What is a Sectional Title Scheme?
The property market can be full of complex jargon and as a first-time buyer navigating all these can be an exhausting task, in this article I will help you understand what a sectional title is?. This is a type of property whereby an owner owns a section of the building or property within a larger property, this allows a section of a property to be individually owned. When you purchase a section you also own an undivided share of the common property i.e you also own common properties of the larger property.
An act that Governs Sectional Title Scheme
Sectional Title Scheme Body Corporate
Immediately after the transfer of deed is complete and you become an owner of a sectional property, you automatically become a member of the body corporate and you are bound by the rules of the corporate whether you agree to them or not. It is wise to first check body corporate rules before you buy a property.
Trustees of Sectional Title Scheme
Trustees are equivalent of companies board of directors appointed by shareholders to oversee company operations, in like manner trustees of scheme is a committee appointed by the body corporate to run the day to day activities such as payments of rates, municipal charges and day to day management activities.
NB: An Agent responsible for the management of the property can be appointed by trustees on the direction of the member to assist trustees with the management of the property.
Three types of properties in a Sectional Scheme
When you know these three types of properties you will be able to identify what is yours and what is not yours.
1. Owners Section
This is your house and everything in a fence or wall and for flats, it is your house.
2. Exclusive Use Area
These spaces may include parking spaces, storage facilities and many others.
3. Common Property
These are spaces and properties shared by members of the scheme such as pool, parking space, and braai stands. These spaces are guided by body corporate rules make sure you check the rules.
The next blog post will explain the advantages and disadvantages associated with the sectional title scheme.
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NB: this article should not be taken as legal advice, for legal advice seek registered legal advisors
