managed sub-contractors to do the work.
You can tell if a house is owner built, or has had work carried out by an owner builder, by:
- checking the name of the builder on the building permit attached to the vendor’s statement (Section 32)
- contacting the local council
- contacting the Building Practitioners Board. The owner must also have a certificate of consent for work commenced since 2005.
If a property includes work carried out by an owner builder less than six years ago, the owner builder must provide a defects inspection report.
A copy of the owner’s certificate of insurance and the defects report will be attached to the vendor’s statement (Section 32).
For more information, view our Building warranties, insurance and insolvency page.
Flats, units or apartments
When looking at this type of property, consider:
- Can you hear people walking and talking in other apartments?
- Can you smell cooking?
- Are you near the garbage bins or waste collection areas? Are there any odours?
- Is there a parking space on the title? If so, then check this matches the plan of subdivision and the contract of sale.
- What are the rules? Are you able to have pets?
If you are considering a strata-title property, find out about the owners corporation (formerly called the ‘body corporate’).
Strata title is individual ownership of a unit or apartment within a multi-unit complex. At settlement, you will receive a certificate of title for the unit you bought and become a joint owner of the common property (common areas shared by all the unit owners).
The unit owners are members of the owners corporation, which owns and manages the common property.
If you buy the property, you will be a member of the owners corporation. You will have the right to vote on decisions about the operation of the owners corporation and, among other responsibilities, must:
- pay annual owners corporation fees, levies and charges
- obey owners corporation rules. Rules may restrict renovations to the property, pet ownership and noise.
You can find out about the owners corporation by reviewing:
- the owners corporation certificate attached to the vendor’s statement (Section 32). This has details of current fees, insurance cover and maintenance works carried out. It also details any proposed works, fee increases and any potential or existing legal claims affecting the property
- the owners corporation manager’s details on the Business Licensing Authority’s public register of owners corporation managers
- any contracts, agreements, leases or licenses affecting the common property
- the minutes of the owners corporation’s annual general meetings
- the contract of sale.
If you are considering a strata title flat, unit or apartment, use our Buying an apartment or unit checklist.
You can find more information about how owners corporations work in our Owners corporations section.
While the flat, unit or apartment you are considering will usually be strata title, some may be company title or stratum title. A legal practitioner or conveyancer will be able to advise on how the various types of title will affect your ownership, rights and responsibilities.
Vacant land
Before you buy vacant land, consider obtaining a soil test if you plan to build. This could avoid costly problems when you start excavation and building.
If rock must be excavated, or the site is a filled dam or on a flood plain, there will be extra costs associated with footings and foundations.
You can find more information about foundations, and display homes and land packages in our Building and renovating section.
Last updated: 08/05/2012