Strata laws in New South Wales continue to evolve as buildings age, communities grow and owners expect clearer, fairer processes. On 27 October 2025, another set of important changes takes effect. These updates aim to make strata living more transparent, improve how buildings are managed and give owners better protection when issues arise.
Whether you are part of a strata committee, an owner who pays levies or someone who deals with day to day building matters, these changes will affect how your scheme operates. This guide breaks down the key points in simple, plain English so you can understand what is changing, why it matters and what steps you may need to take before the new rules begin.
Timeline and Scope of the Strata Law Changes
The NSW Government is introducing the updates in stages, and the changes starting on 27 October 2025 are part of that wider rollout. The first set began on 1 July 2025, followed by the October changes, with more scheduled for 1 April 2026. Each stage focuses on improving transparency, strengthening building management and giving owners clearer rights.
The 27 October changes mainly affect owners corporations, strata committees, strata managers and building managers. These updates focus on how levies are handled, how common property maintenance is enforced and how building managers must act when dealing with safety and maintenance issues.
If you are involved in running a strata scheme or rely on one to maintain your building, these changes apply directly to you. They are designed to make strata operations more consistent across NSW and ensure that buildings are managed responsibly and fairly.
Stronger Compliance and Enforcement for Common Property Maintenance
One of the biggest changes starting on 27 October 2025 relates to how common property maintenance is monitored and enforced. NSW Fair Trading will now have broader powers to step in when an owners corporation fails to address repairs, safety issues or essential upkeep.
Fair Trading can request documents, inspect records, enter common property areas when needed, and issue compliance notices if a building is not being properly maintained. If a scheme ignores these notices, penalties and enforceable undertakings may follow. These powers are designed to prevent long delays in fixing issues that could affect safety, livability or property value.
Another major update is the extended time frame for owners to make a claim against an owners corporation if maintenance has been neglected. The previous limit was two years, but from 27 October it increases to six years. This gives owners more protection and more time to take action if they believe the building has not been properly maintained.
For owners corporations and committees, this means planning ahead is more important than ever. Reviewing maintenance schedules, updating records and addressing repair requests promptly will help keep the building compliant and avoid unnecessary disputes or penalties.
New Hardship and Levy Payment Plan Rules
From 27 October 2025, owners corporations will need to follow clearer and more structured rules when dealing with levy notices and overdue payments. These changes aim to support owners who are experiencing financial difficulty while keeping the process transparent and fair for the entire scheme.
Every levy notice must now include the Financial Hardship Information Statement. This ensures owners know their rights, including the option to request a payment plan if they cannot pay their levies on time.
Payment plans must be requested using the new standard form provided by NSW Fair Trading. Once the request is received, the owners corporation must consider it individually and respond in writing within 28 days. A blanket refusal is no longer allowed, and the committee must review each situation on its own merits. Importantly, owners cannot be charged any fee for applying for or continuing a payment plan.
If a plan is approved and the owner is making payments as agreed, the owners corporation cannot start or continue debt recovery action. This gives owners breathing room to get back on track without the threat of immediate legal steps.
The rules also set a clear order for how payments must be applied: overdue levies first, then interest, then recovery costs. For committees, this means maintaining clear records and following the correct sequence to avoid errors or disputes.
These changes make levy management more consistent across NSW and help owners who genuinely need support while keeping the process fair for the whole community.
Clearer Rules and Responsibilities for Building Managers
Starting 27 October 2025, the role of building managers becomes more clearly defined to ensure buildings are maintained safely and managed in the best interests of owners. These changes help remove confusion about who a building manager is and what they are responsible for.
The law now sets out a clearer definition of a building manager. It distinguishes them from contractors like cleaners, gardeners or tradespeople who perform specific tasks but do not oversee the overall management of the building.
Building managers will have new responsibilities that focus on transparency and accountability. They must act in the best interest of the owners corporation, raise any maintenance or safety concerns promptly and make sure the committee is aware of issues that need attention. They must also disclose any financial interests or benefits they receive, as well as any connections they have with businesses that provide services to the building.
Another key change is that NCAT can now vary or even end a building manager’s agreement if the manager is found to be acting unlawfully or outside their duties. This also applies to strata managing agents. This gives owners corporations stronger protection and a clearer path to address concerns about poor or unfair management.
For committees, this is a good time to review building management agreements, ensure disclosures are up to date and confirm that the building manager understands the new expectations. These steps help create a more transparent and responsible management environment for everyone in the scheme.
Additional Strata Changes Beginning 27 October 2025
Alongside the major updates to maintenance, levies and building management, several other changes will also take effect on 27 October 2025. These adjustments are designed to improve fairness, support residents and strengthen how strata records are managed.
