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Inside South Africa's sectional title surge: a buyer's guide

You can't drive through many major cities in South Africa without seeing new apartment blocks, secure townhouses, and trendy complexes popping up on formerly quiet corners. There has been a significant boom in section title properties, and it's only getting bigger. 

"There's been a big rise in sectional title developments across urban areas in the past few years," says Michelle Cohen, Principal at Leapfrog Johannesburg North East. "We're seeing increased demand, particularly among younger and first-time buyers, for homes that are secure, convenient and come with shared amenities."

According to Cohen, growth in sectional title sales has outpaced that of freehold homes for a number of months now, a trend driven by affordability, lifestyle shifts, and the lock-up-and-go appeal. "People are busier than ever, and many buyers don't want the hassle of maintaining a large property," she adds. "Sectional titles offer good flexibility and community living, without the full weight of ownership responsibilities."

But before you sign on the dotted line, Cohen urges prospective buyers to do their homework. While the appeal is strong, buying into a sectional title isn't the same as purchasing a freehold property. Here's what you should know to avoid any surprises later.

1. Understand the true cost of ownership

The asking price is just the beginning. Sectional title properties come with additional, and sometimes unexpected, costs.

"There are monthly levies, but buyers also need to account for things like special levies, reserve fund contributions, and the costs of maintaining exclusive use areas like gardens or parking bays," Cohen explains. "These can add up quickly, and you don't want to be caught off guard."

Levies typically cover things like security, maintenance of common areas, and building insurance, but not always your own repairs or upgrades. It's essential to get a full breakdown upfront.

Cohen points out that levies are often 'demonised' or framed as something to be avoided at all costs, but levies are simply regular financial contributions by the unit owners to the body corporate. The funds go towards the proper functioning, maintenance and management of the shared spaces and facilities within the complex. 

2. Know what's yours, and what isn't

When you buy into a sectional title, you're buying a section (usually your apartment or unit), but also a shared stake in the complex's common property.

"It's critical to understand where your responsibility ends and the Body Corporate's begins," says Cohen. "For example, if there's a burst pipe inside your unit, who fixes it? What about damp on an exterior wall?"

Ensure you fully understand the sectional title plan as the answers aren't always straightforward. This outlines what areas are private, what's common property, and what's designated for exclusive use.

3. Check the health of the Body Corporate

The Body Corporate manages the day-to-day operations of the complex, including financial planning and maintenance. You want to ensure that you are not buying into a sectional title with a poorly run scheme. This can lead to steep costs down the line.

"Ask to see recent financial statements, the latest AGM minutes, and the 10-year maintenance plan," advises Cohen. "Having insight into this will indicate how healthy the reserve fund is, if levies are realistic, what issues were raised and how it was handled, and more". 

Also, ask about the managing agent and their role. A good agent can make a big difference in keeping things running smoothly.

4. Know how disputes are handled

Sharing a space with anyone, even in a sectional title, means dealing with other people. In a sectional title, you will have neighbours, and sometimes, conflict, which can lead to unresolved issues.

"Owners have the right to escalate unresolved issues through the Community Schemes Ombud Service (CSOS)," says Cohen. "But ideally, your Body Corporate should have clear, fair processes to address concerns before they reach that stage."

Before buying, ask the agent or trustees how disputes are typically handled and for a copy of the rules of the complex.  These rules need to be lodged with the deeds office for them to be binding on the members of the body corporate and the residents of the sectional tile complex. 

5. Don't skip the fine print

Last but not least, take the time to read the documentation. All of it.

"Too often, buyers focus on the look and feel of the unit and don't scrutinise the governance documents," Cohen cautions. "You need to read the Conduct Rules, the Management Rules, and any additional rules or policies that apply."

Read through everything and take a look at what restrictions are in place. For example, many sectional titles have rules around pets, renovations, Airbnb-style letting, or how many occupants are allowed per unit. 

Buying into a sectional title scheme can be a smart move, especially in today's property market. Just do it with your eyes wide open. 

"Sectional titles offer real value, but they come with shared responsibility," Cohen concludes. "Be sure to have all the information, ask the right questions, and make sure you understand exactly what you're buying into."

 

29 Jul 2025
Author Leapfrog Property Group
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