** <NSW> Villa style property without strata levies

I have recently inspected a property in Sydney. It is one of the subdivisions in a complex. The property doesn't have strata levies but a common insurance. Council rates and waters rates are divided and paid by each owner in the complex. The agent has advised that the owner has self-managed the property.

There is no certificate of title issued to this property because it is one of the subdivisions. I also notice that a renovation has been completed lately however alterations, additions and improvements to the property which have been carried out were not obtained a development approval from the local council. The vendor doesn't hold a surveyors report, building certificate or occupation certificate relating to the alterations, additions and improvements.

I haven't had any experience in purchasing a property like this. What are your concerns re this property?

 

What does your solicitor or conveyancer say? Assuming you've had the contract reviewed....
Also every property will have a Certificate of Title as this proves ownership. It has nothing to do with the plan of subdivision (DP)

 

My solicitor reviewed the contract and advised that the property is recognised by two separate streets. However no council approval re the alterations, additions and improvements of the property still concerns me because you never know what the council will do to the new owner(s) re the unauthorised works.

Has anyone had similar experience and wanted to share?

 

All properties have a CT as per @Jacque - what if council submits a S138 and closes the roads, does your property no longer exist? Even land under Old Systems Title, still has a title - proving a good chain of title is just that little bit harder.

Were the works done under a CDC? What alterations were undertaken - replacement of fixtures/fittings/finishes or removal of walls/new windows/structural works/pergolas/open cut coal mine and the like - some things require consent others don't.

 

1 Paying a contribution towards insurance, water, electricity or anything in common is still a levy.
2. By it not having a CT, he may mean “at the moment” alternatively no CT means you are paying for something that you won’t own.
3. If it sounds too good to be true, you’re right!

 

Is this land leasehold and are you buying a prefab/relocatable home? Hence no title? You aren't buying the land, just the structure.

What's self-managed - is the place a rental?

How can the owners simply divide the rates & other costs between themselves? There would be lot entitlements governing what share your lot is required to pay.