Property news & articles

Evicting a bad tenant is still possible, it is just far more complex than before.

It doesn't come as much of a surprise to hear that Oscar Pistorius has put his home in Silver Woods Country Estate on the market. Regardless of what really happened on the fateful night when he killed Reeva Steenkamp, it was always unlikely that he would return to live in the property. Aside from the obvious emotional issues, there are legal fees to be paid. Oscar has retained a small army of lawyers including a senior advocate. Legal expertise of this calibre doesn't come cheap and it has been estimated that the representation is costing him in the region of R100 000 a day. The killing of a beautiful young woman by a physically challenged sporting hero has made headline news around the world and the fact that the crime took place in a palatial home in a secure estate has fuelled that interest. It stands to reason that this is one property that could never be marketed in the normal way. Accordingly, the property is being auctioned under a sole mandate and, although the agent has refused to confirm how many bids it has so far attracted, you can bet your bottom dollar that it will garner a great deal of interest. Notorious properties always do. The curiosity factor Some people, while having no intention of buying the home, would do anything to get inside to see for themselves where the deed took place. But in all likelihood the person who does end up buying the home will do so not because a murder took place there, but because they truly like the property. At this stage it is impossible to tell whether or not the property will attract a higher bid simply because of the added interest, but the fact that a horrendous crime was committed and a young person lost her life in one of its bathrooms could severely hamper the selling price. Equally interesting is how the crime will impact the selling price when the home is resold in the future. Sadly life does go on and the property is going to come back onto the market at some stage. In this instance it’s unlikely that anyone is going to forget what took place here. If the agent forgets to mention the fact to a future potential buyer, neighbours will be sure in bring in up in conversation. Disclosure is imperative Unfortunately, the same cannot be said with every property where a violent crime has taken place. No one likes to admit that the property they are trying to sell is associated with something unpleasant. But the important thing to remember is that buyers have every right to know that something untoward has happened in a home, regardless of the timeframe. The courts back this up and in one case (Dibley vs Furter 1951) cancelled the sale when the new owners discovered that there was a graveyard on the property. There was nothing untoward about this as at some stage, permission had been granted for the burials to have taken place. However, the seller had ploughed the land and had not disclosed the fact that there were people buried on the property. In this case the judge found for the buyer stating that the majority of people would not want to live on the property or own it, and thus Dibley had every right to cancel the sale. While this may be an extreme case, it does highlight that sellers have to disclose every aspect that could sway a buying decision and this includes discussing tragic events that have taken place in a home.

Most people dream about living at an exclusive address in one of South Africa’s most sought after suburbs. While property experts will often advise that the most important consideration when buying a property is the location, prospective buyers should get ready to cough up for a property in an affluent suburb.

Due to a number of reasons, including heightened security, affordability and a more communal way of life, sectional title living has been growing in popularity over the last decade or so. However, as popular as it may be, sectional title ownership remains highly misunderstood in terms of ownership responsibilities and legalities, explains Adrian Goslett, CEO of RE/MAX of Southern Africa.

For FREE downloadable CPA-compliant lease agreements, click here. For CPA-compliant sale agreements, click here. Instalment 1 The CEO of HIGH FLYERS PROPERTY yells at his in-house legal advisor JACK – Jack! What do you mean you don’t know whether the Consumer Protection Act (CPA) (which commenced on 1 April 2011) applies to our 20 000 lease agreements that we had running when the CPA started? JACK turns pale – MR. CEO I will have to contact our lawyers to find out the answer! One of the pivotal provisions of the CPA which appears presently to be, applicable to lease agreements is: Section 14 - Expiry and Renewal of Fixed Agreements Section 14 - Notably for landlords entitles a consumer to cancel an agreement by giving the supplier 20 business days notice. The supplier in this case is entitled to impose a reasonable cancellation penalty. Section 14 - Moreover obligates the supplier between 40 and 80 days before the end of the agreement to notify the consumer of the impending expiry of the agreement and of any material changes that will apply if the agreement is renewed. Section 14 - Significantly also provides that on expiry of the fixed term of the agreement, the agreement continues on a month to month basis. Section 14 is unquestionably applicable to agreements (which fall within the ambit of the Act) which were concluded after the commencement of the CPA being 1 April 2011. The question being posed above is - What happens if the agreement was concluded before the commencement of the CPA being before 1 April 2011. Are the provisions of the CPA applicable to such an agreement? To answer this question one need merely refer to the Transitional Provisions which appear at the end of the CPA and which provide in summary for the following: If the agreement was concluded before 1 April 2011 then certain parts of Section 14 are applicable to the agreement but only if the agreement provides for a fixed term which will expire on or after 1 April 2013 (2 years after the commencement of the CPA). Therefore if the agreement provides for a fixed term which will expire on or after 1 April 2013 then the designated sections of Section 14 of the CPA will be applicable to such agreement. Jack boldly thumps on MR CEO’s door. Vindicated, he announces: MR CEO I have the answer to your question. Here take a copy. It should make for some great reading in the golf cart this afternoon…. Instalment 2 The CEO rejuvenated after his stint on the golf course again probes Jack - So now that you’ve innovated printing attorneys articles off the internet and since you have 200 lease agreements piled on your desk to wrap up, what other sections of the Consumer Protection Act (the CPA) (which commenced on 1 April 2011) are applicable to lease agreements? Jack attempting to evade the question finally retorts – Hmmmm, I have actually almost concluded my synopsis on these Sections. Can I pop in, in a moment to brief you on them? Hours later Jack bursts in and spurts out – in his own words, the contents of an article he had memorized just moments before from the private property website. Well MR CEO, yesterday we conversed on Section 14 of the CPA. I’m positive I don’t have to recap all of that legal jargon about a consumer being entitled to cancel an agreement with 20 business days notice and the supplier being entitled to impose a reasonable penalty. The next section I think you should know about is Section 22 of the CPA which prescribes that a document must be in plain language meaning that the class of person to whom the document is intended, with average literacy skills and minimal experience as a consumer could be expected to understand the content, significance and import thereof. In terms of Section 22 - This means that the context, comprehensiveness, consistency, organisation, form and style, vocabulary, usage and sentence structure and any examples and headings need to comply with these plain language requirements. I therefore recommend that we revise our lease agreement and ensure that the full contents thereof appear in plain language as we may be obliged to do in terms of Section 22 of the CPA. Jack explains to MR CEO that he has had a sudden memory lapse - Would it be satisfactory if I addressed you on the next applicable section of the CPA after my next dose of caffeine? It is, after all, tea time. Instalment 3 On his caffeine high Jack confidently knocks on MR CEO’s door - MR CEO I am now ready to discuss the next applicable section of The Consumer Protection Act (THE CPA). MR CEO SQUELCHES BACK - You better be, in 1 hour I jet off to our new development on Lake Boomerang. Jack takes off immediately… Section 48 of the CPA states that - a supplier may not enter into an agreement in respect of any services at a price that is unfair, unreasonable or unjust or on terms that are unfair, unreasonable or unjust. The Section further states that - a supplier may not require a consumer to whom services are supp

The past couple of years had everyone running scared when it came to buying and selling property, but the good news is that real estate is strengthening right across the board.