General FAQ Guide

Not sure what a real estate term means? We cover the most used terms and what you need to know with our regularly updated frequently asked questions.

1. Does my area get enough sun for solar power system??

Yes, South Africa receives abundant sunlight throughout the year, making it an ideal location for the deployment of solar power. The country has an average of more than 2,500 hours of sunshine annually, with some regions receiving as much as 3,000 hours per year. Additionally, the country’s high levels of solar radiation make it one of the most attractive locations globally for solar power generation.

South Africa has been actively promoting the use of renewable energy, including solar power, through various initiatives and policies.

Overall, South Africa’s climate and geography make it an excellent location for solar power, and the country has the potential to become a leader in this field.

 

2. Will solar panels work on a older roof?

  • Yes, solar panels can be installed on an older roof, but it’s essential to ensure that the roof is structurally sound and in good condition before installation.

    Before installing solar panels on an older roof, a professional contractor should assess the roof’s condition and determine if any repairs or maintenance are necessary. The roof should be able to support the weight of the solar panels and withstand the added stress from wind and weather.

    If the roof needs repairs or maintenance, it’s recommended to complete those tasks before installing solar panels to avoid any issues with the installation or the long-term performance of the panels. Additionally, the type of roofing material used may affect the installation process, so it’s important to consider this when planning for solar panel installation.

2. Will solar panels work on a older roof?

– Yes, solar panels can be installed on an older roof, but it’s essential to ensure that the roof is structurally sound and in good condition before installation.

Before installing solar panels on an older roof, a professional contractor should assess the roof’s condition and determine if any repairs or maintenance are necessary. The roof should be able to support the weight of the solar panels and withstand the added stress from wind and weather.

If the roof needs repairs or maintenance, it’s recommended to complete those tasks before installing solar panels to avoid any issues with the installation or the long-term performance of the panels. Additionally, the type of roofing material used may affect the installation process, so it’s important to consider this when planning for solar panel installation.

3. Do I need batteries for my solar system at home?

– It depends on your energy needs and goals. A solar panel system without battery storage will generate electricity during the day, and any excess energy may be sent back to the grid. In the evening or when there is no sunlight, you will need to rely on grid electricity to power your home.

If you’re interested in becoming more energy-independent and reducing your reliance on the grid, then adding battery storage to your solar panel system can be a good option. With battery storage, any excess energy generated during the day can be stored for use in the evening or when there is no sunlight, allowing you to use more of the electricity you generate and further reduce your dependence on the grid. Battery storage can also provide backup power during power outages and load-shedding.

However, it’s important to note that adding battery storage to a solar panel system can increase the initial installation cost. The cost of batteries and their installation can be significant, and it’s important to weigh the potential benefits against the added cost before making a decision. Additionally, not all solar panel systems are compatible with battery storage, so it’s important to consult with a professional solar installer to determine if your system is suitable for battery storage.

4. What is the typical size of a residential solar panel system?

The size of a residential solar panel system can vary depending on factors such as the homeowner’s energy needs, the available roof space, and the amount of sunlight the property receives. A typical residential solar panel system can range from 3kW to 10kW.

5. How much does a residential solar system cost?

The cost of a residential solar panel system can also vary depending on factors such as the size of the system, the quality of the equipment, and the cost of installation. However, the cost has been decreasing in recent years due to technology advancements and market competition.

6. How long does it take to install a residential solar panel system?

 – The installation time can vary depending on the size of the system, the complexity of the installation, and the weather conditions. On average, a residential solar panel system can be installed within one to three days.

7. How can I check if a property practitioner is registered with the PPRA?

– You can check if a property practitioner is registered with the Property Practitioners Regulatory Authority (PPRA) in South Africa by following these steps:

 Visit the PPRA website .

• Click on the “Search for a Property Practitioner” link on the homepage.

• Enter the name or registration number of the property practitioner you wish to search for in the search box.

• Click on the “Search” button.

The search results will display the registration status, registration number, and contact details of the property practitioner if they are registered with the PPRA.

