Sectional Title Responsibility

[Agent_B]

So they are not making use of a managing agent..?

We always do and pressurize the managing agent to keep getting updates from the lawyers. and sometimes even follow up with the lawyers ourselves. It is quite a process going through the legal process of recovery so far all our cases are heading for S66 as all else has failed, one has been granted by the court after 7 years and the unit owes R400K+ but now we have been waiting for the sheriff take posesion of the unit which we have been waiting about 8 months now. It is so simple to stall the legal system, When the sheriiff gets to their door and they do not answer then there is nothing he can do.

 

[zerocool2009]

We always do and pressurize the managing agent to keep getting updates from the lawyers. and sometimes even follow up with the lawyers ourselves. It is quite a process going through the legal process of recovery so far all our cases are heading for S66 as all else has failed, one has been granted by the court after 7 years and the unit owes R400K+ but now we have been waiting for the sheriff take posesion of the unit which we have been waiting about 8 months now. It is so simple to stall the legal system, When the sheriiff gets to their door and they do not answer then there is nothing he can do.

The law now changed! The owner can give a reserve too!

Standard bank had a property on auction with a R0 reserve. The owner wanted R800k. R600k in arrear levies and R100k rates!

Not a single bid!

 

[Agent_B]

Honestly - I feel your pain.

I used to live in a complex way back then.

By default my wife and I ended up as trustees for the reasons you mention.

Getting certain folks to pay levies became a mission, and people can be pretty demanding.

We bought a house.......... and gave them the royal FU.

I seriously want to do the same. Only thing is I got my unit for a bargain as owner was desperate to sell. so bond is nice and affordable. Looking at property costs now are scary. and to find a house comparable is way more expensive than what estate agent value my place at.(maybe due to the rest of the units in the complex.)

 

[RedViking]

Thank you for the sarcasm,

I wish it was as easy as you make it sound. Maybe if you know so much can then please give advise how we can achieve what you say legally? I would be really happy if the law could sort this out so that we can do as you say. and everyone paid their levies or the courts would assist us. We even changed lawyers and trying to pressurize the sheriff to get the levies owed back so the we can do everything we need to. The owners here just dont give a damn.

Our legal system is a mess and sometimes beyond useless. Really sucky situation to be in.

 

[Agent_B]

The law now changed! The owner can give a reserve too!

Standard bank had a property on auction with a R0 reserve. The owner wanted R800k. R600k in arrear levies and R100k rates!

Not a single bid!

You are scaring me. can it be that bad

 

[RonSwanson]

Sounds like you have a useless managing agent, who cannot fulfill their primary responsibilities, which is to collect levies.
You should not be struggling to collect levies, the Act makes it very clear that levies are special and need to be paid. If your managing agent's only response is referring delinquents to lawyers, you have a problem. The managing agent ought to be using the CSOS to issue adjudication orders, they have the same weight as the High court. Only when that process fails should lawyers get involved and apply for S66. CSOS is cheap, and they have revised their practice directives, fees are now R0. Turnaround is max 90 days.

Your corrupt managing agent obviously gets a kickback from the lawyers. Fire them and replace with a MA who hires competent non-BEE and non-AA appointees.

 

[Kosmik]

Thank you for the sarcasm,

I wish it was as easy as you make it sound. Maybe if you know so much can then please give advise how we can achieve what you say legally? I would be really happy if the law could sort this out so that we can do as you say. and everyone paid their levies or the courts would assist us. We even changed lawyers and trying to pressurize the sheriff to get the levies owed back so the we can do everything we need to. The owners here just dont give a damn.

He told you facts, whether you think it's sarcastic or not, that is the reality of the situation you are in.

If you have a judgement, execute it.

 

[Agent_B]

He told you facts, whether you think it's sarcastic or not, that is the reality of the situation you are in.

If you have a judgement, execute it.

please can you advise how to do this?

Last update from the lawyer "Waiting for Sheriff's return of service regarding attaching the unit"

 

[Lupus]

Most owners do not want to be trustees, for us it is difficult to get anyone else to become a trustee as we ask and they decline. But then they will say at the AGM how little we can increase the levies. LOL. Before me there were only 2 trustees. At the one AGM they both suddenly stepped down and moved out the complex. They nominated me as a trustee. At first i did not want to be one but was persuaded with 2 other people. and had to learn from there. wanted to step down so many times but keep getting begged to carry on.

Think it's time you move on

 

[Lupus]

I seriously want to do the same. Only thing is I got my unit for a bargain as owner was desperate to sell. so bond is nice and affordable. Looking at property costs now are scary. and to find a house comparable is way more expensive than what estate agent value my place at.(maybe due to the rest of the units in the complex.)

Now you know why it was a bargain.

 

[Kosmik]

please can you advise how to do this?

Last update from the lawyer "Waiting for Sheriff's return of service regarding attaching the unit"

That sounds like they are busy executing it against the property itself, which can include sale so it's not quick. Tell then want a more detailed update.

