In Australia, home buyers may come across different types of property ownership forms, which are known as "Titles". Below are some of the most common types of Title used in Australian home buying:
Freehold Title
This is the most common form of property ownership. A homeowner with a freehold title has full ownership of the land and house.
Strata Title
This is used for multi-family buildings such as condominiums, townhouses, etc. The property is divided into multiple units, each with a separate Title, as well as common parts such as stairs and hallways.
Torrens Title
This is a registration system that simplifies real estate transactions by ensuring accurate records of land ownership. A homeowner with a Torrens Title owns the land and house outright.
Leasehold Title
The homeowner owns the building, but the land is leased, and the lease is usually for a set period of time. This form occurs in certain land use situations, such as when the land is owned by the government or another landowner.
Community Title
Similar to a Strata Title, but usually applies to a larger area of land, such as a residential community. Owners may share certain amenities and services, such as swimming pools, gyms, etc.
Company Title
The land and building are owned by a company, and the homebuyer purchases shares in the company rather than direct ownership of the property. Applies to some buildings with specialized structures, such as condominiums.
Crown Lease
The land is owned by the government and the homebuyer acquires a lease on the land. Usually used for special land uses such as commercial, industrial or agricultural.
Home buyers should carefully research the different Title types when choosing a property and understand the rights and responsibilities of each type to ensure that it meets their personal needs and preferences. It is also advisable to consult a professional lawyer or real estate professional for detailed legal advice before purchasing a property.
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