Buyers in new sectional title developments need to know at what stage they will start sharing responsibility with the developer for the scheme's security, maintenance, and insurance.
Buyers in new sectional title developments need to know at what stage they will start sharing responsibility with the developer for the scheme's security, maintenance, and insurance.
Responsibility between development and body corporate formation “In theory, that should not happen until the first unit in the development is transferred to a new owner and a body corporate is formed,” says Andrew Schaefer, MD of leading property management company Trafalgar, “but in practice, buyers often take occupation of their new homes ahead of transfer. “And many sale agreements do actually provide for new owners to share responsibility with the developer for the management and maintenance of the scheme from their date of occupation rather than the date of transfer, which means that they need to be prepared to immediately start playing an active role in running the scheme if they don’t want to risk financial los
Buyers Sectional Title Developments Responsibility Developer Security Maintenance Insurance