If you look closely at the trend of property development in Queensland, you’ll see that strata property is gaining much more popularity in recent years. This is well-deserved: strata properties allow developers to maximise land by having more homeowners settle in the same area.
This article is not just for residential property developers or real estate practitioners. It also provides insights for those who are going through their options for living arrangements. Strata properties are investments on both sides, and this article tackles why it’s worthwhile for both occupant and developer. Read on to learn more about strata property and why it’s worth your time and consideration.
For property owners or developers
There’s an increasingly growing market for residential strata properties
Cities in Queensland are developing faster by the day. That means that more and more people are looking to move into Queensland, from Aussie locals to Queensland locals who plan on changing cities. The first thing they’ll look for? A nice apartment building, a unit they can afford, or possibly a townhouse for their growing family. It’s unlikely that people jump into building a new home right away: they want to feel settled in a place first before planting permanent roots there. That’s the desirable alternative that strata properties offer.
Strata properties are also especially appealing to those who want to live in or near central business districts or other high order social infrastructure. A lot of people have no problem sharing space with others if it means they get to live in close proximity to schools, commercial centres, hospitals, lifestyle districts, and the like. With the development of a business district comes the demand for living arrangements therein. Taking on strata-titled property development in Queensland can leverage from this growing trend.
Owners are not solely responsible for the cost of upkeep and repairs
Compared to a Torrens/Freehold title where an owner maintains sole ownership of both the land and the building on that land, a strata-titled property splits ownership among its occupants. If you hold a Torrens title on your land and building, that means that all the burden of maintaining it falls on you, and all your tenants have to do is pay rent. This can become overwhelming over time, especially as your property improves and more occupants come in.
If you strata-title your property, you delegate that responsibility directly to the occupants. You also allow the occupants to determine when and if projects must be conducted, if they should be conducted at all, which seems fair, given that they too are main stakeholders at the property. It should be remembered that this decision-making process is subject to a due diligence process governed by a management statement to ensure people do not unreasonably withhold consent or hinder projects that do not involve tangible impact on others. This is where an experienced strata titling expert becomes invaluable.
For those seeking living arrangements
The purchase price is significantly lower
For those who want a home living experience but are not ready to build a new home, a residential strata property may just be the best and most affordable in-between option. You get to live in your own space, but you also enjoy common facilities such as a garden, pool, carpark, barbeque stations, or other similar common areas.
In terms of maintenance, your quarterly levy will generally cover that. In a residential strata property, you pay a levy, which is a financial contribution that covers whatever the neighbourhood needs. You can rely on everybody’s contribution to your neighbourhood’s upkeep. Usually, strata managers handle the rest of the work, like contacting rubbish removal companies, repair companies, or other service providers.
Your purchase cost is low, but there’s a lot of experiences to be had and maximised in your shared space. It’s definitely a bang for the buck.
Plenty of opportunities for good homes in viable locations
There are different types of strata properties. There’s the strata apartment building, townhouse, or subdivision. Retirement villages or caravan parks may also be strata-titled. You will certainly have a viable strata living option depending on your budget or your preferences.
As mentioned above, most people prefer to live in or near CBDs, and a good number of the buildings that make up these CBDs are strata buildings, either commercial or residential. Residential strata maximises space and allows people to coexist in a high-thriving area in the most efficient way. Most people start independent living or early family life at a strata community and move on to home living later in life, so strata living can also help you find your footing at the most cost-effective way. Also, it is important to learn about residential strata insurance Qld.
Want to learn more about strata titling and how you can start investing in strata property? Get in touch with QStrata today
If you are in need of a strata title property development services in Queensland, contact us through the following numbers: (07) 4724 1763 or 0438 789 612. You may also email our strata consulting group at admin@qstrata.com.au or leave us a message via our online enquiry form.
