Our prime objective is to develop long-term strategies whereby it will no longer be necessary to lodge objections or appeals against General Valuation and / or Supplementary Valuation Rolls.
It is our vision to stabilise the abnormal rate hikes that property owners have experienced since the introduction of the Municipal Property Rates Act.
Our considered opinion is that the Act, Act 6 of 2004, is a good Act founded on established principles used in first-world countries.
The problem, however, is that the implementation as well as the interpretation of the Act by certain municipalities has resulted in total chaos to the ratepayer.
Rate increases have been disproportionate, and many property owners have been adversely affected by these increases. Delays in obtaining reasons from the Municipal Valuer, Appeal Hearings, and delayed implementation of Municipal Valuer and Appeal Board decisions have resulted in backdating of rates accounts often to the detriment of the property owner.
Additionally, there are time delays in implementing these changes on the Municipal Accounts. Tenants, in general, want to see the adjusted account before they contribute their share of increases.
The Rates Watch Maintenance Plan
Rates Watch specialises in all municipal valuation and rating matters. Our services include:
- Creation of a property register/asset register.
- Valuation audit
- Valuation objecti
- Obtaining reasons from the Municipal Valuer.
- Valuation appeal
- Attendance at Valuation Appeal Heari
- Valuation monitori
- Checking of Supplementary Valuation Rolls.
- Auditing of municipal rates account
- Strategic planning regarding future municipal valuations and rates payable on development project
- Monitoring of Annual Rates Polici
- Monitoring of Annual Tariff Polici
Tenant Goodwill
The concept of the property owner advising their tenants that an independent company has been appointed by them to monitor Municipal Rates and Valuations.
It is our considered opinion that this will generate a feeling of trust and confidence from the tenants.
Future Acquisitions
It is suggested that as a matter of policy, the property owner request Rates Watch to provide a Municipal Valuation Audit and verification on all properties acquired.
Where properties have been substantially undervalued, there is a distinct possibility that the municipality will correct this by way of a Section 78 Application, using the purchase price as the basis of their revised municipal valuation.
The effect of this is that the property owner will pay the price for the substantially incorrect Municipal Valuation. The seller would have received the benefit of the incorrect rates and taxes, which will now become the property owner’s problem.
Our predicted Municipal Valuation could be used to negotiate the purchase price based on a substantial rates adjustment.