PROPERTY LAW - RESIDENTIAL

Property law in New South Wales (NSW) governs the rights and obligations related to the owner, use, and transfer of real property.

Real property includes land, buildings, and any permanent fixtures attached to the land. Property law in NSW is primarily governed by the Conveyancing ACT 1900, and various other statutes and regulations. These laws established the legal framework for property ownership, transfer, leasing, and development in the state.

Property law in NSW is based on the principal of “Torrens title” which provides a system for registering and guaranteeing land ownership. Under this system, land is registered with a unique title reference at the Land Registry Services. When a property is sold or transferred, the new owner’s details are updated in the register, giving indefeasibly of title (registered proprietors as paramount and protected against all prior interests/immunity from attack) giving the new owners certainty and security for property owner buyers, as well as to facilitate the smooth transfer of property.

Strata title applies to multi-unit development such as apartment buildings or townhouses. Under strata title, each individual unit owner has a separate title for their unit and shares ownership of common areas such as hallways, gardens and parking areas. The form of ownership involves membership in a body corporate, is responsible for managing and maintaining the common property.

Buying or selling property in NSW involves legal considerations that must be carefully checked to ensure a smooth and legally valid transaction, is the need for a written contract of sale. The contract must include essential details, description of the property, purchase price, any special conditions and contract date.

Further legal consideration for property transactions in NSW is the payment of transfer duty (stamp duty). Transfer duty is a state tax imposed on certain transactions, including the transfer of real property. The amount of stamp duty payable varies depending on the purchase price, whether the buyer is a first home buyer, and whether any concessions or exemptions apply. Buyers must ensure they understand their stamp duty obligations and factor this cost into their purchase budget when purchasing property.