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Australia's Strata Property Market Surpasses $1.4 Trillion in Value

Understanding the Growth and Challenges in the Strata Sector

Australia's Strata Property Market Surpasses $1.4 Trillion in Value?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Recent industry reports reveal that the insured value of strata properties in Australia has reached an estimated $1.4 trillion.
This significant milestone underscores the growing prominence of strata living, with approximately 4.2 million Australians-about 15% of the population-residing in such properties.
This marks an increase of 200,000 residents since 2022.

State-wise, New South Wales leads with strata property values totaling $486 billion, followed closely by Victoria at $471 billion, Queensland at $245 billion, and Western Australia at $112 billion. The remaining states and territories contribute to the overall valuation, reflecting the nationwide adoption of strata living.

Demographically, nearly half of all strata buildings comprise fewer than 20 lots, while larger complexes with at least 100 lots accommodate 21% of residents. Notably, 48% of apartment dwellers are aged between 20 and 39, and 46% were born overseas, highlighting the sector's appeal to younger and diverse populations.

However, the aging infrastructure presents challenges. Nearly half of all strata buildings are over 25 years old, necessitating increased maintenance and upgrades. The Strata Community Association (SCA), in collaboration with the University of NSW City Futures Research Centre, emphasizes the need for improved building quality, robust insurance protections, and enhanced regulatory standards to ensure the sustainability of strata living.

Joshua Baldwin, President of SCA Australasia, stated, "Strata is a way of life for millions, and we must ensure it remains sustainable and well-managed." He advocates for collaborative efforts among government bodies, industry leaders, and stakeholders to address the evolving needs of the strata community.

Given that almost all private apartments in Australia are strata-titled, along with some townhouses and detached houses in planned estates, the sector's growth and associated challenges have far-reaching implications. Property owners and investors are encouraged to stay informed about maintenance requirements, insurance coverage, and regulatory changes to safeguard their investments and ensure the longevity of their properties.

Published:Thursday, 8th Jan 2026
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

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Knowledgebase
Subrogation:
An insurance carrier may reserve the "right of subrogation" in the event of a loss. This means that the company may choose to take action to recover the amount of a claim paid to a covered insured if the loss was caused by a third party.