The five by-laws buyers actually need to read

A set of by-laws can run to forty pages. In practice, five things account for almost every question a buyer has, and the wording of each one matters more than its existence.

1. Keeping of animals

The most-asked question, and the one where wording varies most. Look for which of these the scheme has:

  • Permission required, not to be unreasonably withheld, you apply, and the owners corporation needs a reason to refuse.
  • Notification only, you tell them, you don’t ask.
  • Conditions attached, size, number, breed, or a requirement that the animal be carried through common property.
  • Prohibited, still found in older consolidated by-laws.

A report should quote the by-law number and what it actually says, not summarise it as “pets allowed”. Whether a particular by-law is enforceable, and what to do if it isn’t, is a question for your solicitor.

2. Renovations, minor and major

Two things to separate. First, the scheme’s general position on cosmetic work, minor renovations and major renovations, and what approval each requires. Second, and this is the one people miss, special by-laws registered against a specific lot.

Where a previous owner obtained approval for works, a special by-law is often registered recording the approval and, importantly, the ongoing maintenance obligations that come with it. If that by-law attaches to the lot you’re buying, those obligations become yours.

A report should identify special by-laws affecting the subject lot specifically, separately from those affecting all lots.

3. Exclusive use of common property

Courtyards, parking spaces, storage cages, roof terraces and balconies are frequently common property with an exclusive use by-law granting a particular lot the right to use them.

Two things follow. The right exists only because the by-law exists, so it should be sighted, not assumed from the marketing material. And exclusive use usually comes with a maintenance obligation, which sits with the lot owner rather than the owners corporation.

Read the by-law, not the listing. “Includes a lock-up garage” in an advertisement and an exclusive use by-law registered against the lot are different claims. Only one of them is a record.

4. Short-term letting

Increasingly common and increasingly restrictive. Schemes may prohibit short-term letting of lots that are not the host’s principal place of residence, set a minimum term, or say nothing at all.

Relevant whether you intend to let the lot yourself or simply want to know whether the building has short-stay traffic through it.

5. Smoke penetration

A newer category and a frequent source of disputes. Some schemes have adopted by-laws dealing with smoke drift between lots and on common property. Where one exists, it will say whether smoking is prohibited outright, restricted to particular areas, or dealt with only where smoke penetrates another lot.

What a report does with them

It reports the by-law number, the registration date, and what the by-law says, with the wording where the wording is the point. Consolidated by-laws are noted along with any special by-laws registered since.

Whether a by-law is valid or enforceable is a legal question. A records inspection reports what is registered; your solicitor advises on what it means.

Common questions

How do I find out if I can keep a pet?

The registered by-laws for the scheme set the position. A report sets out the relevant by-law and its wording, which varies considerably between schemes.

What is a special by-law?

A by-law registered for a particular purpose, often granting a specific lot a right, such as approval for renovations or exclusive use of part of the common property, usually with conditions and ongoing maintenance obligations attached.

Do by-laws change?

Yes. They are amended by resolution at a general meeting and registered. A report notes the consolidated by-laws and any registered since.

See the by-laws that affect your lot

Consolidated by-laws and any special by-laws registered against the subject lot, with the wording that matters. $330 inc. GST.

Order a report: $330 inc. GST

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