Strata Properties: What’s Changing and Why?

The debate over strata properties has been ongoing in real estate, with enthusiasts and skeptics locked in a perpetual tug-of-war. The cons, such as mandatory strata levies and the perception of lower capital growth compared to standalone houses, have often taken center stage. However, in the world of strata living, there is a tapestry of complexities that often goes unnoticed, which makes it far more than just  a black-and-white investment decision.

In this episode, we are joined by Karen Stiles, Executive Director of the Owners Corporation Network, and we dive headfirst into the fascinating world of strata properties, shedding light on the dynamic changes occurring in the strata landscape. We challenge the common belief that "all units make bad investments" and uncover the nuanced reasons behind this dichotomy. While there are indeed risks and responsibilities, there's a hidden treasure trove of benefits that many overlook when considering strata living or investment.

But here's the twist: strata living isn't for everyone. It requires a certain temperament to thrive in a cooperative space. And as we dive deep into the challenges, and changing dynamics in the world of strata, may these insights help you make informed decisions about this intriguing facet of real estate.

Episode Highlights:

00:00 - Introduction

01:25 - Who is Karen Stiles?

02:26 - Building commission changes in NSW and its impact on property owners

08:02 - Complexities, challenges, and risks in strata property insurance

13:21 - Can the strata commissioner contribute to improved strata property management?

14:48 - Specific challenges associated with the changing strata property landscape

19:01 - Solutions or strategies to address the hurdles in getting strata remedial work done

23:45 - What is the current status of "Project Remediate" in New South Wales?

28:09 - Is there a shift from investor-owned to owner-occupied properties?

31:03 - Housing shortages and Airbnb in Sydney

36:01 - Property management regulations in Australia

39:59 - Sustainability and energy issues in Australian apartment buildings

43:07 - Strata living challenges and education

46:01 - What's the most important change you'd like to see in the strata space?

49:05 - Karen Stiles’ property dumbo

About Our Guest:

Karen Stiles is Executive Director of the Owners Corporation Network, the independent voice of strata owners. In her 11 years with OCN, she has heard the gamut of good and bad news stories relating to what she refers to as strata births, deaths and marriages aka 1st Annual General Meetings, living cooperatively, and collective sale. Karen’s experience on strata committees began with her first apartment in 1984, and includes everyone’s worst nightmare: overseeing a large defects claim after an off the plan purchase. Today she is Chair and Secretary of an older, medium sized strata scheme which has undertaken foyer, lift and fire safety upgrades.

Connect with Karen Stiles:

• Connect with Karen Stiles on LinkedIn: https://www.linkedin.com/in/karen-stiles-30b18a16/
• Visit their company’s website: https://ocn.org.au/

Resources mentioned in this episode: 

• How bad can things go with buying strata property | Episode 68 https://www.theelephantintheroom.com.au/podcasts/068

Resources:

• Visit our website https://www.theelephantintheroom.com.au
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