Sectional title property 'isn't for everyone'

SECTIONAL TITLE flats and townhouses are becomng increasingly popular options for young homebuyers concerned about security and strapped for cash and leisure time - but they are not the right choice for everyone. Dr Piet Botha, chairman of the Nationlink estate agency group, notes that the latest industry estimates indicate that there are already more than two million people living in some 550 000 sectional title units in SA - and that more sectional title units will be built over the next two years than any other type of home. "And sectional title developments are often a good option for young buyers. Purchase prices usualy include VAT and eliminate the need for a large cash transfer duty payment. Other attractions are food security provisions and the fact time-consuming building and garden maintenance are usually outsourced." But, he notes, buying a sectional title home is not the same as buying a house.

'Sectional title developments are often a good option for young buyers'

There is a trade-off for the additional security and convenience, not only in the form of a monthly levy, but in terms of privacy and the use of your property. "For example, if you own a house there is a little stop you adding on a room if and when you feel like it. In a sectional title unit, you own your possessions and to a certain extent, the floor and ceiling. But you share the walls and can't just knock them down or move without consulting your neighbours."
"Similarly, you're usualy entitles to paint your interior wals, but not the outside of your unit. You also may not be allowed to plant a garden, keep a pet or put up a carport, depending on the rules of the comlpex." (Break) Collective decision-making through the body corporate, Botha says, is another "fact of life" when you live in a sectional title complex.

And although every owner in the development is automatically a member of the body corporate, the actual running of the scheme usually falls to a group of volunteers - the trustees - who may not have much experience in building or financial management.
"Consequently, conflicts can do arise over the way levies are calculated, administered and spent and whether the development is being maintained in a way that will protect the value od each owners' home."
So prospective buyers keen on sectional title must be sure, he says, that they can handle living in close proximity with other owner - some of whom may not be as friendly or considerate as they would wish - and that they are prepared to abide by the decisions of the body corporate, even if they don't always afree with them.
"And those who intend becoming involved in the running of their complex and the decision-making about how their levies are spent must be prepares to familiarise themselves with the reams of legislation, rules and regulations that govern sectional title."

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