Unit Title Issues and Body Corporate Problems
Insight
Unit-title properties include apartments and some townhouses where owners share responsibility for common areas. This structure is regulated by the Unit Titles Act, which requires detailed disclosure documents, maintenance planning and financial reporting. Buyers and sellers must understand these documents to avoid unexpected costs or disputes.
Because unit-title properties often involve multi-level buildings, shared facilities and long-term maintenance, risks can be more complex than standalone homes. Weathertightness concerns, special levies, disputes or underfunded maintenance accounts can significantly impact value and ownership costs.
People typically seek help when body corporate documents reveal problems, when lending is uncertain or when a sale is delayed by disclosure requirements. This guide explains how unit-title ownership works and common issues buyers and sellers should consider.
How Unit-title Ownership Works
Tip:
Always review long-term maintenance plans and financial statements — these often reveal whether levies are likely to increase.
Unit-title ownership gives you exclusive ownership of your unit and a share of common property such as hallways, lifts, gardens, driveways, roofs and walls. A body corporate manages these shared areas, collects levies and organises insurance for the entire development.
Owners must comply with body corporate operational rules, pay levies and participate in decisions affecting the development. Major decisions usually require votes at meetings, and some require special resolutions.
A lawyer reviews the disclosure statements and body corporate records to explain the financial and legal health of the development.
Common Issues in Unit-title Developments
Common pitfall:
Focusing only on the current levy amount without reviewing the maintenance fund balance or upcoming works — low levies sometimes indicate underfunding rather than good value.
Common issues include weathertightness defects, high special levies, underfunded maintenance plans, internal disputes and insurance complications. Some developments have long-running issues that are not immediately obvious from marketing materials.
Buyers should check whether the building has any remediation history, earthquake-strengthening requirements, upcoming levy increases or ongoing disputes. Sellers need to ensure all required disclosure statements are completed correctly to avoid delays or cancellation.
Buying or Selling a Unit-title Property
Buying or selling a unit-title property involves additional steps compared to standalone homes. Buyers must review three mandatory disclosure statements, and sellers must provide them. These documents outline levies, insurance, maintenance plans and any known issues or disputes.
A lawyer explains the significance of these documents, identifies red flags and advises on whether conditions should be negotiated or amended. For sellers, accurate disclosure reduces the risk of disputes after the agreement is signed.
Costs for Unit-title Advice
Legal fees for unit-title matters depend on the complexity of the development, the number of documents to review and whether there are known issues. A straightforward apartment purchase may be covered by standard conveyancing fees, while more complex buildings or disputes typically involve additional time.
There may also be body corporate fees for providing disclosure statements. For broader pricing guidance, see the property lawyer costs guide.
How to Choose a Lawyer for Unit-title Issues
Choose a lawyer familiar with unit-title law and who regularly reviews body corporate documents. Ask about their experience with buildings of similar size or age, and whether they can explain levy structures, maintenance plans and disclosure requirements clearly.
If the development has known issues or disputes, look for someone with experience in litigation or negotiation as well as conveyancing.
Find a Lawyer for Unit-title Problems
Explaining the building’s age, any concerns raised in reports and whether you are buying or selling helps match you with lawyers who regularly deal with unit-title developments. This avoids repeating your story to multiple firms and ensures more focused early advice.
Mentioning whether the property is involved in remediation, has high levies or is subject to upcoming maintenance helps lawyers assess your situation quickly.
Need help with a unit-title property?
Tell us about the property to get matched with lawyers who regularly handle unit-title issues.
Frequently Asked Questions
What is a unit-title property?
A unit-title property is a form of ownership common in apartments and some townhouses. Each owner owns a defined unit and an undivided share of common property. A body corporate manages shared areas and collects levies for insurance, maintenance and long-term planning.
What are body corporate levies?
Levies are contributions owners pay to cover the cost of insurance, maintenance, management and long-term maintenance plans. They can vary significantly depending on the building’s condition, facilities and past maintenance decisions.
What is the pre-contract disclosure statement?
This document is required when selling a unit. It provides buyers with essential information about levies, planned works, maintenance funds, insurance and any disputes. Lawyers review this document during due diligence to assess risk.
Why are unit-title buildings sometimes considered high-risk?
Some buildings have weathertightness issues, underfunded maintenance plans, high special levies or unresolved disputes. These can affect value, lending, insurance and ongoing costs. A lawyer helps interpret the documents and identify red flags.
Will banks lend on apartments?
Banks generally lend on apartments that meet size, construction and condition standards. However, some buildings, particularly those with known defects or small floor areas, may be subject to additional lending criteria.
You don’t need all the answers
Property issues can feel overwhelming — especially when you’re facing deadlines. Sharing a few details about your situation is enough for a lawyer to understand the context and guide you through the next steps.
Get Help From a Lawyer for Unit-title Issues
Unit-title properties involve body corporate rules, levies, disclosure statements and maintenance plans. Providing a short overview of the apartment or unit, any concerns raised in reports and whether you are buying or selling helps match you with lawyers who regularly assist with unit-title issues.
By outlining the age of the building, body corporate documents and any weathertightness or levy concerns, you can connect with professionals who understand the risks and documentation involved. While this does not guarantee representation, it helps you find suitable options faster.