 

[Agent_B]

That sounds like they are busy executing it against the property itself, which can include sale so it's not quick. Tell then want a more detailed update.

yes the judgment to execute the property was given and then we are waiting for the sheriff to attach the unit. I have no idea how long this takes. I have asked our lawyers. Thanks

 

[Agent_B]

Now you know why it was a bargain.

It was actually a bargain as the owner got divorced as was not staying in the place, and was drowning in debt. He could not afford to maintain the internal of the section and no one wanted to rent it. He then decided to sell it. It was on the market for a while and not selling. He started dropping the price. When I found the place at the reduced price I made a lower offer and he accepted. I found out after that he made a huge loss as he owed 190K on his bond more than what I paid for the place. all repairs were minor and I did these easily myself for not much cost.

 

[Lupus]

It was actually a bargain as the owner got divorced as was not staying in the place, and was drowning in debt. He could not afford to maintain the internal of the section and no one wanted to rent it. He then decided to sell it. It was on the market for a while and not selling. He started dropping the price. When I found the place at the reduced price I made a lower offer and he accepted. I found out after that he made a huge loss as he owed 190K on his bond more than what I paid for the place. all repairs were minor and I did these easily myself for not much cost.

Well as you've seen there was also the lovely other issues that you're seeing, sometimes when something seems to be good to be true.

 

[WAslayer]

It was actually a bargain as the owner got divorced as was not staying in the place, and was drowning in debt. He could not afford to maintain the internal of the section and no one wanted to rent it. He then decided to sell it. It was on the market for a while and not selling. He started dropping the price. When I found the place at the reduced price I made a lower offer and he accepted. I found out after that he made a huge loss as he owed 190K on his bond more than what I paid for the place. all repairs were minor and I did these easily myself for not much cost.

If the internal repairs were so minor and cheap, investor buyers would have been making offers left, right and center.. however, it was sitting on the market not selling, more than likely due to the BC financials, which is the first thing investor buyers would have looked at..

 

[quovadis]

So you are also saying that we are responsible for the painting of the units as well? We do not have the funds for this. Painting the Complex will cost R750K. we only have R300K in the bank account an min reserve will be R160K.

We try make a special levy and owners do not pay. before the current trustees time The complex was bankrupt and this was the reason the special resolution was passed that owners will paint their own units. we still do other maintenance as in structural repairs, roof leaks etc. everything but the painting.

Just to add to your burden - if you, as the trustees, pass a resolution that is in contravention of the act and it is found to be grossly negligent you could be held personally liable for placing the estate back in the position it was before. Stop messing around, get a decent managing agent from a reputable company to ensure you are compliant, do you collections and planning properly and you'll have a bit of pain and then will be fine.

 

[GMAN03]

Most owners do not want to be trustees, for us it is difficult to get anyone else to become a trustee as we ask and they decline. But then they will say at the AGM how little we can increase the levies. LOL. Before me there were only 2 trustees. At the one AGM they both suddenly stepped down and moved out the complex. They nominated me as a trustee. At first i did not want to be one but was persuaded with 2 other people. and had to learn from there. wanted to step down so many times but keep getting begged to carry on.

I intend to step down at our next AGM. I just can't continue working within constraints that I wouldn't ordinarily have, simply because some owners don't want levies increased at all. Also, I've been doing a lot of work for free because I enjoy it which saves a lot in getting contractors out and paying them their call outs and exorbitant rates (as soon as they see a complex they see $$$).

I wanted to step down a few months ago but was also begged to stay, so I resolved to stay on until the AGM. I've been quite firm about that.

Trouble is, it's made me so jaded about the whole thing that I'm in a place where I'm likely to become one of those owners that doesn't even bother to attend the AGM. I'm luckily not one of those that never attends and still complains, but I just feel like I'll pay my levies, I'm not short on cash and will gladly pay 3 times what I'm paying now just to not have to care.

 

[Next Thing]

Maybe if you know so much can then please give advise how we can achieve what you say legally? I would be really happy if the law could sort this out so that we can do as you say. and everyone paid their levies or the courts would assist us. We even changed lawyers and trying to pressurize the sheriff to get the levies owed back so the we can do everything we need to. The owners here just dont give a damn.

Get a proper management agent. Take the owners to court. If need be attach the unit for auction

 

[quovadis]

It was actually a bargain as the owner got divorced as was not staying in the place, and was drowning in debt. He could not afford to maintain the internal of the section and no one wanted to rent it. He then decided to sell it. It was on the market for a while and not selling. He started dropping the price. When I found the place at the reduced price I made a lower offer and he accepted. I found out after that he made a huge loss as he owed 190K on his bond more than what I paid for the place. all repairs were minor and I did these easily myself for not much cost.

So you purchased a lemon. Now fix the body corporate and perhaps you can make lemonade.

 

[Agent_B]

Get a proper management agent. Take the owners to court. If need be attach the unit for auction

this process starts within 90 days of an owner being in arrears. The trustees make sure of this. So it is not like this is not being done. Problem is the it has been 7 years trying to attach an item or the unit. we also instructed the managing agents to change law firms as we were not happy with the progress with the same results. Just seems to be getting worse that as new owners move in the cannot afford the levies so do not pay.