What is strata in Australia?
Strata is a way of owning one lot, such as a townhouse, villa or apartment, while sharing the common property around it with the other owners. In NSW, where the word is used in the law, all the lot owners together form the owners corporation, which looks after the shared parts. This guide draws on NSW, Victorian and Queensland government pages checked in October 2026.
Checked October 2026. Rules, rates and prices change, so confirm anything that matters with the source linked below.
What strata means
NSW Land Registry Services describes a strata scheme as a building or group of buildings divided into lots, which may be apartments, commercial or retail units, townhouses or houses. The lot owners share ownership of the common property, and when you buy a lot you automatically become part of the owners corporation. Shared gardens, external walls, roofs, driveways and stairwells are the examples it gives.
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What you own and what you share
In NSW the split between your lot and common property comes from the registered plan. NSW Fair Trading's repairs guide gives a sense of how it usually falls:
- Usually the owner's: internal walls, carpet, internal painting, lights that hang into the lot, plumbing in internal walls and fixtures such as baths, toilets, sinks and showers, and appliances.
- Usually the owners corporation's: the roof and gutters, boundary walls, the concrete slab, windows and window locks, balconies, garages and plumbing in boundary walls.
What counts as common property differs from one scheme to the next. The registered strata plan and the by-laws decide who owns and repairs a roof, an external wall or a pipe, so check them for the specific lot.
Queensland shows how much this can vary for townhouses. The Queensland Government says that under a standard format plan, often used for a townhouse complex where each lot has its own building and yard, an owner is generally responsible for the roof, exterior walls, doors, windows and foundations within the lot. Under a building format plan the body corporate usually takes on more of that. The strata plan guide explains how to read the plan that settles this.
Your share of ownership, your voting power and your share of the costs are tied to your lot's unit entitlement, which appears on the strata plan.
Who runs a strata scheme
- Owners corporation: every owner, automatically. It makes decisions on finances, insurance, repairs, by-laws and whether to hire a manager.
- Strata committee: elected at the annual general meeting (AGM) to handle day-to-day decisions. NSW allows one to nine members.
- Strata manager: a licensed professional the owners corporation can hire. NSW says there is no legal requirement to have one. See what a strata manager does.
- Building manager: can be hired to look after the buildings and common property.
Every owner pays levies. In NSW these are usually paid quarterly and set after the budget is approved at the AGM. They go into an administrative fund for day-to-day costs and a capital works fund for major work, backed by a 10-year capital works plan.
Strata, body corporate and owners corporation by state
The idea is similar across Australia, but the words and the laws are not. This table shows what the official pages checked for this guide use.
| Jurisdiction | Common wording | Law named by the official source |
|---|---|---|
| NSW | Strata scheme, run by an owners corporation (previously called a body corporate) | Strata Schemes Management Act 2015 |
| Victoria | Owners corporation (formerly body corporate), created by a plan of subdivision | Owners Corporations Act 2006 |
| Queensland | Body corporate, within a community titles scheme | Body Corporate and Community Management Act 1997 |
| Northern Territory | Unit title schemes | Unit Title Schemes Act 2009 |
| ACT | Unit titles | Unit Titles Act 2001 |
Consumer Affairs Victoria still defines strata title as individually owned units with shared ownership of common property managed by an owners corporation, and separates it from stratum title and company title.
Western Australia, South Australia and Tasmania have their own strata or community title laws and terms. This guide has not covered them, so check the state titles office or consumer agency.
How it differs from owning a house on its own title
Buying into a strata or body corporate scheme brings obligations that a detached house on its own title does not.
- Membership is automatic. Queensland says you cannot opt out, and NSW says it ends when you sell.
- You pay levies and follow the by-laws.
- Some renovations need approval, and the shared parts are repaired by the scheme, not you.
For a side-by-side comparison, see strata versus Torrens title for townhouses. Not every townhouse is in a scheme, and whether yours is depends on how the land was subdivided.
Costs and checks before buying
NSW Fair Trading suggests getting a strata report and a building inspection, checking the by-laws, and considering the reputation of the developer, the builder and the strata manager. It also warns that low levies can mean a steep rise later, and that special levies may be needed if there is not enough money for large works.
The guide to body corporate fees on townhouses covers the money side, and what a strata report is covers the paperwork. If you are comparing new projects, you can browse new townhouses in Sydney.
Common questions
- Is a townhouse strata?
Often, but not always. NSW Land Registry Services names townhouses as strata lots, and the Queensland Government names townhouse complexes as community titles schemes. Some townhouses sit on their own title with no shared property, so the title and the registered plan are what settle it.
- Do I have to pay strata levies?
Yes. NSW Fair Trading says all owners in a scheme are charged a levy, usually paid quarterly. In NSW you must get at least 30 days' notice to pay standard and special levies, and you are still required to pay if a notice does not reach you.
- Can I opt out of the owners corporation?
No. The Queensland Government says you cannot opt out of a body corporate, and NSW says you automatically join the owners corporation when you buy. In NSW you stop being a member when you sell your lot. Because membership comes with the lot, the scheme's levies and by-laws apply to you as owner, so read the by-laws and the section 184 certificate before buying.
- Is strata the same as a body corporate?
They describe the same kind of arrangement under different state laws. NSW now says owners corporation, previously called body corporate, while Queensland still uses body corporate. Victoria also says owners corporation (formerly body corporate), and the Northern Territory and ACT laws are named unit title acts. The rules differ, so check the state where the property is.
Keep reading
Sources
- Strata Schemes, NSW Land Registry Services
- Strata repairs and maintenance, NSW Government
- Buying a strata property, NSW Government
- Who's who in strata, NSW Government
- Your strata levies, finances and insurance, NSW Government
- What is an owners corporation?, Consumer Affairs Victoria
- Owners corporations definitions, Consumer Affairs Victoria
- Role of the body corporate, Queensland Government
- Standard format plan and group titles plan maintenance, Queensland Government
- Unit Title Schemes Act 2009, Northern Territory Legislation
- Unit Titles Act 2001, ACT Legislation Register
This is general information, not financial, tax or legal advice. Get advice that suits your situation before you buy.