Do I have to follow the by-laws even though I'm a tenant?

Yes, they do. By-laws apply not only to owners but also to tenants and visitors in the building, and they operate as a set of rules separate from your tenancy agreement. In some states, such as NSW, the landlord or agent must give tenants a copy of the by-laws when the tenancy starts, so request a copy before moving in and check the pet, parking and noise provisions.

Is a by-law that bans pets outright valid?

It varies by state and can't be answered definitively. In NSW, case law and legislative amendments have made blanket pet-ban by-laws increasingly difficult to enforce, and other states have been amending their laws in a similar 'no unreasonable refusal' direction. However, approval processes and the imposition of conditions are often still permitted, so check your state's official site together with your scheme's by-laws and obtain written approval to be safe.

What if I can't afford to pay a special levy right away?

A special levy validly passed at a general meeting becomes a legal payment obligation for owners. If you fall into arrears, interest at your state's statutory rate plus recovery costs are added, and in some states your voting rights at general meetings may be restricted while you are unfinancial. If you're struggling to pay, the best course is to contact the committee or strata manager as early as possible and negotiate a payment plan in writing.

There's a leak from the ceiling — who is responsible for the repair?

It depends on where the cause lies. If the cause is in a part classified as common property, such as the waterproofing membrane or a main plumbing line, the scheme (owners corporation/body corporate) is usually responsible for the repair; if the cause is a fixture inside your lot, the lot owner is responsible. The first step is to pinpoint the location of the cause using the registered strata plan and an expert report; if views differ, the matter can be contested through mediation and tribunal processes.

The levies are too expensive — is there a way to lower them?

The levy budget is voted on by owners at the annual general meeting (AGM) each year, so if you want it lowered, the formal route is to attend the meeting, question the budget items and cast your vote. Withholding payment as a protest only works against you, adding interest, recovery costs and restrictions on your voting rights. If you believe the budget has been set unfairly, you can use your state agency's mediation or the tribunal process.

Can I apply straight to a tribunal (such as NCAT) as soon as a dispute arises?

For most matters, no. In NSW, many strata disputes require you to attempt Fair Trading mediation first before an NCAT application will be accepted; in VIC, you go through internal processes and Consumer Affairs Victoria before VCAT; and in QLD, you go through the Body Corporate Commissioner's conciliation before adjudication. Skipping a step can get your application rejected, so follow the sequence.

Do I really need a strata report before buying an apartment?

It's not a legal obligation, but it is strongly recommended. A strata report is a summary compiled from an inspection of the scheme's records, and it is effectively the only way to check, before signing a contract, the capital works/sinking fund balance, past and planned special levies, the history of recurring defects such as leaks or external wall issues, and any disputes or litigation. If you unknowingly buy into a building with depleted funds, you could be hit with a large special levy soon after moving in.

Australian Apartment Strata Guide — By-laws, Levies, Special Levies and Disputes - Northern Territory

Back to Guides

Strata apartment living — by-laws, levies and dispute processes

Living in an apartment or townhouse in Australia automatically makes you part of a 'building community'. This guide covers, state by state, the distinction between your lot and common property, levies and special levies, by-laws, repair responsibilities, and the dispute resolution process all the way to the tribunal.

What is strata — your lot and common property

Buying or renting an apartment or townhouse in Australia is not just about getting 'a home' — it means becoming a member of a building community (scheme). The part each household owns exclusively is the lot, and the parts everyone shares — external walls, the roof, corridors, lifts, gardens, the car park driveway — are common property. Common property is owned and managed jointly by all owners; the money collected to manage it is the levies, and the rules for living together are the by-laws. Once you understand this structure, it naturally explains 'why I need approval for work on my own balcony' and 'why people argue over who pays for a leak repair'.

Even the names differ by state — NSW, VIC and QLD

The same system goes by different names in different states. NSW calls it a strata scheme, the owners' body is the owners corporation, and the underlying legislation is the Strata Schemes Management Act 2015. VIC uses owners corporation (Owners Corporations Act 2006), and QLD uses body corporate (Body Corporate and Community Management Act 1997). Other states and territories have similar systems, with different names and detailed procedures. Even if the names look different in documents or agency guidance, just remember they are all the same layer of the system.

