On 1 April 2026, a major package of strata law reforms took effect in NSW. Most of the coverage has focused on what changed for owners corporations and developers. But if you are buying an apartment right now, these reforms hand you something genuinely valuable: more information, in a more useful format, before you commit.
What Changed on 1 April 2026
The Strata Schemes Legislation Amendment Act 2025 introduced five major changes that directly affect property buyers:
- Standardised 10-year capital works fund plans — uniform digital format for all schemes
- Expanded Section 184 certificates — now include embedded network details and compliance history
- Standardised developer maintenance schedules — prescribed format for Initial Maintenance Schedules
- Independent surveyor certification — multi-storey developments must have levies verified by an independent quantity surveyor
- Mandatory sustainability planning — capital works plans must include EV charging, solar, and climate resilience
Each of these creates a new tool in your due diligence toolkit. Here is how to use them.
Your Section 184 Certificate Is Now More Useful
The Section 184 strata information certificate is the single most important document in strata due diligence. Your conveyancer requests it from the owners corporation, and it contains financial details, by-law information, and disclosures about the scheme.
From 1 April 2026, Section 184 certificates must include three new categories of information that were previously invisible to buyers.
Embedded Networks: The Hidden Cost You Can Now See
An embedded network — referred to in the legislation as an "exclusive supply network" — is a privately owned utility network that supplies electricity, gas, hot water, cold water, internet, or other services to multiple lots within a building. Instead of each apartment having a direct relationship with a retail energy provider, the building has a single supply arrangement — and residents buy from the embedded network operator, often at above-market rates.
Why this matters:
Embedded networks have been one of the fastest-growing sources of complaints in new developments. Residents locked into an embedded electricity network cannot switch providers, even if cheaper options are available. Some embedded network operators charge significantly above the market rate — and there is limited regulatory oversight.
Previously, buyers often discovered embedded network arrangements only after settlement. Now, this must be disclosed in the Section 184 certificate before you exchange contracts.
What to look for in your Section 184 certificate:
- Whether the building has any exclusive supply network arrangements
- Which services are provided through the embedded network (electricity, gas, hot water, internet)
- The name of the embedded network operator
- Whether residents can opt out or switch providers
Tip:
An embedded network is not automatically a deal-breaker. Some are competitively priced and well-managed. The red flag is when a building has one but the certificate does not disclose it — that means the certificate may have been issued before 1 April 2026 and you should request an updated one.
Compliance History and Meeting Records
Section 184 certificates must now also disclose:
- Fair Trading enforcement actions — any orders or compliance actions taken against the owners corporation, including under Fair Trading's power to enforce repair and maintenance of common property
- Meeting records — meetings held in the past year and any upcoming scheduled meetings
Enforcement actions are a serious red flag. They mean the government has had to intervene because the owners corporation was not maintaining common property. This signals either financial stress, governance dysfunction, or both.
Meeting records are subtler but still useful. A scheme that holds regular, well-attended meetings is generally better governed than one that struggles to reach quorum. If the certificate shows no meetings in the past 12 months, that is worth investigating further.
How to Read the New Capital Works Plans
Every owners corporation in NSW must maintain a 10-year capital works fund plan. This is the document that forecasts major maintenance expenses — roof replacement, lift refurbishment, waterproofing, painting — and sets out how the scheme plans to fund them.
Until April 2026, there was no prescribed format. Some schemes had professionally prepared plans running dozens of pages. Others had a vague paragraph in a Word document. Many had nothing at all. This made it nearly impossible to compare the financial health of two buildings.
All new or reviewed plans must now use a standardised digital format through the NSW Government's Strata Hub portal. When you request the capital works plan as part of your strata search, you will increasingly see plans in this uniform format.
Comparing Buildings Is Now Easier
The standardised format is a significant advantage for buyers comparing multiple properties. When every plan uses the same categories, the same structure, and the same methodology, you can make meaningful comparisons:
- Funding adequacy: Is the capital works fund on track to cover projected expenses, or is there a shortfall?
- Major upcoming works: Are there expensive items (roof, lifts, waterproofing) coming in the next 3–5 years?
- Levy trajectory: Do the projections require significant levy increases to stay funded?
- Maintenance history: Has the scheme been keeping up with scheduled maintenance, or deferring it?
Red flag:
If a building still has a pre-2026 format plan and has not scheduled a review, it may be because the committee does not want to confront the real numbers. The new standardised format forces realistic costings — and some schemes will see significant funding gaps when they finally make the switch. Ask when the plan is due for review.
Sustainability: A New Line Item to Check
Capital works plans prepared under the new format must include mandatory categories for sustainability infrastructure:
- EV charging infrastructure
- Solar panels and battery storage
- Energy efficiency upgrades (LED lighting, insulation)
- Climate resilience measures (stormwater, heat mitigation)
This does not mean every building must install EV chargers immediately. But it means every scheme must plan and budget for these categories. For buyers, this is useful forward-looking information:
What this tells you:
A scheme that has already budgeted for EV infrastructure and solar is better positioned for the next decade than one that has left those categories blank. As electric vehicle adoption grows and energy costs rise, buildings without this planning may face expensive catch-up levies.
Buying Off-the-Plan or in a New Development
If you are buying in a new multi-storey development (three or more storeys, with at least part of one lot above another), the April 2026 reforms give you a powerful new protection: the developer's financial estimates must be independently verified.
