What happens if the owner does not keep up his bond repayments or an intermediary seller does not pay the owner?
Wednesday, February 25th, 2009Here it is up to you to keep an eye on the situation. You already know who owes what from the certificate you were issued at the time of signing the contract so you can check with the bond holders from time to time that payments are being met. The building societies will assist to [...]
What happens if you inadvertantly or intentionally buy property which is not proclaimed, not subdivided, not saleable on sectional title or for any reason cannot be registered in your name by the time your Deed of Sale says you must take transfer?
Wednesday, February 25th, 2009It is illegal to sell land on instalments (that is, property which is paid for in more than two payments over a period exceeding a year) without the explicit specification by the seller in the contract or Deed of Sale of the date or event after which the seller will give transfer to the purchaser. [...]
Building or Adding Contract Pitfalls and Cautious
Wednesday, November 19th, 2008Few satisfactions can come close to matching the sense of pride and achievement that goes with being able to have your own home, or additions to your existing home, built to your own specifications. Taking this reasoning to the ultimate requires going as far as actually building the house yourself. In an age of specialization, [...]
Questions and answers for your Property, Contracts and the law, get actions to avoid the legal Pitfalls part 2
Tuesday, November 4th, 2008Question: What is the difference between freehold and leasehold? Answer: The former effectively means you own a property registered in your name in a Deeds Registry; the latter means you own a lease granting you the rights to the property for a specified period of time and at a specified rental.
Question: Is there any major [...]
Key Glossary of terms for Property Acquisition part 1
Thursday, August 28th, 2008Addendum
A supplementary agreement to an original “Offer to Purchase” covering points agreed to afterwards. It is a separate agreement in its own right and, if it contradicts the original in any way, it is presumed to overrule it.
Agreement of sale (offer to Purchase)
The basic contract of sale and purchase between a willing seller and buyer. [...]
Commercial Property, Get action to implement your Marketing plan
Sunday, June 29th, 2008The marketing plan is implemented by executing all those activities that you decided upon to locate and inform buyers and to create and stimulate a demand for the property.
In order to implement your marketing plan successfully it will be necessary to create an adequate feedback system for the capture and recording of the following information:
Direct [...]
Implement Marketing Sale Plan
Sunday, June 15th, 2008marketing, online-auction, liquidation, property, Quotes, credit, loan, mortgage
Services can be provided by your firm and your method of marketing properties just like what I did continue…
Thursday, June 12th, 2008industrial
If you are the real estate agent, how to assist the Buyer to Obtain the Finance
Friday, June 6th, 2008property, loan, refinance, mortgage, mortagage, debt
Selling Homebuilding Contracts
Monday, March 31st, 2008Much of the content of this post has to do with the sale of so-called “second-hand houses” or the sale of existing housing accommodation.
Many prospective homeowners however have specific needs which they feel cannot be met in the real estate arena and thus turn to a homebuilder to create their “dream home“. Most homebuilders sell [...]
Exchange control
Monday, March 17th, 2008The Financial Rand is a non-resident investment currency derived from:
The local sale proceeds of South African assets owned by persons resident outside the Republic, and
Funds so designated by the Treasury or a person authorized by the Treasury. Financial Rand may only be traded in by a non-resident of the Republic.
Commercial Rand is legal tender used [...]
The Facts about estate agent
Wednesday, March 5th, 2008Briefly, the Estate Agents Act defines an estate agent as any person who holds himself out as a person who, or advertises that he buys and sells or lets and hires immovable property, an interest in immovable property or a business undertaking on behalf of or on the instruction of someone else for gain.
The impact [...]
How to get paid
Wednesday, March 5th, 2008An estate agent should always discuss the payment of commission fully with the principal and should confirm in writing as much detail as possible of any right to commission on a particular transaction, so as to avoid any misunderstanding. In the total absence of any agreement on the amount of the commission, the amount must [...]
Interesting decisions
Wednesday, March 5th, 2008The purchaser’s ability to pay is assessed at the moment of the signing of the contract. The fact that financial misfortune subsequently diminishes or destroys the ability to pay is irrelevant.
A contract subject to a resolutive condition is binding on signature by the parties and the agent is entitled to commission.
A contract which can be [...]
For what period of time should a sole authority contract extend?
Monday, March 3rd, 2008Many sellers unfortunately—frequently aided and abetted by some estate agents—believe that their property is worth far more than its fair market value. Common sense, consequently, dictates that it is useless to take on a property under a Sole Authority contract for a short period when:
there is no urgent commitment to sell;
a comparative market analysis (CMA) [...]
Using Standard Building Contracts part 2
Sunday, March 2nd, 20084. JBCC Principal agreement
Two model agreements are issued, one with bills of quantities and one without bills of quantities, the so-called lump sum agreement. In the domestic market, the lump sum agreement is more popular. The material difference between the two agreements is the method of measurement. One includes a bill of quantities, which is [...]
Using Standard Building Contracts part 1
Sunday, March 2nd, 2008A building contract is an agreement between two parties. The one party, usually referred to as the contractor, agrees to erect a building. The other party, usually referred to as the employer (Afr. bouheer), agrees to pay for the building. In theory, quite simple—in practice, often a frustrating exercise. The two contracting parties are the [...]
The Matrimonial Property Act part 3
Saturday, March 1st, 2008The accrual system
The basis of the accrual system is the principle that spouses should share that which is acquired by their combined effort during their marriage.
It is important, from an estate agent’s point of view, to understand the accrual system. Every marriage entered into since November 1, 1984, in terms of an Antenuptial Contract [...]
Housing Development Schemes for Retired Persons Part 3
Friday, February 29th, 2008Saleof housing interests in schemes not yet completed
The Housing Development Schemes for Retired Persons Act does not prohibit the sale of housing interests in schemes which have not yet been completed. In principle, therefore, housing interests can be sold ‘off the plans’. However, if a scheme is based on sectional titles and the building has [...]
Working with a Buyer’s Agent
Tuesday, February 12th, 2008Find a real estate agent with whom you are comfortable and work with him or her in an exclusive buyer agreement. That way your agent can work in your best interests. It is far better to have a single, dedicated person working for you than a poorly-motivated group, no matter how many are in it [...]
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