Strata Reforms 2025 Explained

Navigating the ins and outs of searching for a home can be difficult enough. Add onto that the pressure of purchasing a property within a strata scheme can create an increase in anxiety when buying that first home of yours. Questions like what is an owners corporation or a non-periodic contribution, or what does a sinking fund do are quite typical for your average first time buyer. That is why it is important to stay on top of what rights you may have and what laws have been put in place to regulate strata schemes. Across 2025 in particular, strata laws are receiving a noticeable update across several core components that comprise a strata scheme and how they operate.

As of 1 July 2025, the Strata Legislation Amendment Act 2025 came into effect. This will create changes to how strata schemes are managed, and amends compliance obligations. A snapshot of some of the changes that flow from this is below:

1. Minor Renovations:

   If your by-laws provide that the strata committee needs to make decisions on minor renovation requests, then for the committee to refuse the minor renovation request they must provide written reasoning for their refusal within three (3) months. If this is not provided within the set deadline, the request is automatically approved.

2. Sustainability:

   Unless the building that you live in is heritage-listed or is in a heritage conservation area, then any by-law which bans the installation sustainability infrastructure because it would negatively impact the common property or the owner’s property is prohibited.

3. Accessibility:

   A majority vote, rather than a special resolution, is now only needed to allow the owners corporation to make accommodations which allow for people with disabilities to have access to their property or the common property of the strata.

4. Strata Committee Duties:

   Strata Committee members will be required to: 
   1. behave fairly.
   2. not act in a way which would unreasonably affect another person’s use of their own property and the common property of the Strata Scheme.
   3. The Chairperson is also required to follow the agenda for meetings, maintain order and encourage constructive discussion between members.

5. Maintenance and Repairs:

   Owners will now have a six (6) years to bring a claim for damages against the owners corporations where they have failed to comply with their maintenance and repair obligations of the common property. This was increased from two (2) years.

6. Assistance Animals:

   When requested, residents (including owners or tenants of a strata lot) now only need to provide one (1) form of evidence about their assistance animals. The types of evidence that can be provided has been expanded and can include evidence from local council, an Australian government agency, a written statement from a registered health practitioner, and an animal identity card from an assistance animal training organisation.

7. Record Inspection Fees:

   Strata records inspection fees have also increased from 1 July 2025. This increase will not apply to existing owners in the Strata Scheme. The fee increases can be found on the website linked below.

8. Uncollected Goods:

   Owners corporations will now need to your consent as owner before removing any abandoned or uncollected goods from your property.

There will be further changes to the Strata Laws staggered throughout 2025. For more information and the full list of changes planned on and from 1 July 2025 and in the rest of 2025, please visit: https://www.nsw.gov.au/housing-and-construction/strata/guide-to-2025-strata-law-changes.

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The contents of this publication are for reference purposes only. This publication does not constitute legal advice and should not be relied upon as legal advice. Specific legal advice should always be sought separately before taking any action based on this publication.