select
|

Better transparency required in sectional title management

One of the major issues affecting the sectional title management industry is that of transparency, says PayProp CEO Louw Liebenberg. “The industry has historically been plagued by mismanagement with little to no transparency for unit owners. In some cases the necessary diligence required is not undertaken exposing the body corporate and owners to unnecessary risk.”
 
Much has been said and written about the updated Sectional Titles Schemes Management Act. With all the complexities involved in the day-to-day management of a sectional title scheme, it is not surprising. One can spend days trying to understand scheme rules, insurance, common use areas, fines and all the rest of a very long list of issues that come into play when people share a space.
 
As the largest processor of residential letting transactions in South Africa, PayProp recently launched PayProp Unit Management – a transparent and safe trust accounting platform built specifically for managing agents.  This tool is based on the same platform that processes more than R8 billion in rentals each year. 
 
“The need for a management system that provides a secure trust account platform with full visibility for agents and trustees; straight-through transaction automation and reconciliation within the banking environment, and regulatory compliance, has been a long time coming, and is something that PayProp is addressing head on,” says Liebenberg.
 
Liebenberg says the owners and body corporate members should insist on the following from the agents handling their sectional title:

1.         Safe and transparent handling of funds: There should never be a discrepancy between what is reported and what is transacted
2.         Regulatory compliance: All activities undertaken by the body should be in accordance with EAAB regulation
3.         Timely reporting: Reports that outline actual vs budgeted expenditure, trust account movements and balances, and levy movements
 
PayProp controls the lion’s share of residential letting-related transactions in South Africa. Currently it processes monthly rental receipts and beneficiary settlements for 95 000+ properties. PayProp recently launched a custom platform for sectional title unit management answering a dire need in the sectional title market.
 
PayProp is a Gold sponsor of the upcoming Nama (National Association of Managing Agents) Indaba and invites agents, body corporate members and the public to visit their stand at Emperors Palace from 4-6 September.
 


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 25 May 2018
      Reliable public transport systems moving a mass of commuters to and from work, keep a city’s economy moving. Not only do they have a positive impact on economic growth, successful rail links also influence property values.
    • 25 May 2018
      The live, play and visit environment that Centurion Residential Estate & Country Club offers continues to attract buyers looking for a very specific lifestyle and ambiance.
    • 25 May 2018
      As expected, the Monetary Policy Committee kept the repo rate stable, with analysts and market commentators ahead of yesterday's announcement (24 May 2018) pointing to a more hawkish stance amid a weaker rand, somewhat less stable global environment, and an eye on the inflation outlook – coupled with the increase in VAT and sizeable hike in the price of fue
    • 24 May 2018
      Most real estate professionals agree that 2017 was one the toughest years to date; an eminently challenging 12 months that subdued even the strongest markets - including the country’s economic powerhouse of Sandton.
    • 24 May 2018
      These are uncertain and challenging times for the real estate industry, but the non-profit organisation Rebosa is fighting for their interests and finding pragmatic solutions to industry issues such as the urgent need to fast-track transformation says Richard Gray, Rebosa chairman.
    • 24 May 2018
      The decision to invest in property isn’t one that’s taken lightly, or dealt with flippantly. The same should ring true when deciding on an estate agent partner to handle the letting out of your property.
    • 23 May 2018
      Homeowners who are thinking of selling and “trading up” to a bigger or a better home had better be quick now if they want to get the best deal.
    • 23 May 2018
      The new Loftus Park development in Arcadia is really going to boost the demand for homes and rental accommodation close by and the neighbouring suburb of Sunnyside, says Gerhard Kotzé, MD of estate agency group RealNet Holdings.
        
    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