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26 May, 2012

Close corporation divides family

This week, the panel deals with an interesting situation involving conflict over a holiday house owned by a family in a close corporation. The man, his wife and children are all members, but the husband has recently passed away. Unfortunately, his wife and one of their children took it upon themselves to go to the property, empty it out and arrange for a long-term tenant to take occupation. According to the reader, this was not agreed upon or consented to by the other members of the … [Read more...]


Laying blame at owner’s door

This week our panel assists a reader who has been fined for alterations he made to his unit in a sectional title complex. Before starting these alterations he submitted the plans to the municipality and the trustees of the body corporate. The changes he wished to effect were not only aesthetic, but also had practical implications to prevent rainwater from flooding the interior. The building took two months to complete. About a month after completion he received a communication from the … [Read more...]


Splitting the marital bond

Regular readers of our column may be aware that the impact of a marital regime on property ownership is often a burning question. This is even more so, it appears, when creditors are laying claim to outstanding debts from either one or both of the joint owners. One such reader writes that he and his wife are married out of community of property, with the exclusion of the accrual system. They are however the joint owners of the home in which they live. Unfortunately, being pensioners, … [Read more...]


Capital gains taxing on seller

This week the panel considers the tax and other financial implications of selling a property that is not your primary residence. The question comes from a reader who has been renting out such a property for a decade and now wishes to sell it. He has obtained a valuation but is uncertain as to what the costs will be on his side. The reader asks firstly about the tax situation and secondly about the recommended commission payable to an estate agent with a sole mandate to sell the … [Read more...]


Dead end in estate transfer

Purchasing a property from a deceased estate is often fraught with problems. The question before the panel this week relates to a transfer that appears to have hit a dead end. Some time ago, a reader signed an offer to purchase on a property that formed part of a deceased estate. The previous owner had passed away two years before and the deceased's sister appeared to be dealing with the property. The reader explains that the sister was in fact the beneficiary of the property, but decided … [Read more...]


Unseating a complex chair

After experiencing ongoing problems with the chairperson of her homeowners' association (HOA), a reader asks our panel what the correct procedure is for unseating such a person. The reader says that, despite the HOA members having voted unanimously for her removal, she is continuing in the role. The chairperson contends her dismissal is merely temporary until a current dispute with her neighbour is settled. In such instances - where an HOA is formed as a non-profit company - the Companies … [Read more...]


Two Levies, Too Late

In a reversal of stereotypical roles, a reader "interferes" on behalf of his mother-in-law and interrogates our panel about a belated levy payment. The lady in question lives in a sectional title complex and some time ago had the balcony of her unit enclosed. Now - a full 15 years later - the management company has ruled that an additional levy is payable on this alteration. Understandably, the reader is upset over this decision as no mention of an extra levy had been made prior to … [Read more...]


Previous:

A House Divided

This week our experts deal with a sticky situation involving the joint ownership of a property - proving that a problem shared is not always a problem halved. A reader writes that his mother passed away some 30 years ago, leaving her fixed property to be shared equally between him and his brother. He says that his brother never once used the property, whereas the reader used it as a holiday home. It appears that no agreement was ever reached between the brothers concerning the payment … [Read more...]


Disclosing Latent Defects

The question posed to our panel this week deals with the age-old issue of latent and patent defects. Upon moving into his newly acquired house, our reader discovered that there were several defects that were possibly hidden by the seller. The reader says he had asked specific questions regarding dampness upon his initial inspection, all of which were answered in the negative by the seller. However, after moving in, he discovered dampness behind the fridge and washing machine as well as … [Read more...]


Transferring a Property After Death

A reader has posed an interesting question, relating to the transfer of a property at the owner's death, to our panel of experts. Her parents owned a property and when her father passed away it was never transferred to her mother, the legal heir. She apparently could not afford the transfer fees. Even though it was not formally transferred into her name, the reader's elderly mother has now drafted a will in which she nominates the person that will next inherit the property. The reader … [Read more...]


Sectional Title Owner’s Right to Let

This week's reader question is from a pensioner who had to let her unit in a sectional title complex to overseas visitors for a period of eight weeks to supplement her income. She says this not only helped her to make ends meet, but also gave her the necessary funds to maintain the unit. The reader has unfortunately now been informed by the body corporate that the conduct rules provide that units may not be let for a period of less than three months. She wants to know what her rights … [Read more...]


Put Aspects of Co-ownership in Writing

This week's question posed to our panel of experts is from a reader who intends to purchase fixed property with a friend. He wants to know how they can protect themselves by way of regulating their relationship in this transaction. Lucille Geldenhuys from Lucille Geldenhuys Attorneys in Stellenbosch says there are various aspects to be considered by the two potential buyers. "The relationship between them can be merely a partnership, which does not have to be reduced to writing to … [Read more...]


Creditors’ Rights When Property is Sold

Our panel has received a lengthy question from a reader regarding the sale of a property where the rights of several creditors come into question. The reader landed in financial difficulty after trying to assist a family member with his debts and, in the process, fell behind with his own bond repayments. He also has various other creditors knocking on his door. He decided to sell the house in order to pay his creditors. A buyer - who had no knowledge of the outstanding debts - appeared on … [Read more...]


CGT and Your Primary Residence

This week's reader question comes from a pensioner who owns two apartments, one of which he has decided to let out during and after the 2010 Fifa World Cup. He lives in one and therefore regards it as his primary residence. It further appears that he has chosen to move into the other apartment and to let out the one which has served as his primary residence until now. The reader says he has already received a deposit in respect of the rental (in December last year) and will receive further … [Read more...]


The Extent of Common Property

The question posed to our panel this week revolves around the issue of the liability to maintain the various areas that a sectional title complex consist of. Our reader states that he understands the maintenance in respect of the outside area of the complex to be the responsibility of the body corporate. He specifically raises the issue of ants infesting the paving in respect of the patio and pathway of his unit and wants to know what the position will be should they come into his unit and … [Read more...]


Trustees Represent Body Corporate

A concerned reader has contacted our panel to find out more about the duties and responsibilities of the trustees of a body corporate. More specifically, she wants to know how meetings of the trustees should be documented. In her experience, the minutes are not necessarily a true reflection of what was actually discussed. She would further like to know to whom these minutes should be distributed. Her concerns also turn to the role of the chairperson of the trustees and specifically what … [Read more...]


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