What the developer must now provide:
- An Initial Maintenance Schedule (IMS) in the prescribed standard form — not a developer-friendly custom format
- Independent certification by a qualified quantity surveyor (AIQS or RICS member) who has no connection to the developer
- Verification that the initial levy estimates realistically reflect expected expenses for the first year
- All certified documents provided at least 14 days before the first AGM
This is a direct response to one of the most common traps in new strata schemes: artificially low initial levies. The pattern is well documented — a developer sets quarterly levies at $800 to make the purchase look affordable, then within two to three years the real maintenance costs surface and levies jump to $1,500 or more.
What to verify for new developments:
- Has the IMS been prepared using the prescribed standard form?
- Was it certified by an independent quantity surveyor (not one engaged by the developer for other work)?
- Do the initial levy estimates align with comparable buildings of similar age and size?
- Were the certified documents provided at least 14 days before the first AGM?
Developers who fail to comply face penalties of up to $11,000 for individuals and $55,000 for corporations, plus $220 per day of ongoing non-compliance.
Will Levies Go Up After You Buy?
One of the most common concerns about these reforms is whether they will cause levies to increase. The short answer: for some buildings, yes — and that is actually a good sign.
When capital works plans are prepared using the new standardised methodology with realistic cost estimates, some schemes will discover their current levies are too low. The mandatory sustainability planning categories add new budget items that did not exist before. Some buildings will need to increase levies to close funding gaps.
How to think about this as a buyer:
A building with slightly higher levies and a well-funded capital works plan is a safer purchase than a building with low levies and no plan. Predictable quarterly contributions are almost always preferable to a sudden $20,000 special levy when the roof fails. The reforms make it much easier to tell the difference.
Signs of a well-prepared scheme:
- Capital works plan already updated to the new standard format
- Levy increases in recent years that track with the 10-year forecast
- No history of emergency special levies
- Capital works fund balance growing in line with projected major works
The 2026 Buyer's Due Diligence Checklist
Here is a practical checklist you can use when evaluating any strata property in NSW from April 2026 onwards. Share this with your conveyancer.
Section 184 Certificate
- ✓Certificate uses the new prescribed form (issued after 1 April 2026)
- ✓Embedded network section completed — or confirms no embedded networks
- ✓No Fair Trading enforcement actions or compliance orders
- ✓Meeting records show regular meetings in the past 12 months
Capital Works Fund Plan
- ✓Plan exists and has been reviewed within the past 5 years
- ✓Ideally in the new standardised format (or review date scheduled)
- ✓Fund balance is on track for any major works in the next 3–5 years
- ✓Sustainability categories included (EV charging, solar, energy efficiency)
- ✓No pattern of deferred maintenance
New Developments Only
- ✓IMS prepared using the prescribed standard form
- ✓Independent quantity surveyor certification (for multi-storey)
- ✓Initial levy estimates align with comparable buildings
- ✓Certification documents provided at least 14 days before first AGM
5 Questions to Ask Before You Buy
Armed with the new disclosure requirements, here are five questions every buyer should ask — either directly to the selling agent or through your conveyancer:
1. "Has the Section 184 certificate been issued after 1 April 2026?"
Certificates issued before that date will not include the new mandatory disclosures. If the certificate is older, request an updated one. The statutory fee is approximately $120, or $180 for urgent (2 business day) processing.
2. "Does the building have any embedded network arrangements?"
If the answer is yes, ask which services are affected and whether residents can choose alternative providers. Check the embedded network operator's pricing against retail market rates.
3. "When was the 10-year capital works plan last reviewed, and is it in the new format?"
If the plan has not been reviewed in five years or is still in the old format, expect potential levy adjustments when the scheme transitions. Factor this into your budget.
4. "Are there any upcoming special levies or major works planned?"
The standardised capital works plan makes this easier to verify. Cross-reference the answer with the 10-year plan — if major works are due in the next two years but no special levy has been flagged, the fund may be underfunded.
5. "Has the owners corporation had any Fair Trading compliance actions?"
This is now disclosed on the Section 184 certificate, but it is worth asking directly too. A compliance action means the government had to force the scheme to maintain its own building — a serious governance red flag.
The Bottom Line
The April 2026 strata reforms are the most buyer-friendly changes to NSW strata law in a decade. They do not make buying an apartment risk-free — but they make the risks significantly more visible.
Standardised capital works plans mean you can compare buildings on a level playing field. Expanded Section 184 certificates expose embedded networks and compliance issues that were previously invisible. Independent certification of developer estimates makes the new-build levy trap harder to fall into.
The information is there. Use it.
Related reading:
- 5 NSW Strata Law Changes That Took Effect on 1 April 2026 — the full breakdown of what changed
- How to Read a Strata Report in NSW — the complete buyer's guide to strata reports
- What Is a Good Sinking Fund Balance for Strata in NSW? — data-driven benchmarks for capital works funding
Sources:
- Strata Schemes Legislation Amendment Act 2025 (NSW) — NSW Parliament, assented 25 February 2025
- Guide to Strata Law Changes for Strata Committees and Owners — NSW Government
- Changes to Strata Laws — NSW Fair Trading
- The 1 April 2026 Strata Law Changes You Need to Know About — Allison Benson, Strata Lawyer
- Strata Law Reforms 2026: What's Changing and Why It Matters — Strata Plus
- Strata Schemes Management Act 2015 (NSW) — Section 184 (Strata information certificates), Section 132A (Exclusive supply networks)
- From Cradle to Grave: NSW's Strata Reforms Explained — Holding Redlich
Note: This article provides general information about the NSW strata law changes effective 1 April 2026 and their implications for property buyers. It is not legal advice. For specific questions about how these changes affect your purchase, consult a strata lawyer or your conveyancer.
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