Property transactions are currently the most common worldwide. There are different elements and many documents involved in a property transaction in Australia. One of the crucial ones is a property title. The property title you get confers different types of ownership structures for the property you buy.
The title will also affect some aspects of your transaction such as acquiring funding when purchasing it. It is a huge challenge to search through property title records for yours during the settlement of your transaction or for inclusion in your contract of sale.
A conveyancing lawyer in Townsville can do the title search for you and handle other aspects of your transaction to ensure that the process is as hassle-free as possible. The lawyer is a better choice since they will also handle the legal aspects of your property’s transaction.
The following are the most common categories of property titles in Australia these days.
This is also known as a freehold title and is used when you buy land. It covers the ground and the property on it. A Torrens title is registered and guaranteed by the Australian government and covers most residential and commercial titles. If there exists no mortgage on the property you are buying, the property will entirely belong to you, and you will become the title owner on a title deed.
The encumbrance for public services and value below the land, such as oil or coal, remain the Crown’s property. A limited Torrens title is used for properties without proper boundaries. After the payment of investigation fees to ascertain the edges of your property, you can change the limited Torrens title into a standard one.
This type of title is used for townhouses and apartments. Under a strata title, you will only own your unit’s interiors but not the exterior shared amenities. There exists a strata corporation to handle the maintenance of the exterior shared facilities and insurance of the entire building. Though strata title properties are generally cheaper, you will pay a one-off or annual fee for the maintenance of the shared amenities.
This is used for a property that is owned and shared by several people. It resembles a strata title but is designed for large property estates. The maintenance of common areas in a community title is supported through payments from the title’s owners.
This is often meant for rural areas, which are government-owned but leased out to private investors for a set period. The typical properties under leasehold titles include wheat properties, churches, cattle farms, and all Australian Capital Territory properties. The government has the right to decide who can own the property held under a leasehold title.
When evaluating the above property titles, your conveyancing lawyer will review the ownership details, covenants, caveats, encumbrances, and easements. This way, you are well informed of any issues that might affect your purchase or sale of the property. Other than the property title search, your solicitor will handle your contract of sale and other crucial documents of your transaction. This will ensure that your interests are protected.
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