This week I am explaining some titles that are commonly used when buying into the property market.
Covenant: Terms, conditions and restrictions noted on the certificate of title regarding a property. Be aware that this covenant may affect future plans or resale of the property.
Company title: This may exist where owners of units actually own shares in a private company rather than having title under strata title. Buying a certain number of shares in the company entitles you to possession of a particular unit in the block of units..
Strata Title: This is the system of title that applies to ownership of units, apartments and some townhouses. Strata title involves subdivision of airspace above land, you own part of the building not the land.
Torrens Title: This is the most commonly used title, that applies to people purchasing land in Australia. A certificate of title of torrens nature, is guaranteed by the state and issued to the person who is the registered owner at that time. Unless you are registered on the title, you have no legal standing.
Community Title: Is a form of subdivision which allows common property areas to be incorporated into a land division. On a community style plan, an association will be established like a body corporate under strata titles legislation. People entering into this title will receive a torrens title for the lot which they own, membership to the association, and share ownership of the common facilities.
Covenant: Terms, conditions and restrictions noted on the certificate of title regarding a property. Be aware that this covenant may affect future plans or resale of the property.
Company title: This may exist where owners of units actually own shares in a private company rather than having title under strata title. Buying a certain number of shares in the company entitles you to possession of a particular unit in the block of units..
Strata Title: This is the system of title that applies to ownership of units, apartments and some townhouses. Strata title involves subdivision of airspace above land, you own part of the building not the land.
Torrens Title: This is the most commonly used title, that applies to people purchasing land in Australia. A certificate of title of torrens nature, is guaranteed by the state and issued to the person who is the registered owner at that time. Unless you are registered on the title, you have no legal standing.
Community Title: Is a form of subdivision which allows common property areas to be incorporated into a land division. On a community style plan, an association will be established like a body corporate under strata titles legislation. People entering into this title will receive a torrens title for the lot which they own, membership to the association, and share ownership of the common facilities.
