As anyone who’s considering buying a property knows, there’s a veritable mountain important documentation that you need to acquire before the property can be settled. The sheer volume can make even the most seasoned builder’s head spin!
One of the most crucial? The Certificate of Title.
The Certificate of Title one of the most important documents there is when it comes to buying a property in Victoria.
It can also be complicated, especially if you’re new to the property market!
This week, we’re dissecting Land Titles, helping you understand how to read them, and how you can find yours!
What’s in a Certificate of Title??
Land Title
Naturally, a Certificate of Title will identify the owner(s) of the property you’re looking at buying - this is one of the most important pieces of information when buying property, after all!
A Land Title will include the names of all the legal owners of a property, as well as a range of other details such as:
- The internal and external dimensions of each floor
- Date the Title was created
- The proprietor(s)
- Descriptions and details of the land
- Ownership history
If there is a mortgage on the property, the bank holds the Land Title, not the resident - this will be reflected in the Title.
That isn’t all a Certificate of Title can tell you, however - a Title search can also uncover a range of other useful information that may delay your purchase, as well as affect how your land can be used…
A Land Title will include the names of all the legal owners of a property, as well as a range of other details such as:
- The internal and external dimensions of each floor
- Date the Title was created
- The proprietor(s)
- Descriptions and details of the land
- Ownership history
If there is a mortgage on the property, the bank holds the Land Title, not the resident - this will be reflected in the Title.
That isn’t all a Certificate of Title can tell you, however - a Title search can also uncover a range of other useful information that may delay your purchase, as well as affect how your land can be used…
The two Cs: Covenants and Caveats
What if your Certificate of Title has a Covenant attached to it?
Some pieces of real estate or properties come with baked-in guidelines or restrictions, with the intention of preventing its misuse.
These covenants can range from simple issues like prohibiting you from repainting your house a certain colour, to restricting land use solely to residential purposes - it all depends on the original builder or owner.
The duration of the covenant also depends on the party who originally put it in. Some include an expiry date. Oftentimes however, this list of don’ts lasts in perpetuity - ‘runs with the land’ is how this is usually worded.
It’s a little bit totalitarian, yes. Luckily, there are some things you can do to get it removed if you’re unhappy with it - the simplest of which is to apply for a planning permit with your local council.
Learn the difference between a planning and building permit.
These covenants can range from simple issues like prohibiting you from repainting your house a certain colour, to restricting land use solely to residential purposes - it all depends on the original builder or owner.
The duration of the covenant also depends on the party who originally put it in. Some include an expiry date. Oftentimes however, this list of don’ts lasts in perpetuity - ‘runs with the land’ is how this is usually worded.
It’s a little bit totalitarian, yes. Luckily, there are some things you can do to get it removed if you’re unhappy with it - the simplest of which is to apply for a planning permit with your local council.
Learn the difference between a planning and building permit.
“What’s the catch?” Property caveats
If your Certificate of Title comes with a caveat, that means that there are issues that need to be resolved before the property can be settled.
It means that a third party has an interest in the property - one that needs to be addressed before you sign the dotted line.
For example:
- A tenant occupying the property you’re buying under an unregistered lease
- A spouse who has contributed towards property payments, but who is not on the Property Title
- Parties with an unregistered or informal easement
- Creditors who want to prevent the seller from disposing of the property
These are just some examples of caveatable interests.
Both of these notices will be included in your Certificate of Title as part of a Property Title document. If a caveat appears on the Title of a property you’re considering buying, you will have to resolve that issue first.
It means that a third party has an interest in the property - one that needs to be addressed before you sign the dotted line.
For example:
- A tenant occupying the property you’re buying under an unregistered lease
- A spouse who has contributed towards property payments, but who is not on the Property Title
- Parties with an unregistered or informal easement
- Creditors who want to prevent the seller from disposing of the property
These are just some examples of caveatable interests.
