Owners corporation & strata law in Victoria.

An owners corporation manages the common property on a plan of subdivision: the land, structure, services and shared areas that are not inside anyone's lot. It sets and collects levies, maintains and insures the common property, makes rules and holds annual general meetings, all under the Owners Corporations Act 2006 (Vic) and the plan itself.

For buyers, the owners corporation certificate is the key disclosure document: it shows current and unpaid levies, the balance of the maintenance fund, insurance, current rules, and any notices, works, litigation or special levies on foot. Read properly, it tells you whether you are buying into a well-run building or a defect claim.

When you buy into an owners corporation, the owners corporation certificate under section 32F of the Sale of Land Act 1962 is the window into it: the fees and any special levy, the state of the maintenance fund, the insurance, the rules, and any current legal proceedings. A certificate showing a healthy fund and no disputes is very different from one that does not.

Cladding is its own issue. Amendments to the Local Government Act 1989 allow charges for cladding rectification funding to be recorded against a property, so a building's cladding history and any rectification charge are worth checking, because the charge can follow the property to a new owner.

For owners and committees, the day-to-day questions are levy recovery, whether a proposed alteration needs consent, who pays for a leaking balcony or a failed cladding rectification, whether a rule is enforceable, short-stay letting, pets, car spaces and how to run a valid meeting and vote.

An owners corporation certificate is generally only current for a limited period and is a snapshot. Special levies for defect rectification or cladding works can be resolved days after the certificate issues, so the meeting minutes and the maintenance plan are worth checking, not just the certificate.