NSW Strata Law Changes in 2026 – What Buyers and Investors Are Now Walking Into
Recent NSW strata reforms starting on 1 April 2026 have reshaped what owners corporations must disclose and how they plan for building maintenance, compliance and future costs. Buyers and investors who treat strata paperwork as standard “background” material risk missing new obligations that directly affect levies, long‑term maintenance and governance. In 2026, reading a contract and a strata report quickly is no longer enough; you need to understand how the new laws have changed the information you are given and what is still missing.
The reforms, introduced through amendments to strata legislation and Fair Trading powers, mark the final phase of a multi‑year overhaul of strata regulation in NSW. They focus on three main areas: capital works planning, developer accountability for new buildings, and more detailed disclosure through strata information certificates (often called Section 184 certificates). Each of these areas matters in practical ways to anyone buying an apartment or townhouse, because they influence future levy increases, the state of common property, and whether you know about embedded energy networks or compliance issues before you commit.
New rules for maintenance plans and future levies
From 1 April 2026, owners corporations must use a government‑prescribed standard form when preparing or updating their 10‑year capital works fund plans. These plans set out how the building will fund major works over the next decade – including roofing, lifts, fire systems, external repairs and other common property items. The new standard form cannot be customised and is designed to make assumptions more transparent, so it is harder to hide optimistic or unrealistic levy forecasts behind vague wording.
For buyers and investors, this means that the 10‑year plan is now a key document to read rather than a technical attachment. A scheme with a realistic, properly updated plan is more likely to have stable levy patterns and fewer nasty surprises. A scheme that has not updated its plan to the new standard, or has an outdated plan, may face sharper levy increases later to catch up. When we review strata records and reports for clients, we look closely at whether the building’s capital works plan has been moved onto the new format and what it says about upcoming costs, rather than assuming that historical levies tell the full story.
Greater accountability for developers and new strata schemes
The reforms also increase accountability for developers of new strata buildings. For multi‑storey schemes, including most apartment blocks, developers must now prepare an Initial Maintenance Schedule (IMS) on a mandatory standard form before the first AGM. This schedule must cover maintenance requirements and costs for all common property items – from structural elements and lifts to fire safety systems, pools and security – and include manufacturer warranty details and realistic estimated costs.
Crucially, for new multi‑storey strata schemes, an independent quantity surveyor must review and certify both the IMS and the initial levy estimates before that first meeting. This is intended to prevent developers from setting levies unrealistically low to make sales more attractive, only for owners to face steep increases once the true costs emerge.
For buyers purchasing off‑the‑plan or into very new schemes, these changes alter what “developer risk” looks like. It is still important to assess the builder and developer’s track record, but you now also need to understand whether the IMS has been prepared properly, whether it has been independently certified, and how initial levies compare to the plan’s cost projections. When we undertake NSW complex and strata report reviews for clients, we treat the IMS and related levy estimates as central documents, not peripheral material, especially where you are considering a new or recently completed building.
Expanded disclosure in Section 184 certificates
The third major theme is disclosure. From 1 April 2026, strata information certificates (Section 184 certificates) must include more detailed information than before.
• Whether the building uses embedded networks – exclusive supply arrangements for electricity, gas, hot and cold water, internet or other utilities – and what services are provided through those networks.
• Any compliance or enforcement actions issued against the owners corporation by Fair Trading or other authorities.
• A broader meeting history, including meetings held and scheduled beyond the previous year.
These added disclosures are meant to give buyers a clearer picture of how the building operates, how utilities are supplied, and whether there have been problems with governance or maintenance. The penalties for failing to comply with Section 184 requirements have also increased, reinforcing that this is taken seriously.
For buyers and investors, the practical implication is that you should treat the Section 184 certificate as a core part of your due diligence, not just a standard form. If it does not mention embedded networks, you need to ask whether the certificate was issued before the changes or whether something is missing. Embedded networks can affect your utility costs, your ability to change providers and, in some cases, the resale appeal of the property. Likewise, any recorded enforcement actions or unusual meeting history can signal deeper issues with the scheme.
Why careful contract and strata review matters more in 2026
All of these changes mean that buying into a NSW strata scheme in 2026 involves more information – but also more complexity. There are new forms, new mandatory disclosures and new expectations around planning and developer conduct. For buyers and investors, the risk is no longer simply “is there a strata report?” but “has someone read that report, the capital works plan, the IMS and the Section 184 certificate together and explained what they mean for my purchase?”
At JKA & Co Conveyancing, we help you navigate these reforms by reviewing both your contract and the strata material in context. Through our NSW Contract Review we review the contract terms, special conditions and disclosure material so you understand how the legal documents affect your position before you sign. Where the property is an apartment, townhouse or community title property, our NSW Complex and Strata Report Review Service allows us to consider the strata report, capital works planning, Section 184 certificate and other scheme records together, rather than treating each document in isolation. We explain whether plans are in the new format, what embedded networks and enforcement actions mean in practical terms, and how all of this connects to future levies, maintenance and long-term ownership risk.
If you are assessing an apartment or townhouse in NSW in 2026, sending us your contract and strata documents before you sign can help you use the new rules to your advantage rather than being caught out by them. The reforms are designed to improve transparency and planning – but they only work for you if someone helps you interpret what they reveal.
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