What is the Difference Between Torrens Title and Community Title?

What is the Difference Between Torrens Title and Community Title?

A Certificate of Title exists for every separate piece of land in South Australia, regardless of whether you are buying a home to live in or an investment property.

Torrens Title is a South Australian invention that records and registers land ownership. Once your Certificate of Title is filed, your name is subsequently registered on the Torrens Title register and you become the owner of the property to the exclusion of all others.

This means that as the property owner, you are responsible for everything within your own block. You are therefore responsible for council services of water, sewerage, stormwater, driveway etc. It is relevant to free-standing homes and some townhouses.

Community Title, an updated version of the older Strata Title, means that you own your block of land, but you share common areas with others so the responsibility is shared. This is the same with apartments. In apartments, you don't own any land. Instead, you own shareholding in the bit of ground that the whole building is on.

A property such as a villa, townhouse or unit however, is usually purchased under Community Title. When you buy one of these properties, there are 'common areas' that are used by all of the people living in the development or apartment block including driveways, gardens and so on. These common areas have to be maintained by all of the unit owners collectively, through a Community Corporation, because they are shared. The individual owner is solely responsible for the upkeep of the inside of their land and property, but they must also share the expense of maintaining the common areas.

The lot entitlements which are annexed to the community plan determine the share that lot owners contribute to insurance and other fees charged by the corporation. All community schemes must have by-laws that include provision for the administration, management and regulation of the use and enjoyment of the common property and community lots.

For more information on how this relates to KingsCoin developments or a property you are looking to purchase, don’t hesitate to get in touch.

Learn how KingsCoin can maximise your rental returns. Learn More
Learn how KingsCoin can maximise your rental returns.
Learn More
KingsCoin are a leading boutique property development business based in Adelaide, South Australia. KingsCoin create investment opportunities, as well as offering investment strategy, project and property management services tailored to your needs. KingsCoin seek to maximise your returns at every possible opportunity.