February brings with it the National Budget Speech, and in the leadup to this crucial moment, property investors and real estate role players are getting ready to roll with any punches that might be thrown. The past two years have been tumultuous at best, and although there is a general cause for optimism there are various factors to consider going into 2022.
Here are a few key forecasts by Pearl Scheltema, CEO of Fitzanne Estates, sectional title expert, specialist property manager, property administration professional, and trustee management trainer.
“The real estate industry is a lot like a gearbox – the various ‘cogs’ in the system all have an influence on one another. As such, the behaviour of South African property buyers, renters, and sectional title owners will all have an impact on one another,” Scheltema explains.
Training & maintenance will be a big focus for title schemes
According to Scheltema, even though the new legislation contained in the Sectional Title Schemes Management Act 8 of 2011, already came into effect on 7 October 2016, it always takes five years or more for property owners to get used to new legislation.
“My prediction is that because many property owners still don’t quite comprehend all the intricacies of the Act, there will be a lot of focus on courses for trustees. Fortunately, there are various training options on courses for trustees available, such as the module through NAMA, the National Association of Management Agents, which hosts regular training sessions for clients and managers alike. Fitzanne Estates also offers cost-effective online courses for trustees everyone can do on their own time and at their own pace.”
The Fitzanne Estates course for trustees encompasses 22 videos of 8 – 10 minutes each. Once a trustee has worked their way through the material, they answer a multiple-choice questionnaire and are awarded a certificate that marks them as a trained Scheme Executive if they get a passing grade of 75% or more.
“There will also be a big focus on maintenance. Training will reinforce the notion of the 10-year maintenance plans that form a part of sectional title and full title schemes. Special levies are being put in place for owners to contribute, but in many schemes, these plans are not yet being executed. They have it, they get the right things in place, but the actual work associated with the execution of these plans is often slow to materialise,” Scheltema explains.
“Managing a maintenance program can be quite complex – quotes have to be gathered, finances considered, contractors selected and overseen. As such, it helps to have a property management agency on retainer who can assist with these time-consuming processes.”
With such a complex time ahead, it’s essential to focus on what can be controlled. Keep informed and surround yourself with a team of competent, knowledgeable experts who can guide and support you no matter where the market takes us.
More about Fitzanne Estates
Fitzanne Estates (Pty) Ltd is a Property Management Company that can sufficiently administer your property investment to the benefit of the Landlord, the Body Corporate, and the NPC – Non-Profit Company. Services include Letting, Sectional Title Management, Full Title Management (NPC – Non-Profit Company) and Sales.
LinkedIn: Fitzanne Estates
YouTube: Fitzanne Estates
Podcast: Fitzanne’s Property Exchange