Both of these notices will be included in your Certificate of Title as part of a Property Title document. If a caveat appears on the Title of a property you’re considering buying, you will have to resolve that issue first.
Reading a Copy of Plan: easements, explained
The owner(s) aren’t always the only parties that make use of a piece of property - many other persons who do not own the property may use it for specific purposes.
This information is included on the Copy of Plan , a separate document from the Certificate of Title that sdetails the location of your property, as well as other properties within the same subdivision of land.
Property easements give these parties the legal right to access or use parts of your land without it being considered trespass.
The two most common?
1. Easements of service
2. Easements for access (right-of-way easements)
This information is included on the Copy of Plan , a separate document from the Certificate of Title that sdetails the location of your property, as well as other properties within the same subdivision of land.
Property easements give these parties the legal right to access or use parts of your land without it being considered trespass.
The two most common?
1. Easements of service
2. Easements for access (right-of-way easements)
What do we mean by “access or use?”
Say a municipal water pipe or phone cable runs underneath your property. In order to perform maintenance or inspections on the line, public utilities workers may have to enter your property.
A service easement gives workers and contractors the freedom to access your property to carry out their duties as required.
The second type of easement is a private access easement.
These easements are necessary when other parties need to use part of your property to gain access to their own. A common case is with townhouses, there rear units may need to use part of the front unit’s driveway to reach their residences.
In addition to ownership details, your Copy of Plan will also include details regarding easements that have been lodged with a property - important information for a prospective buyer.
A service easement gives workers and contractors the freedom to access your property to carry out their duties as required.
The second type of easement is a private access easement.
These easements are necessary when other parties need to use part of your property to gain access to their own. A common case is with townhouses, there rear units may need to use part of the front unit’s driveway to reach their residences.
In addition to ownership details, your Copy of Plan will also include details regarding easements that have been lodged with a property - important information for a prospective buyer.
Other types of easements
While access and service easements are the most common types of easement, they aren’t the only ones - just as there are many parties that may have to access your property, there are also many types of easements.
Private easements
Say you and your neighbour have an informal agreement regarding shared land use or access. This can be made official with a private easement, which covers a broad range of different land uses.
Easements for light and air
Another common type of easement is for light and air.
These may restrict the construction of walls and structures in order to maintain another party’s access to natural light and fresh air. It can also be used to protect another party’s view.
These may restrict the construction of walls and structures in order to maintain another party’s access to natural light and fresh air. It can also be used to protect another party’s view.
Easements of support
We mentioned that utility companies often have easements to allow for maintenance of public utilities. In some cases, they may also hold an easement to excavate portions of your land to lay and install utilities.
Applying for a Certificate of Title or a Copy of Plan?
Streamline your search: get your Victorian Land Title sooner with PSI Global
Performing a Copy of Plan or Certificate of Title search used to be a long, arduous process, characterised by:
- Long queues
- Hours spent on hold
- Long email chains going nowhere
- Stacks of papers
Luckily, it doesn’t need to be that way anymore!
Get all sorts of land and property information quicker and faster - we take care of the grunt work for you.
Thanks to direct connections with authorities and key service providers, as well as our automated system, we can make getting essential documents easier than ever before.
Start your search now.
For a faster, painless document search, make us part of your process.
Need assistance? Call PSI Global on (03) 8527 6300, or click here to reach out online.
- Long queues
- Hours spent on hold
- Long email chains going nowhere
- Stacks of papers
Luckily, it doesn’t need to be that way anymore!
Get all sorts of land and property information quicker and faster - we take care of the grunt work for you.
Thanks to direct connections with authorities and key service providers, as well as our automated system, we can make getting essential documents easier than ever before.
Start your search now.
For a faster, painless document search, make us part of your process.
Need assistance? Call PSI Global on (03) 8527 6300, or click here to reach out online.
The information in this article is general in nature and does not constitute legal advice. As with all things property, we strongly recommend consulting a professional to ensure that all stages of your building project (including the Title search) go smoothly.