Torrens Title, Strata Title, what does it all mean?
When looking to buy a property, there are all sorts of jargon used to describe types of land ownership involved. Here are some phrases you should understand so you know what you are getting in the buying process.
Torrens Title is a type of land ownership system where the purchaser owns both the property and the land it sits on. Torrens Title is the most common method of property ownership in Australia.
Strata Title is used when there are common areas of a property, like units and townhouses. The buyer is given ownership of the inside of the property and co-ownership of common areas with joint responsibility to maintain them – typically managed through a Body Corporate.When you are buying a townhouse, it has Torrens Title and you will be purchasing the land as well as the property. Strata by-laws can dictate whether you can make changes to your property, have pets, etc.
Company title doesn’t give the buyer any kind of certificate of title to the property. Instead it works like a company with shares, and the buyer receives shares in the company that owns the building.