How to Change Your Strata Manager in NSW: A 2026 Guide
Changing your strata manager is more common than many owners realise. While the process requires a formal decision by the owners corporation, it is largely administrative once the right steps are followed.
This guide explains the key questions owners ask and the practical steps involved.
Quick FAQ: common questions owners ask about changing strata manager
Do we need a meeting to change strata manager?
Yes. The removal and appointment of a strata manager must be decided at an Annual General Meeting (AGM) or a general meeting.
How many owners need to agree?
A simple majority of votes cast is required from those entitled to vote, depending on the method of meeting and voting (for example, in person, by proxy or pre-meeting voting).
Can we change strata manager mid-contract?
It is possible, subject to the termination clause in the management agreement and whether the parties can mutually agree to terminate. Early termination may involve payout of notice periods or the balance of the contract, depending on the agreement and discussions between the parties.
Is it difficult to switch strata companies?
Not usually. Once the resolution is passed, the outgoing and incoming managers coordinate the handover of records and administration.
Not happy with your current strata manager?
This short video explains how to change strata manager in NSW, what steps are involved, and how to make a smarter, more informed decision for your building.
Understand Your Current Management Agreement
Before changing strata managers, review your current contract carefully.
Contract term
Initial appointments for new developments after the registration of the strata plan can only be for up to 12 months, while subsequent strata management agreements can run for a maximum of three years.
Termination clauses
Check the required notice period, whether early termination provisions apply, and whether a mutual termination can be agreed between the parties.
Fees and delegations
Confirm the services included in the base management fee and whether additional Schedule B or disbursement charges apply.
Understanding these terms and any additional charges will assist in making an informed decision.
Whilst some agents might appear cheaper on their base fee, it is important to note that this is often only a starting price, with additional schedule-based charges applied based on consumption rather than a true end price.
Important:
Recent reforms introduced in October 2025 have strengthened transparency requirements for strata management agreements in NSW.
For new or renewed contracts, owners corporations should ensure the agreement clearly discloses all fees, commissions and delegations.
The contract should not require the owners corporation to pay the strata agent’s professional indemnity insurance excess. It should also not include clauses that unfairly limit the strata manager’s responsibility for mistakes or negligence, unless permitted under an approved professional standards scheme.
How to Choose a New Strata Manager
Once you know you can exit, the real work is choosing a better strata manager, not just a cheaper one.
We recommend:
- Getting quotes from at least three managing agents so there is a benchmark for comparison.
- Comparing services and experience, not just fees
- Understanding who is behind the badge, how they approach management, and whether that aligns with your building’s needs and expectations.
Expertise and staffing model
There is currently a shortage of experienced strata managers in Sydney. Senior licensed strata managers handle complex legal, financial and risk matters, often alongside high volumes of communication.
If a fee appears unrealistically low, or if there are numerous Schedule B charges that can exceed the agreed management fee, it may indicate reduced service levels, limited time allocation, or reliance on more junior or less experienced staff, and a more reactive rather than proactive approach.
Fee model: all inclusive vs Schedule B/C/D Charges
Most agents charge a base management fee plus disbursements as their core pricing. However, depending on what is included, additional Schedule B, C or D charges may be applied on top for extra services.
At Premium Strata, we offer an all-inclusive, capped fee covering most recurring services, with minimal additional charges. This provides cost certainty, removes incentives to bill per task, and allows the Owners Corporation to accurately budget for strata management fees.
Communication and response time are connected with portfolio size
Response time is directly linked to portfolio size.
Check how many buildings and lots your manager handles. Smaller, well-supported portfolios generally result in faster and more proactive service.
In NSW, the average is approximately 44 plans per strata manager. At Premium Strata, the average is approximately 23 plans per strata manager, allowing for a more proactive and responsive level of service.
Consider a Trial Period
One of the biggest frustrations for owners is feeling locked into a long, underperforming contract.
At Premium Strata, we take a different approach. We offer a six-month trial period within our Management Agency Agreement.
If during those first six months you feel we are not delivering the expected standard of service, you can terminate the agreement with two weeks’ notice, and we will refund the one-off integration fee.
This gives owners confidence and removes the risk of being locked in with the wrong manager.