Levies — two pockets and the special levy

Levies are usually split into two pockets. The administrative fund covers day-to-day running costs such as insurance, cleaning, common area electricity and management fees, while the capital works fund (the NSW name — sinking fund in QLD, maintenance fund in VIC) is money set aside for long-term works such as painting, waterproofing and lift replacement. Notices are usually issued quarterly, and the amounts are voted on by owners each year at the general meeting together with the budget.

Special levies and how general meeting decisions work

If major repairs such as external wall works or waterproofing become necessary while the fund is running low, a special levy is raised on top of regular levies following a general meeting vote. The burden per lot can be substantial — the biggest reason to check the fund's position with a strata report before buying. These decisions are made at the AGM (annual general meeting) or an extraordinary general meeting, while day-to-day decisions are delegated to a committee elected by the owners. Owners have the right to attend and vote at general meetings; if you can't attend in person you can submit a proxy, and a general meeting must satisfy quorum requirements to be valid.

Check the capital works/sinking fund balance and the long-term maintenance plan through a strata report (a records inspection report) — a depleted fund is a warning sign of a special levy to come.

By-laws — house rules that differ from scheme to scheme

By-laws are the registered rules of each scheme, covering noise, parking, rubbish disposal, use of common property, changes to the external appearance and more. They differ from complex to complex, so always check a copy before moving in or buying. The important point is that tenants are also bound by the by-laws — they apply to everyone living in the building, separately from the tenancy agreement.

Pets — blanket pet-ban by-laws are losing their force through case law and legislative amendments in NSW and elsewhere, but this varies by state, so don't assume; check your state's official site together with your scheme's approval process.
Noise, parking and balcony smoking — the three classic strata complaints. Checking whether visitor parking is allowed and whether balcony smoking is restricted before you move in can prevent conflict.

Repair responsibilities

The most common strata disputes are over where repair responsibility lies. The principle is simple — the scheme (owners corporation/body corporate) is responsible for common property, and the lot owner is responsible for what's inside the lot. The boundary is determined by the registered strata plan, and the more ambiguous the case, the more important it is to first pinpoint the location of the cause using the plan and an expert report.

Common property — the scheme's responsibility

External walls, the roof, common corridors, lifts, main plumbing lines and the building's waterproofing structure are usually common property, and the scheme has a duty to repair and maintain them. If you find a defect, notify the committee or strata manager in writing.

Inside the lot — the owner's responsibility

Internal painting, flooring, kitchen and bathroom fixtures, and branch pipes serving only your lot are the owner's responsibility. If the lot is rented out, the owner also carries repair obligations under tenancy law.

The borderline case — leaks

This is the most common boundary dispute. If the cause is the waterproofing membrane or a main plumbing line, it is often treated as common property, but this varies from scheme to scheme, so the right sequence is to check the plan and confirm the location of the cause with an expert report.

If you're a tenant — go through the landlord

For repairs inside the lot, the rule is to make a written request to your landlord or agent, and common property issues are also normally passed on to the scheme via the landlord. Remember that tenancy processes and strata processes are separate tracks.

Dispute resolution — follow this order

Strata dispute resolution is designed as a staged process — internal resolution → state agency mediation → tribunal. For many matters, a tribunal application won't be accepted, or may be rejected, unless you attempt mediation first — so following the order is itself the strategy.

Secure your records first — collect photos, dates, written correspondence and general meeting minutes. Verbal complaints won't count as evidence in later stages.
Internal complaint — raise the issue in writing with the committee or strata manager, and if needed, request that it be put on a general meeting agenda or that a notice to comply be issued.

Five common mistakes

These are the typical patterns that cost people money and time in strata living. Most can be prevented by checking in advance and keeping everything in writing.

Signing a purchase contract without a strata report — it's common to discover only after signing that the fund is depleted and a large special levy is already on the cards. Inspecting the records before the contract is essential.
Moving in without reading the by-laws — many people receive a notice to comply in their first month because they didn't know the pet, visitor parking or balcony smoking provisions. Tenants are no exception.

Life in Australia Guide