Strata bodies subsidising private sales under seller disclosure

NEW seller disclosure requirements are unfairly burdening bodies corporate across Queensland.

That’s the claim of the Strata Community Association (Qld) (SCAQ) which has criticised the State Government’s decision to set the fee for the new mandatory Body Corporate Certificate at $84.10.

The SCAQ says the true cost of producing the document is $220 or more.

According to SCAQ general manager Laura Bos the fee falls dramatically short of the real cost of compliance.

And it is shifting the cost of private property transactions onto those not even involved in the sale.

“This is not just a case of under-pricing,” said Ms Bos.

“This is cost-shifting. Bodies corporate and their managers are now being asked to subsidise private property sales transactions they are not party to and receive no benefit from.

“It’s inequitable, unreasonable, and it undermines the intent of consumer protection.”

The new Certificate, which became mandatory from 1 August 2025, is designed to provide buyers with detailed information about a body corporate scheme but the scope and legal weight of the document far exceeds the existing Information Certificate it replaces.

“This is a brand-new document. It contains at least twice the data, carries legal liability for the producer, and must be prepared with care and accuracy,” added Ms Bos.

“To suggest it can be delivered for $84.10 is not only out of touch, it’s irresponsible.”

SCAQ warns that the practical consequences of this pricing failure are severe and imminent.

“We could see situations where body corporate managers may decline to produce the certificate altogether, leading to inconsistent, ad hoc processes that disrupt conveyancing and compromise consumer protections.” said Ms Bos.

“The reality is the cost gap will most likely be passed onto bodies corporate, creating new disputes and financial strain on unit owners who have nothing to do with the property being sold.”

SCAQ believes the prescribed fee diminishes the role of the certificate in protecting consumers.

“This is not a fee that raises revenue for government, it’s not a tax. But the signal it sends is that professional services can be delivered below cost, with no regard for quality, care, or consequence. That’s a dangerous precedent.

“There are few options for body corporate managers with this certificate – on charge all lot owners in a scheme or refuse to produce it. None of these are conducive to a flourishing property sector. “

SCAQ is calling on the Queensland Government to urgently reconsider the prescribed fee and instead adopt a pricing model that reflects the true cost and complexity of delivering this vital consumer protection.

“Strata managers have supported the reform in principle. We want buyers to have better information.

“But that reform cannot come at the expense of bodies corporate who are being dragged in to fund private property sales. That is not reform, it’s a cost dump.”

A spokesperson for the Attorney-General and Minister for Justice and Minister for Integrity said: “We understand that home ownership is one of the most significant financial investments many Queenslanders will ever make, and these new requirements aim to minimise disputes that currently arise.

“Buyers will now benefit from being more informed prior to signing a contract to purchase land, decreasing future disputes and any associated costs.

“The body corporate can choose to prepare the certificate through their volunteer committee, a manager, or another third party.”

Strata managers can add $30 to a request when it is made for a certificate to be given within 24 hours.