8. What is the difference between grid-tied and hybrid solar systems?

Grid-tied solar systems

A grid-tied solar system consists of a solar system only. This will offer savings on your monthly utility bill but not benefit you during load-shedding. You will still be connected to the grid.

Smart Hybrid systems

This fully integrated smart energy system includes a UPS (battery system) along with your solar system. You can enjoy monthly savings and be protected during load shedding.

 

9. What is private property?

– Private property refers to a type of ownership in which an individual or entity, such as a person, family, corporation, or legal organization, has exclusive rights to possess, use, transfer, and dispose of an asset or resources. In the context of real estate, private property typically includes land, buildings, and other immovable assets such as a house, apartment, or commercial space.

The concept of private property is based on the idea that individuals can have legal ownership and control over their possessions, allowing them to make decisions about the use and management of these assets. This is in contrast to public property, which is owned and managed by government entities for the benefit of the general public.

Private property rights are protected by the legal system, and these rights can be enforced through legal means if necessary. The specifics of private property laws and regulations vary from country to country and are often determined by factors such as local customs, cultural norms, and the prevailing economic system.

In general, private property owners have the following rights:

Possession: The right to occupy and use the property as they see fit, within the boundaries of applicable laws and regulations.

Exclusion: The right to prevent others from entering or using the property without permission.

Transfer: The right to sell, lease, or give away the property to another party.

Profit: The right to derive income or other benefits from the property, such as rent or appreciation in value.

Understanding the concept of private property is essential when navigating the real estate market, whether you’re looking to buy, sell, or lease property. It’s crucial to be aware of local laws and regulations governing private property rights and to work with a knowledgeable real estate professional who can guide you through the process.

 

10. What is the difference between a buyers and sellers market?

A buyers market is a market in which there is a surplus of available homes for sale, giving buyers more options and bargaining power. In a buyers market, prices are typically lower and there is less competition among buyers for available properties.

In contrast, a sellers market is a market in which there is a shortage of available homes for sale, giving sellers more leverage in negotiations and a higher chance of selling their home at a higher price. In a sellers market, prices are typically higher and there is more competition among buyers for available properties.

In general, the housing market is considered to be a sellers market when there is a low inventory of homes for sale, and a buyers market when there is a high inventory of homes for sale.

11. What is the difference between a buyers and sellers market?

– A buyers market is a market in which there is a surplus of available homes for sale, giving buyers more options and bargaining power. In a buyers market, prices are typically lower and there is less competition among buyers for available properties.

In contrast, a sellers market is a market in which there is a shortage of available homes for sale, giving sellers more leverage in negotiations and a higher chance of selling their home at a higher price. In a sellers market, prices are typically higher and there is more competition among buyers for available properties.

In general, the housing market is considered to be a sellers market when there is a low inventory of homes for sale, and a buyers market when there is a high inventory of homes for sale.

 

12. What is private property?

Private property refers to a type of ownership in which an individual or entity, such as a person, family, corporation, or legal organization, has exclusive rights to possess, use, transfer, and dispose of an asset or resources. In the context of real estate, private property typically includes land, buildings, and other immovable assets such as a house, apartment, or commercial space.

The concept of private property is based on the idea that individuals can have legal ownership and control over their possessions, allowing them to make decisions about the use and management of these assets. This is in contrast to public property, which is owned and managed by government entities for the benefit of the general public.

Private property rights are protected by the legal system, and these rights can be enforced through legal means if necessary. The specifics of private property laws and regulations vary from country to country and are often determined by factors such as local customs, cultural norms, and the prevailing economic system.

In general, private property owners have the following rights:

Possession: The right to occupy and use the property as they see fit, within the boundaries of applicable laws and regulations.

Exclusion: The right to prevent others from entering or using the property without permission.

Transfer: The right to sell, lease, or give away the property to another party.

Profit: The right to derive income or other benefits from the property, such as rent or appreciation in value.

