As you know, community schemes have not escaped the effects of COVID-19 and need to comply with additional restrictions over and above the rules of the scheme. Here are some of the ways in which schemes have been impacted during the lockdown period: Utility services and facilities The use of utility services such as electricity, water and sewerage have increased as most residents...
Buying property in a community scheme remains a popular choice for many buyers whether they are first-time buyers or established buyers. Community schemes come in various shapes and sizes, and includes security estates, sectional title complexes, retirement developments and housing estates. Why are certain developments more suited to security estates or sectional title schemes? A developer may be motivated to develop a...
Changes to the Sectional Titles Schemes Management Act 8 of 2011 (STSMA) on 7 October 2016 made fidelity insurance compulsory for bodies corporate. This means that the body corporate must insure itself against the potential loss of its funds by way of fraudulent or dishonest conduct by the trustees, managing agent or anybody who has access to these funds. Before the...
Short term letting is a controversial topic in sectional title for various reasons, one of which involving the uncertainty as to what is allowed and what is not. Body corporate trustees have been at loggerheads with owners, trying to get decisive rulings via the Community Schemes Ombud Service (CSOS) to solve their disputes. Regrettably, the CSOS adjudications have varied widely in...
The income from levies is what enables a body corporate to pay for services provided and maintenance of the common property. As members in the scheme are proportionately responsible for their share of levies, it is essential that they pay their levies timeously. When members do not pay their levies, it can quickly result in financial distress for the body...