Why Strata Inspection Reports Are Necessary When Buying Property

Strata inspections and issuing of strata reports in Sydney are carried out by professional, certified inspectors, who will carry out a very thorough check on the strata scheme and give you a comprehensive report covering every possible aspect of your purchase, from its history to its current ownership. A certified inspector will carry out the inspection in two stages; first they will check the current structural condition and other issues of the building, and then they will investigate the inner workings and regulations of the scheme, such as the agreement, the operations, the financials etc. 

What are the specific items that will be included in a Northern Beaches Strata Report? 

• Financial status of the scheme.
• Sinking fund records and forecast.
• Cost of current levies and likelihood of special levies.
• Budget plan.
• List of expenses for the past two decades.
• The building’s current value.
• Copies of meeting minutes, insurance and building reports.
• Building works or defects - Current, pending or past.
• Legal matters or disputes - Current, pending or past.
• Information on bylaws, breaches and disputes.
• Any known disputes or disharmony within the scheme between residents and owners.
• Current owners and people of note.
• Individual property entitlements.
• Voting rights and entitlements.
• Compliance with fire, WHS, and asbestos requirements.
• Pet policies. 

As you can see, a strata inspection in Sydney covers almost every aspect you can think of, including historical and legal data, and the reports are very comprehensive, providing buyers with adequate data in order to make an informed decision on whether to buy or not. The financial information provides insight into the financial viability of the scheme and if they are able to finance repairs etc in the future, and if they have a sufficient running fund. For those people who have pets, the report will also provide information on whether pets are allowed, and if so, what conditions should be adhered to when keeping pets in your unit. 

Some of the areas to which special attention should be given to by potential buyers of a strata unit includes:

• Financial information – Whether the owners corporation is raising sufficient money to run the building and keep it in a well-maintained condition, and if they have a sufficient reserve to carry out regular maintenance work. Also have a look at the levies that are applicable to you, since you don’t want to have any sudden surprises after investing in the unit. 
• Disputes – Wherever you choose to live, you need to have peace of mind, and therefore it is essential to check if there have been any disputes and disharmony between the residents and owner’s corporation in the past, or if there are any current issues. 
• Defects – Information regarding any major or minor defects that have been detected in the past and how these have been rectified will give you a good idea regarding the scheme or building and its structure. It would be a good idea to speak to a few current residents so that you can get the latest information on such matters. 
• Legislative compliance – Check if the owner’s corporation have complied with legislative regulations such as those regarding fire and safety, asbestos, insurance etc, and if there have been any legal issues that have occurred in the past. 
• Poor management – Make sure that the current management are able to resolve issues and carry out regular maintenance of the building or scheme, and are handling issues faced by the residents in a cordial, timely and efficient manner. 

Armed with the information you have got from a professionally carried out strata inspection in Sydney, you can make the right decision to secure your investment and save your hard-earned money. Some people may wonder why investing additionally on getting strata reports in Sydney is necessary, but it definitely is and is well worth the money you spend on it, because no one wants to go through unwanted unpleasantness and hassle after buying their home.