Understanding the concept of private property is essential when navigating the real estate market, whether you’re looking to buy, sell, or lease property. It’s crucial to be aware of local laws and regulations governing private property rights and to work with a knowledgeable real estate professional who can guide you through the process.

13. What is the difference between a buyers and sellers market?

– A buyers market is a market in which there is a surplus of available homes for sale, giving buyers more options and bargaining power. In a buyers market, prices are typically lower and there is less competition among buyers for available properties.

In contrast, a sellers market is a market in which there is a shortage of available homes for sale, giving sellers more leverage in negotiations and a higher chance of selling their home at a higher price. In a sellers market, prices are typically higher and there is more competition among buyers for available properties.

In general, the housing market is considered to be a sellers market when there is a low inventory of homes for sale, and a buyers market when there is a high inventory of homes for sale.

 

14. What is kerb appeal?

Kerb appeal refers to the qualities of a home that makes it attractive to a buyer when it is first seen on the street – that first impression it makes on a potential buyer.

15. What is overcapitalisation?

– Overcapitalisation is a situation where you make renovations or additions to a property that ensures your property’s value extends well beyond what buyers would pay to live in your suburb.

How to avoid overcapitalisation

One of the first and best things to do is to talk to your local real estate agent. They know the local market, and understand what will effectively add value. For example, there could be strong demand for homes with two living areas, necessitating a bedroom renovation rather than focusing on, say, a landscaping project.

Also conduct market research on your suburb and neighbouring areas, to avoid overcapitalising beyond what buyers generally pay.

 

16. What are municipal rates?

– If you are buying a freestanding property you will be charged monthly for municipal rates and taxes.

This charge covers the services provided by your local municipality such as sewerage facilities, roads maintenance, street light maintenance and refuse collection.

 

17. Who is the NHBRC?

– The National Home Builders Registration Council (NHBRC) is a regulatory body of the home building industry.

It was established in 1998 in accordance with the provisions of the Housing Consumers Protection Measures Act, 1998 (Act No. 95 of 1998).

Their mandate is to protect the interests of housing consumers and to ensure that builders comply with the prescribed building industry standards as contained in the Home Building Manual.

Any person who is involved in the business of building homes is required by law to register with them and failure to do so constitutes a criminal offence punishable by law. The NHBRC certifies builders who meet the prescribed industry standards criteria in terms of technical competence, construction experience and financial capability.

The Act also requires all new homes to be enrolled with the NHBRC at least 15 days prior to construction. Enrolling your home building project with the NHBRC protects you against poor building practices. Their building quality inspectors will inspect the construction of your home to ensure that it is not exposed to structural failure.

 

18. What is an estate agent?

A real estate agent is a certified professional that not only helps sellers and buyers throughout property transactions, they are also able to manage rental properties on behalf of landlords.

Real estate agents usually are compensated completely by a commission—a percentage of the property’s purchase price—so their income depends on their ability to close a deal.

In order for a real estate agent to legally work in South Africa, they need to have a valid Fidelity Fund Certificate that is issued on a yearly basis by the Estate Agency’s Affairs Board.

20. What is a floor plan?

A floor plan is a drawing or visual rendering of a house from above. It is mainly used to show the layout of a house and showcase key elements of the house like doors, windows, and stairs.

They are therefore useful for:

 

  • Presenting the overall house layout with the walls and partitions.
  • Understanding the project with the room articulation.
  • Giving detailed information about each room area and dimensions.

 

Types of floorplans

With advances in technology, floorplans can now either be done in the traditional 2D format or the more advanced 3D format.

The 2D floor plan is a flat representation of the home layout without perspective, showing technical information and measurements of the spaces. With a 3D perspective, it is much easier for the clients to read as it is usually fully-furnished and decorated. It can also include the deck and garden design. It is the most appealing and efficient way to showcase a home project in order to sell it.

21. What is a property liquidation?

– Property liquidation happens when real property is seized either through estate liquidation or bankruptcy proceedings.

In most property liquidations, all assets in the home are cataloged, priced and sold in an effort to get the most money to fulfill remaining debts along with the actual real estate property.

 

22. What is a levy?

If you are buying a sectional title property such as a property in a complex or a flat, you will be charged levies.

These are the costs involved in running the complex, and include municipal rates and taxes, limited building insurance coverage, as well as repairs and maintenance.

Levies should be placed into two separate funds, namely an administrative fund and a reserve fund (every Scheme should have both of these funds in place). The funds, collected through levies that are placed in the administrative fund, are intended for the day-to-day administration of the Scheme. The funds, collected through levies and which are placed in the reserve fund, are intended to be used for future maintenance requirements of the Scheme.

In addition, it must be noted that Schemes may raise special levies in order to cover unforeseen, but necessary, costs that cannot be delayed.

Find out what the difference is between rates & taxes and levies

Defaulting on levy payments

Levies are dealt with in terms of the Sectional Titles Scheme Management Act (“STSMA”). Section 3(1)(c) of the STSMA, provides:

“A body corporate must perform the functions entrusted to it by or under this Act or the rules, and such functions include requiring the owners, whenever necessary, to make contributions to such funds.”

When a member fails, refuses or neglects to pay levies to the Body Corporate, a Body Corporate may invoke means to collect the levies owed to it.

In addition to the STSMA, the Prescribed Management Rules (“PMR”) make mention of payment of levies/contributions by members. According to PMR 20, one of the sanctions a member can face for their inability to pay levies is that such member will be precluded from voting on ordinary resolutions.

There are two main methods of collecting arrear levies from non-paying members, namely: –

 

  • Community Scheme Ombud Services (CSOS) process; and
  • Ordinary Courts process
23. What is a cadastral?
  • Cadastral surveying is that branch of surveying which is concerned with the survey and demarcation of land for the purpose of defining parcels of land for registration in a land registry.

    Cadastral surveying in South Africa is undertaken exclusively by or under the control of professional land surveyors, and in this article the terms professional land surveyor, land surveyor, and cadastral surveyor are synonymous. First of all cadastral surveying is used to define the land to be granted. Later, should the owner then wish to sell off part of that land, the cadastral surveyor is again called to partition the land to be sold.

    Furthermore, the services of the cadastral surveyor is required whenever a boundary beacon must be found or replaced. Once the positions of the boundaries have been marked and recorded, the cadastral surveyor and the conveyancer work together to record ownership in a public register. This action ensures that the rights of the owner can be upheld against false claims and that all persons may know who owns what.

24. Who is the EAAB?

– The Estate Agency Affairs Board (EAAB) regulates the estate agency profession by ensuring that all persons carrying out the activities of an estate agent as a service to the public are registered with the EAAB. The EAAB has been replaced by the Property Practitioners Regulatory Authority (PPRA) which regulates the affairs of all property practitioners; allowing for transformation in the property sector and ensuring consumer protection against undesirable practices and conduct of property practitioners.

A Fidelity Fund Certificate, which is to be renewed each year is issued as evidence of such registration and confirmation that such person is legally entitled to carry out the activities of an estate agent.

25. What is a municipal valuation?

– Muncipal value is determined by local authorities by making a periodical survey of all buildings in their jurisdiction. Such valuation helps in charging municipal tax.

The municipal valuation is a value ascribed to your property by the Valuations Department at the municipality. It is determined based on a number of factors and the precise value is calculated according to formulae determined by the municipality’s Valuations Policy and the Local Government: Municipal Property Rates Act 6 of 2004. The municipal value is not necessarily equivalent to market value, but according to law, it should be.

The Municipal Property Rates Act is national legislation that has been introduced in order to provide nationwide uniformity, simplicity, and certainty as well as to take into account the historical imbalances and rates burden on the poor.

What is a valuation roll?

A valuation roll is a database in which the municipality stores the municipal valuations of all properties recorded on that particular roll. Every property in every municipality should be on a roll, but because properties are continuously coming into existence and ceasing to exist, new rolls are created – these are referred to as supplementary rolls – to include any properties that have not been previously recorded on another, prior, general roll.

Each general roll is re-published once every few years (4 or 5 depending on the municipality), and the property values (and categorisations) are updated at the same time. Depending on a number of factors, your property value may have stayed the same, or increased, or decreased, from the value contained on the last roll. Your categorisation may or may not have changed.

If you have received notice that your property is on a roll that is soon to be published, you should determine immediately whether you are satisfied with the municipal valuation and categorisation accorded to your property. If you are not, you will have to object.

Even if you have not yet received notice that your property is on a roll that is soon to be published, it is a good idea to determine which roll your property is listed on, and when it will be re-published in the future. This will give you an idea as to when you should be receiving notice of your revised property valuation so that you are armed with the relevant information to determine your revised value and if necessary, you have sufficient time to object. Not receiving notice does not absolve a property owner from the responsibility for inspecting the roll and objecting on time.

How to object municipal valuations

If you are of the opinion that your municipal property value is higher than the market value, you can lodge an objection with the municipality, giving your reasons. The municipality will then assess your objection, and notify you of the outcome. If the municipality finds that your objection is valid, it will revalue your property in line with your objection. If it finds that your objection is not valid, it will advise you and your property valuation will remain unchanged. You must file the objection in the prescribed time period. Most municipalities will not accept late objections.

26. What is an estate agent fidelity fund certificate (FFC)?

– In terms of the Estate Agency Affairs Act (112 of 1976), every estate agent and estate agency firm must obtain a Fidelity Fund Certificate (FFC) from the Property Practitioners Regulatory Authority (PPRA). It’s illegal to operate as an estate agent unless the PPRA has issued you with an FFC for the current calendar year. It’s also illegal to claim commission if you didn’t have a valid FFC at the time you rendered the services to the client.

This applies not only to agents who sell residential property, but also to letting agents, commercial and industrial property brokers, agricultural property agents, business brokers, and agents who “exhibit” properties which are for sale or to let (e.g. ‘showhouse sitters’).

You can check the validity of an agent’s FFC on the PPRA website.

5. How much does a residential solar system cost?

The cost of a residential solar panel system can also vary depending on factors such as the size of the system, the quality of the equipment, and the cost of installation. However, the cost has been decreasing in recent years due to technology advancements and market competition.

6. How long does it take to install a residential solar panel system?

 – The installation time can vary depending on the size of the system, the complexity of the installation, and the weather conditions. On average, a residential solar panel system can be installed within one to three days.

7. How can I check if a property practitioner is registered with the PPRA?

– You can check if a property practitioner is registered with the Property Practitioners Regulatory Authority (PPRA) in South Africa by following these steps:

 Visit the PPRA website .

• Click on the “Search for a Property Practitioner” link on the homepage.

• Enter the name or registration number of the property practitioner you wish to search for in the search box.

• Click on the “Search” button.

The search results will display the registration status, registration number, and contact details of the property practitioner if they are registered with the PPRA.

8. What is the difference between grid-tied and hybrid solar systems?

Grid-tied solar systems

A grid-tied solar system consists of a solar system only. This will offer savings on your monthly utility bill but not benefit you during load-shedding. You will still be connected to the grid.

Smart Hybrid systems

This fully integrated smart energy system includes a UPS (battery system) along with your solar system. You can enjoy monthly savings and be protected during load shedding.

 

9. What is private property?

– Private property refers to a type of ownership in which an individual or entity, such as a person, family, corporation, or legal organization, has exclusive rights to possess, use, transfer, and dispose of an asset or resources. In the context of real estate, private property typically includes land, buildings, and other immovable assets such as a house, apartment, or commercial space.

The concept of private property is based on the idea that individuals can have legal ownership and control over their possessions, allowing them to make decisions about the use and management of these assets. This is in contrast to public property, which is owned and managed by government entities for the benefit of the general public.

Private property rights are protected by the legal system, and these rights can be enforced through legal means if necessary. The specifics of private property laws and regulations vary from country to country and are often determined by factors such as local customs, cultural norms, and the prevailing economic system.

In general, private property owners have the following rights:

Possession: The right to occupy and use the property as they see fit, within the boundaries of applicable laws and regulations.

Exclusion: The right to prevent others from entering or using the property without permission.

Transfer: The right to sell, lease, or give away the property to another party.

Profit: The right to derive income or other benefits from the property, such as rent or appreciation in value.

Understanding the concept of private property is essential when navigating the real estate market, whether you’re looking to buy, sell, or lease property. It’s crucial to be aware of local laws and regulations governing private property rights and to work with a knowledgeable real estate professional who can guide you through the process.

 

10. What is the difference between a buyers and sellers market?

A buyers market is a market in which there is a surplus of available homes for sale, giving buyers more options and bargaining power. In a buyers market, prices are typically lower and there is less competition among buyers for available properties.

In contrast, a sellers market is a market in which there is a shortage of available homes for sale, giving sellers more leverage in negotiations and a higher chance of selling their home at a higher price. In a sellers market, prices are typically higher and there is more competition among buyers for available properties.

In general, the housing market is considered to be a sellers market when there is a low inventory of homes for sale, and a buyers market when there is a high inventory of homes for sale.

33. What is a CMA?

– A CMA or comparative market analysis is used by real estate agents to determine the market value of a property.

How is a CMA done

This is done by comparing it to similar properties that have recently sold, and properties that are currently listed for sale in the area.

An experienced real estate agent will do a walkthrough and take into consideration all factors affecting the condition of a home.

Factors that are incorporated in a CMA

 

  • Average price per square metre in the area
  • Recent sale prices of similar homes
  • Comparative prices of other properties still on the market
  • Transfer history
  • Most recent comparable sales in the surrounding area
  • Details of your property
  • Expired Property Listings and Properties that failed to sell
  • Properties that are withdrawn from the market

 

Why you need a CMA

 

  • Correctly pricing your home to sell quickly
  • As a buyer you can make sure you are paying market value for a home in an area you are not familiar with
  • As a home owner you can use it to make sure your renovations are not over-capitalising your property.

 

34. Why should I use a real estate agent?

Buying or selling a property can become a complex transaction without the right expertise and knowledge – this is where the professional services delivered by a knowledgeable real estate agent becomes invaluable.

Here are the reasons why you should use a real estate agent:

 

  • They have local property market knowledge
  • They can take care of complicated paperwork
  • They can use their knowledge to help you price your property correctly
  • They can take care of marketing a property on all the right platforms – which can be expensive for private sellers
  • They have a network of buyers and sellers that they could market to directly
  • Agents have to be registered with the Estate Agency Affairs Board which means that they have to be honest and transparent throughout the transaction – this means they have to be upfront about any issues with the property, put their client’s needs first and be honest in the advertising of the property
  • They can negotiate reductions or repairs to help close a deal
  • Agents know the law and can help you avoid costly mistakes
  • They can help you get a home loan.

 

35. How does the transfer process work?

– The basic steps of how the transfer process works are:

OTP and home loan application

The first step in the process happens when the buyer signs an offer to purchase (OTP) and applies for a home loan. In South Africa, digital signatures are not yet accepted, and these documents will need to be signed in ink. Once the buyer has been approved for the home loan, the seller’s real estate agent sends the sale agreement to the transferring attorney. The seller usually appoints the transfer attorneys (who normally come recommended by the seller’s real estate professional).

Bond registration process for the buyer

If the buyer is purchasing the property with aid of a bond, then a bond attorney will be appointed as well. The bond financier will appoint the buyers bond attorney, who will contact the buyer once they have received the instruction to attend to the registration of the bond. At this point in the process, the buyer will need to sign bond registration documents with the bond attorney. The bond attorneys will provide the buyer with a statement of accounts for the registration of the bond.

Note: The bond process and the transfer process run concurrently and independently. So, at the same time, the attorneys are doing their respective processes to help both the buyer and the seller complete their necessary steps.

Transfer costs

The buyer will have to pay transfer costs, which includes transfer duty if it is payable. Transfer duty is tax buyers pay to SARS over and above the purchase price based on the value of the property (visit the SARS website to find a full breakdown of these costs). In the initial stages of the transfer process, you will receive a proforma account with the estimated costs until the actual costs are available. These costs may vary as a portion of the costs are determined by the registration date. Costs that will be on the pro forma account include property transfer costs, deeds office fees, post and petties, FICA, and other fees. You can get an online estimated calculation of these costs beforehand by visiting the BetterBond website. The proforma statement will be provided to the buyer when they meet with the transfer attorney to sign their transfer documents.

Acquiring a Rates Clearance Certificate

The transferring attorney will also need to request a Rates Clearance Certificate, which is proof that all the outstanding debt on the property’s rates and taxes has been paid, from the local authority. This is necessary because the transfer of a property can only take place once these costs have been settled and the certificate has been issued. The seller may need to pay a few months rates in advance to obtain the certificate. The Rates Clearance Certificate is valid for 60 days.

Cancelling the seller’s existing home loan

If the seller has an existing bond, which is usually the case, the attorney will need to contact the seller’s bank and request the original title deed and cancellation figures. The cancellation figures consist of the outstanding home loan balance, one month’s instalment, monthly service fees, early termination charges, and other figures, which vary depending on personal circumstances. The cancellation attorney, who is appointed by the existing bondholder (i.e. the bank through which you took out your home loan), will then acquire the title deed so that the next step in the transfer process can take place.

Signing the required documentation

The buyer and seller will both be required to meet the transfer attorney to sign their respective transfer documents, as explained above. If the buyer is taking out a bond, then he/she will be required to meet the bond attorney to sign the bond registration documents. When meeting either of these attorneys, it is imperative to bring the necessary FICA compliant documentation to the consultation. These documents include proof of address (not older than three months), your original identity document, income tax number and marriage certificate if applicable.

Registration at the Deeds Office process

Once all the paperwork is signed and payments have been made, the cancellation, transfer and bond attorney work together to ensure that all the documents are lodged simultaneously at the Deeds Office. In the Deeds Office, there are three levels of examination that the documents must go through before transfer of the property, cancellation of the existing bond and registration of the new bond can be registered. This process usually takes 10 to 15 working days. Once the documents have gone through all three levels of examination successfully, the attorneys will receive notification that the process can continue to registration. Once registered, the buyer will finally be the owner of the home and the seller will be paid the net proceeds. The transferring attorney will send the original title deed to the buyer’s bank. If, however, the buyer doesn’t have a bond, the title deed will be sent directly to the buyer.

36. What happens to the electricity account after registration?

If electricity is supplied by Eskom

If electricity is provided by Eskom, the seller must call Eskom’s call centre to close the account. In addition to this, the purchaser must call the call centre to open the electricity account in their own name.

If electricity is provided by the city

If electricity is provided by the Council, such as the local municipality, the sellers and purchasers can utilise a third party service provider, at an extra nominal fee, to have the council accounts closed and opened. If sellers or purchasers have opted to close and open these accounts on their own, without utilising these services, they will be provided with the necessary documents to assist with this process to open and close their accounts.

 

37. What is a home inspection?

– A home inspection is an inspection of the condition of a home, usually done before the sale of a home.

Home inspections are usually conducted by a home inspector who has the training and certifications to perform such inspections.

Here is more on why you should get a home inspection done before you list

 

38. What is fractional ownership?

– Fractional ownership is shared ownership and shared usage of an asset such as property.

In real estate fractional ownership often relates to a leisure property which is purchased by a group of shareholders. Shareholders thus own the property together and usage and all costs are shares in relation to percentage shareholding. Usage of the property is usually allocated to the shareholders (owners) by means of an ownership usage roster and running costs are divided amongst the shareholders.

A buyer physically acquires a percentage shareholding in a company, usually a private company that owns the property. You receive a share certificate and the ownership form allows you the use of the property on a certain number of allocated weeks depending on your shareholding. In most cases fractional ownership opportunities provide for a 13th shareholding in the relevant property, thus allowing 4 weeks usage per annum, on a rotational basis.

 

39. What are fixtures and fittings?

– Anything that forms a permanent part of the property is deemed to be a fixture and is therefore included in the sale. This includes

 

  • doors (and their keys), windows,
  • built-in cupboards,
  • wall-to-wall carpets and
  • bar/kitchen counters (and the stools that go with them),
  • as well as plants and shrubs in the garden.

 

The seller may not remove them when he leaves, unless it is clearly stipulated in the Sale Agreement that he will do so.

Light fittings are considered fixtures, but a seller may wish to take a chandelier that he bought for the house. However, he needs to specify this in the Sale Agreement, excluding it from the sale, and he ought to replace it with another light fitting, though this can be negotiated.

40. What does energy efficient mean?

In the simplest terms, energy efficiency means that you are using less energy to do the same task – for example, using a regular incandescent lightbulb requires more energy to generate the same amount of light than an LED lightbulb.

Not only does using energy-efficient technology cause less strain on the environment it also helps you save money by using less energy, without sacrificing quality or comfort.

How to be energy efficient at home

Switching your outdated geyser for a solar geyser or exchanging your regular lightbulbs for LED’s is an easy place to start. If possible, check the energy star ratings on newer appliances to see how energy efficient they are.

Regular home maintenance will also contribute to a more energy-efficient household. For example, a home that has proper insulation will require less heating during the winter months – which means lower energy consumption. Creating natural drafts throughout your home with open windows and doors at strategic points throughout the day will mean less aircon usage during the day.

What is a building inspector?

– A building inspector may be certified either as a residential or commercial building inspector, as a plumbing, electrical or mechanical inspector, or other specialty-focused inspectors who may inspect structures at different stages of completion.

They are usually certified in one or more disciplines qualifying them to make a professional judgment about whether a building meets building code requirements.

The National Association of Building Inspectors of South Africa (NABISA) – is a Voluntary Association (VA) of South African professional building inspectors.

NABISA Building Inspectors must:

• Avoid conflicts of interest, or activities, that compromise, or appear to compromise the building inspector’s independence or objectivity.

 

  • Not inspect for compensation, any building or property in which the building inspector has, or expects to have a direct or indirect financial interest,
  • Not receive financial compensation, directly or indirectly, for any repair, replacement, or upgrade of any systems or components carried out on the inspected property within one year after the inspection.
  • Act in utmost good faith toward each client and towards all other interested parties when carrying out the work of building inspector.
  • Perform services and express opinions based on the inspector’s genuine personal conviction and only express opinions within the building inspector’s personal areas of education, training and experience.
  • Be objective in his/her reporting and not knowingly understate or overstate the significance of reported conditions.
  • Avoid any behaviour which may harm the public, or discredit NABISA, or the building inspection profession, or reduce public confidence in the profession of building inspection.
  • Ensure that advertising, marketing, and promotion of the building inspector’s services or qualifications shall not be fraudulent, false or deceptive.
  • Report without delay any suspected substantive and deliberate violations of this Code of Conduct by any member of NABISA, of which the building inspector becomes aware, to the NABISA Board of Directors.

Start Your Loan Application

For your own convenience, We have made it easy for you to start you application with just a click of the button. 

Tholulwazi Info HuB

Contact Info

OFFICE HOURS

Mon-Fri
08:00  to 17:00

Sat
08:00 to 13:00

Sunday and Public Holiday Closed

Address:
Fairbreeze Office No 23,

Princess Magogo,Ulundi,3838

Email:
info@tholulwazicapital.co.za

Contact:
T: +27 87 821 3154
C: +27 73 888 9399

Tholulwazi Capital is a registered credit provider NCRCP13761