Apartment ownership in Victoria comes with a layer of legal complexity that many purchasers underestimate. The Owners Corporations Act 2006, as significantly amended in 2021, governs how multi-lot developments are managed — and recent enforcement activity by Consumer Affairs Victoria signals that compliance is being taken more seriously than ever. For anyone buying, selling, or already owning an apartment or townhouse in a strata development, understanding your rights and obligations is essential.
One of the most important changes introduced by the 2021 amendments is the tiered regulation of owners corporations based on size. Large owners corporations — those with more than 100 lots or annual fees exceeding $200,000 — now face more prescriptive governance requirements, including mandatory annual general meetings, financial audits, and maintenance plans. Smaller owners corporations have lighter obligations but must still maintain a register of lot owners and keep meeting minutes.
The amendments also strengthened lot owners' rights to access information. Members are entitled to inspect the owners corporation's register, rules, maintenance plan, and financial records on reasonable notice. This right is particularly valuable when purchasing a property: a thorough inspection of the owners corporation records before exchange can reveal undisclosed special levies, ongoing disputes, or deferred maintenance that could prove costly after settlement.
Dispute resolution has also been reformed. The Victorian Civil and Administrative Tribunal (VCAT) now has broader powers to resolve owners corporation disputes, including the ability to order rule changes, compel meetings, and address unreasonable fee decisions. Lot owners who feel their owners corporation is not being managed appropriately have a clearer and more accessible pathway to relief.
For prospective purchasers, our strong advice is to obtain a full owners corporation certificate and request all available records as part of your due diligence. An owners corporation certificate discloses fees, levies, and known defects — but it does not tell the full story. Reviewing meeting minutes from the past two to three years often reveals far more about the building's condition and the competence of its management.
The property team at All Victoria Conveyancing has extensive experience advising on owners corporation issues as part of residential and commercial conveyancing transactions. Please contact us for a no-obligation initial discussion.