The Property Practitioners Act, Act 22 of 2019
This act is intended to replace and repeal the Estate Agency Affairs Act 112 of 1976 and is intended to govern amongst others estate agents.
The Act has been signed by the President in October 2019 and is currently in the process of promulgation.
The Act applies to the marketing, promotion, managing, sale, letting, financing and purchase of immovable property, and to any rights, obligations, interests, duties or powers associated with or relevant to such property.
A significant development is the provision in the Act for Consumer Protection (Chapter 10).
In terms of section 67 a property practitioner may not accept a mandate unless a lessor or seller of the property has provided him with a fully completed and signed mandatory disclosure form and such practitioner must provide a copy of the completed mandatory disclosure form to a prospective lessee or purchaser who intends to make an offer to lease or buy the property.
The mandatory disclosure must be signed by all parties and forms an integral part of the agreement. If such disclosure form is not completed, signed or attached the agreement must be interpreted as if no defects or deficiencies in the property were disclosed to the purchaser.
If a property practitioner fails to obtain a completed mandatory disclosure from the seller or lessor the property practitioner may be held liable by the affected consumer.
Section 68 provides that an agreement to sell, or lease and the mandatory disclosure form must be drafted by the seller or developer for his own account.
In addition, the Authority must publish updated guideline agreements on its website from time to time.
Section 69 states that the Authority must conduct campaigns to educate and inform the general public of their rights in property transactions and property practitioners of their functions, duties and obligations.
Importantly section 69(2) provides that the property practitioner owes a buyer and seller a duty of care. It is noted that no corresponding duty care towards both a lessor and lessee is recorded in the Act.
One of the most significant changes in the Act is the abolishment of the “Voetstoot” clause when buying a property. This is replaced by a “full disclosure” requirement.
The duty of the seller and practitioner is to disclose defects to prospective purchasers when selling immovable property.
The Property Practitioners Act makes the use and application of full disclosure documents compulsory.
The purpose of an Inspection Report is to serve as a record of the condition of the property for the purchaser.
The purchaser will enter into the sales agreement based on the disclosures made by the seller in such a document .
The disclosure document MUST precede the sale agreement in every case.
The Purchaser must be provided with a copy of such document before making an offer to purchase.
If you’ve ever wondered why Property Inspections are critical, here’s what you need to know.
- To better protect home buyers, home sellers, property practitioners and bond originators.
- We provide an outcome for internal dispute resolution during the property transaction.
- Our quality home inspections can reveal critical information about the condition of a home and its fundamental systems.
- Our inspections make all involved, aware of what costs, repairs and maintenance the home may require immediately and in the foreseeable future.
- Our basic safety inspections can detect critical safety issues.
- Our home inspections are a valuable educational resource that can suggest specific tips on how to maintain the home, and ultimately save the owner thousands of Rands in the long term.
- Buying a home is one of the biggest purchases anyone will make, yet a buyer’s first call to action is seldom to check the health of the house before signing.
- Remember, our inspection report is based on International Standards and will add credibility to the value of the property.
During this process we identified the need for a professional, properly qualified and independent inspection service to the industry. This led to the formation of Home Inspection South Africa (Pty) Ltd. The company’s vision is to be the biggest Property Inspection Group in South Africa with a footprint in all the provinces. The company is based on honesty, quality inspections, technical knowledge, customer satisfaction, reliability and value for money. We also strife to develop business opportunities as well as training for previously disadvantaged agents.
Core values of Home Inspection SA
- We are building a national brand
- All our inspectors are Intenachi accredited and qualified
- Building long term relationships with our clients
- Protect the home buyer, seller and Property Practitioner
- Professional service delivery on all levels
- Technical knowledge and detailed reporting with state of the art software
Our accreditations:
To be able to provide this service all our agents are trained and accredited by Internachi which is recognised as the world experts in home inspections in the world with their head quarters in the USA.
Some of the training courses done by the property inspectors include:
The different services that Home Inspection SA provide are the following:
Residential Inspections. (Buying & Selling)
- Our inspection entails a visual inspection of the entire property, including outbuildings (like “lapas”).
- Patent defects are listed on an easy to read report, accompanied by color photographs
- Latent defects may be noted if picked up – example, cracks in a wall may point to foundation issues.
Rental Inspections.
- Our services also covers rental inspections including homes, apartments.
- Move in, move out inspections with the focus on cosmetic defects.
- Inspections could include inventory if requested.
- Inspections are captured on a comprehensive report accompanied by relevant photographic proof.
Maintenance, General Inspections.
- Maintenance and General inspections, including renovation inspections.
- Standalone inspections on a property – (example, a pool inspection, drainage, garden)
- These usually are less expensive.
Snag Lists for new developments.
For more information and to request an inspection please contact:
Home Inspection South Africa (HISA)
Email: info@homeinspectionsa.co.za
Telephone: 086 199 5049