Support for assistance animals
Owners who rely on assistance animals will benefit from clearer and more consistent rules. The evidence required to support an assistance animal request has been updated, making the process simpler and removing unnecessary barriers.
Updated record inspection fees
The cost to inspect strata records will increase to reflect current administrative demands. The new fees are $60 for the first hour and $30 for every half hour after that. This applies to both in-person and digital inspections.
Secure electronic access to records
If records are stored electronically, the owners corporation must ensure they are provided through a secure and protected system. This helps safeguard sensitive information and ensures that owners can access documents safely.
Unfair contract terms not allowed
Standard form contracts used by strata schemes must now comply with updated fair trading rules. Unfair contract terms are no longer permitted, which helps protect owners corporations from one-sided agreements when working with contractors or service providers.
These extra changes may seem small compared to the larger updates, but they play an important role in making strata operations more consistent, transparent and supportive for the people who live in and manage these communities.
What Owners Corporations and Committees Should Do Now
With the 27 October 2025 changes approaching, owners corporations and committees can prepare by reviewing their processes and making sure everything aligns with the new requirements. Taking action early helps avoid disputes, penalties and unnecessary administrative stress.
Update levy notices
All future levy notices must include the Financial Hardship Information Statement. Committees or managing agents should update templates now to avoid issuing non-compliant notices.
Prepare to use the new payment plan form
Owners who request a payment plan must use the standard form. Committees should have this form ready, understand the 28-day response requirement and plan how requests will be reviewed fairly and individually.
Review building manager agreements
Confirm that agreements reflect the building manager’s new responsibilities, including raising safety or maintenance concerns promptly and disclosing any financial interests or connections. Adjustments may be needed to ensure the agreement is compliant.
Check repair and maintenance planning
Since Fair Trading now has stronger enforcement powers, owners corporations should review their maintenance schedules, outstanding repair requests and common property reports. Acting early reduces the risk of penalties.
Ensure secure and accessible record keeping
If the scheme uses digital records, verify that access is protected and secure. Updated fees also apply, so committees should communicate this to owners who request copies or inspections.
Inform owners about the changes
Clear communication helps avoid confusion. Send an update explaining the new rights and processes, especially around payment plans and the hardship statement on levy notices.
Preparing now gives the committee confidence that the scheme is ready for the upcoming changes. It also helps build trust with owners by showing that the committee is organised, proactive and committed to meeting the new requirements.
How These Changes Affect Daily Strata Living
The changes taking effect on 27 October 2025 will influence everyday interactions within a strata scheme. While some updates involve formal processes, they also impact how owners, committees and building managers handle routine situations.
Payment plan requests become more structured
If an owner is struggling to pay levies, they can now submit a payment plan request using the new standard form. The committee must consider the request and respond in writing within 28 days. This means owners will have a clearer pathway to seek help, and committees will need to handle these requests promptly and consistently.
Building managers must take a more active role
If a building manager notices a broken light in the hallway, a trip hazard, a safety issue or a maintenance concern, they must report it to the owners corporation quickly. This ensures the committee is aware of problems sooner and can address them before they grow into bigger issues.
Common property maintenance delays carry more risk
Since owners now have up to six years to make a claim, an ignored leak or unresolved structural issue could have long-term consequences. Committees will be more motivated to act on repair requests and document decisions clearly.
Owners get clearer expectations around fees and record access
With updated record inspection fees and secure electronic access requirements, owners will know exactly what to expect when requesting documents. This makes the process more predictable and professional.
Contracts must be fair and transparent
Because unfair terms are not allowed in standard form contracts, committees will be more careful when approving agreements with service providers. This leads to more balanced contracts and fewer surprises later.
Overall, these changes encourage clearer communication, faster responses and more accountability across the scheme. They also help owners feel more supported and ensure that buildings are managed with greater consistency and care.
Conclusion
The strata law changes taking effect on 27 October 2025 are designed to make strata living more transparent, safer and better managed across New South Wales. For owners corporations and committees, these updates bring clearer processes around levies, stronger expectations for building managers and greater accountability for maintaining common property.
Preparing early is the best way to avoid confusion and ensure the transition is smooth. Updating levy notices, reviewing maintenance plans, checking management agreements and informing owners about the new requirements all help keep the scheme compliant and well organised.
Strata communities work best when everyone understands their responsibilities. By learning the changes now, your building can stay protected, operate more efficiently and support a better living environment for all residents. If your scheme needs help adapting to the new requirements, a professional strata manager can guide you through each step and keep your building on track.