select
|

The importance of attending an AGM

Residents in sectional title schemes will often not realise how important it is to attend their Annual General Meeting and will think of many reasons not to do so.

The main reasons to attend the AGM in a sectional title complex if you are an owner, is a semblance of control of the financial situation or better knowledge of the complex's operations, says Michael Bauer of the property management company, IHFM.

Owners of units in sectional title schemes, he said, need to realise that if they do not attend the AGM of their scheme, they cannot really complain if they do not agree with decisions that have been made. It is also important to check that all the trustees are doing their job properly; one cannot assume that things are always done when they should be done.

"This is, after all, a business, one in which millions of rands are sometimes managed in asset value and it must be treated with the same seriousness you would treat a business of that scale.

"Attending the AGM," said Bauer, "is important because it does give the owner an idea of the personalities of the group involved in managing the body corporate. By attending the meeting you will get an idea of the way the building is run and the decisions that need to be made as well as participate. The group dynamics (whether there is a minority lobbying constantly for their own interests) will be shown up at meetings like this and you, as an owner, can that go against those decisions you feel are not in the interests of the scheme.

"Lastly, the income of the scheme will be discussed at the AGM and it is important that the owners know and vote on what will happen with funds over the next financial year, i.e. whether any large projects will be tackled. If you are not at this meeting, you cannot say after the fact that you didn't want a new gate or the exterior walls painted, etc."

Attendance at the AGM is important to all, said Bauer. This will give everyone an opportunity to read through the minutes and reports of the scheme and ask questions or get explanations from the parties involved.

"Again, one cannot complain if you are not going to take a vested interest in the scheme in which you live and you cannot hand the responsibility over 


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 18 Jan 2018
      New year, new goals! If you’ve resolved to purchase your first property in 2018, then this 6-step guide from the Rawson Property Group is a must-read. It will help you navigate and simplify what is often be seen as a confusing process of buying your first home – right from the house-hunt to the house-warming.
    • 17 Jan 2018
      While the current property market may still favour buyers, it doesn’t mean that they shouldn’t be well prepared before putting in an offer to purchase.
    • 17 Jan 2018
      Lightstone lists Blair Atholl as the most expensive suburb with an average house price of R11.2 million, followed by Westcliff (R10.5 million), Dunkeld (R9.3 million), Sandhurst (R9.1 million) and Inanda (R7.2 million).
    • 17 Jan 2018
      As it currently stands, there are four main ways in which a home can be bought in South Africa, says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, who adds that deciding in which legal entity to purchase the property is not a decision that should be entered into lightly, as each has its pros and cons.
    • 16 Jan 2018
      The start of the new year is symbolic of new beginnings. A good time to take stock of one’s possessions as well as how necessary they actually are. However, seeing as the process may appear daunting – a plan goes a long way.
    • 16 Jan 2018
      The Western Cape is still in the throes of a severe drought and many households have to adjust the way they use and save water. It is a little more complicated in sectional title schemes, however, as it is not that easy to implement grey water systems for multiple users and it is also difficult to monitor water usage accurately if there are no separate water meters
    • 15 Jan 2018
      In ideal rental situations, when a lease is signed the tenant will stay for the full duration of his lease without any complications and the landlord will uphold his obligations, creating a win-win situation for tenant and landlord.
    • 15 Jan 2018
      The Atlantic Seaboard’s housing market has stoically withstood the brunt of the growing economic and political instability, consistently achieving double digit growth way above the national average, however, in 2017 South Africa’s most resilient market finally began to yield to the pressure.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK