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A search of a certificate of Title shows that a caveat. What is it?
Answer: Caveats are notices or warnings that someone has a claim against the property. Claims or interests that are commonly found on a title are leases, options to purchase, and agreements for sale. These represent money or ownership interests in the property that should be dealt with before the property is transferred to a new owner. A lawyer often can arrange to have unacceptable caveats removed from the title before title is transferred.
Are there other types of title for lots?
Answer:
Another form of home unit ownership is company title which involves ownership of shares in a company which owns the land and building. Frequently, an owner may need the company's permission to sell his or her shares or lease the unit. Because the owners do not own any of the land and building, but only shares in the company, lending institutions may not look as favourably on company titles as security.
If you intend purchasing shares in such a company, you should discuss the rights and obligations associated with company title with your Solicitor.
I am purchasing a property but there is a 'writ' on it, what do I have to do to get it removed?
Answer:
A writ of execution is a court order requiring a person to pay a judgment. If, for example, the seller has been successfully sued for $10,000 and has not paid that money, a writ of execution may be registered against all property he or she owns. The seller needs to pay out these writs before the property is transferred to the new owner.
In order to get the writ removed your solicitor will need to make sure that the vendor pays out the amount owed. Your mortgagor will not sign the mortage until this is done. The amount owed can be paid out of the sale monies at settlement, but it needs to be completed and the paper work signed prior to the title being transferred to the new owner.
I received a Certificate of Title when I purchased my property. What is contained in a Certificate of Title?
Answer: Information about the property is recorded on the title to the property. It is therefore an essentail part of the conveyancing act that the title be searched when buying or selling real estate.
A search of the title reveals the name of the current owner of the property, the legal description of the property, whether or not the owner has mineral rights, and whether there are certain claims, liabilities, or charges attached to the property. Other charges such as maintenance orders or writs of execution are not necessarily registered on the title, but may nevertheless affect the property. A lawyer can ensure that a buyer is protected from any such claims against the seller.
A clear title is one that has no claims, liabilities, or charges against it. Often things such as mortgages, caveats, liens, writs of execution, and easements will be registered on the title.
This question has to do with the average Aussie using option to purchase contracts:
Answer:
Do you need to be an Agent (licensed) to:
* grant an option to purchase - option or* accept an option to purchase - optionee* sandwich lease option as an investor
When you are dealing with your own property, essentailly you can do what you like. It is advisable to get a solicitor to look at the details of the lease/purchase option.
There have been one page hand written option contracts written between owner and purchaser/lessee that are still binding.
When dealing with other peoples property or advising someone, there are no requirements for licensing at the moment however this may change in the future.
There are different laws especially in relation to wraps in S.A. this is still in the hands of one of our advisors.
What are the principal obligations of lot owners?
Answer:
# To pay rates, taxes and owners corporation levies;
# To notify the owners corporation of any change in ownership or occupancy;
# To comply with the by-laws and, in particular, to behave in a manner which will not offend other residents or interfere with their peaceful enjoyment of that property;
# Not to carry out alterations to the lot without consent from the owners corporation and local authority when that consent is required by law.
What are the principal powers and obligations of an owners corporation?
Answer:
# To establish property management and maintenance funds based on contributions known as levies which are calculated according to unit entitlements. (Each lot owner has a unit entitlement which determines his or her interest in the common property and on which the amount of levy is based);
# To employ persons to administer, control or perform work on the building and common property;
# To enforce the by-laws and to sue for any damage caused to the building and common property;
# To add to or amend certain by-laws;
# To make provision for insurance against fire, and to take out other insurances required by law, for instance, workers compensation and public liability insurance;
# To maintain the building and common property in good order;
# To hold annual general meetings of members;
# To keep minutes of meetings and prepare accounts;
# To record details of the ownership and occupancy of lots in a strata roll;
# To provide information to owners and mortgagees about the strata scheme.
What if the mortgage company goes bust?
Answer: You have their money so you cannot lose it in the same way as if the company has yours. The title of the property is in your name and at all times you have legal ownership. The mortgagee has no right of claim to your property - unless of course you renege on your mortgage agreement. The only claim is on the money borrowed, not your property. Another financial institution may take over the defunct company or you may have the slight inconvenience and expense of refinancing elsewhere.
What is a strata title?
Answer:
A strata title is the most common title associated with town houses and home units and is evidence of ownership of a unit, which is called a 'lot', in a strata plan. A strata plan divides a building and its associated land into lots, each of which has a strata title, and usually common property.
Common property is the part of the land and building in the strata plan which does not form part of any unit, for instance, stairways, passages, driveways and carpark.
What is an owners corporation and how does it function?
Answer:
An owners corporation comprises the registered owners of all the units in the strata plan. An owners corporation and its council has powers and responsibilities to administer the building and care for such things as the land around the building, entrance, stairways and paths.
At each annual general meeting of an owners corporation a committee is elected to administer the day-to-day running of the strata scheme.
It is possible and sometimes more practical for an owners corporation to delegate some of its powers or duties to a licensed managing agent.
The rights and responsibilities of the owners corporation and lot owners are governed by a law called the Strata Schemes Management Act. By-laws are the rules and regulations which define the powers and obligations of the owners corporation and lot owners.
Some by-laws place restrictions on the behaviour of residents, for instance not allowing them to keep pets. Within some limits the owners corporation can alter, add or delete by-laws.
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