Updated Rules for Strata and Residential Property Managers

Updated rules for strata managing agents and real estate agents including assistant agents commenced on 1 September 2022.

The laws incorporated feedback from the public consultation in June and July this year on the Property and Stock Agents Regulation 2022.

The new Regulation will keep existing rules plus provide further consumer protection and a reduced administrative load for agents.

There is also a new additional rule that applies to strata managing agents and their assistant agents.

NSW Fair Trading is giving agents a six-month transition period to adjust to the changes from 1 September 2022 to 1 March 2023

What are the New Rules?

Here we explain some changes for strata and residential property managers under the Regulation:

Strata Managing Agents

• Strata managing agents are now required to cooperate when transferring functions to a strata scheme or community land scheme
• This applies in situations where the agent’s contract has ended, and the scheme has decided to self-manage.
• Clarifying the duties of assistant agents performing business agent or on-site residential property manager functions

Residential Property Managers

• Changing the disclosure of material facts requirements –when dealing with residential tenancy agreements, agents only need to disclose the material facts outlined in the Residential Tenancies Regulation 2019
• Clarifying the duties of assistant agents performing business agent or on-site residential property manager functions

For more information about the changes and what this means for you, visit NSW Fair Trading Property and Stock here or call Fair Trading on 13 32 20.

Contact Us

For all strata law advice including by-laws, building defects and levy collections contact our specialist NSW and Sydney strata lawyers here or call 02 9562 1266, we’re happy to assist.

One of the big ticket items introduced as part of the new strata laws that commenced in November 2016 was strata renewal or collective sales. These laws allow a strata building to be sold or redeveloped with the approval of at least 75% of owners.

However, many stakeholders in the strata industry including strata managers have needed clarification and clearer guidance in regards to the strata renewal and collective sale process.

Indeed, the industry has been looking for more practical and specific guidance from regulatory bodies on the implementation of strata renewal reforms.

In late 2018 new guidelines and resources were published by the Office of the Registrar General and can be found on their website.

If you’re looking for some guidance it’s a great first step. The website includes information about:

• preparation of a strata renewal plan
• strata renewal information sheet
• support notice relating to a strata renewal plan and withdrawal

The website also confirms that strata managers should now be making all inquiries with the Office of the Registrar General in relation to strata renewal (or collective sales) and NSW Fair Trading is no longer able to assist.

The Office of the Registrar General website outlines 6 steps for the strata renewal process as follows:

1. Vote to opt into the process
2. Initiate the collective sale/renewal process
3. Form a strata renewal committee
4. Develop a strata renewal plan
5. Consider the plan
6. Approval of the plan

For more information visit Office of the Registrar General or for more detailed legal advice please contact us here or call 02 9562 1266, we’re happy to assist.

13 March 2018, was the deadline for every owners corporation in NSW to have installed compliant window safety devices on applicable windows throughout their strata schemes.

Recently, NSW Fair Trading updated information on their website concerning window safety devices for high rise strata blocks.

However, it’s important to note that the information uploaded is incorrect on the NSW Fair Trading website.

This is resulting in some incorrect conclusions that it is possible for an owners corporation to relieve itself from the responsibility for installing window safety devices.

As a result of the incorrect window safety device information on the NSW Fair Trading website it has raised a number of questions:

1. Can the installation of window safety devices be delegated to each individual lot owner?
2. Who is responsible for the maintaining, repairing and replacing window safety lock devices after they have been installed?
3. Can a window lock by-law be put in place to relieve the owners corporation of responsibility?
4. Why is the NSW Fair Trading window safety device information incorrect?

What is the correct information for window safety devices? Our paper will explain – Window Safety Devices and By-laws.

For NSW strata legal or levy collection advice contact us here or call 02 9562 1266, we’re happy to assist.