Understanding Homeowners Associations (HOAs)
If you are considering buying a property in a housing development, it’s essential to understand what a Homeowners Association (HOA) is and how it operates. HOAs are legal entities responsible for managing and regulating housing development schemes. Although homeowners own their individual properties, the HOA maintains and oversees communal infrastructure, such as roads, security systems, […]
Who Owns Your Home—the Bank, or You?
With the vast majority of homes being financed through the country’s biggest banks, the popular online debate around who owns a mortgaged home in South Africa continues. While some would argue that the bank owns your home, the truth lies in two salient points: The authority that you elect to take on as soon as […]
Tenant ‘Red Flags’ and How to Avoid Them
The wrong tenant can have a lasting negative effect. The residential property industry continues its upward trajectory, and investors are getting in on the action. However, with the rise of investors choosing to take advantage of low prices and invest in ‘buy-to-let’ properties comes an excess supply of rental properties in areas with high supply […]
Navigating the real estate market: Tips for buyers
Understanding the real estate market is crucial when buying or selling a property. The market’s current favour, whether for buyers or sellers, significantly impacts your decisions and strategies. Buyers’ market: When the real estate market leans towards buyers, it signifies that there’s an abundance of properties available for sale compared to the number of active buyers […]
Complex Living: Be Aware of the Hidden Costs
When considering the purchase of a unit within a complex, it’s crucial to look beyond the surface-level expenses such as the advertised levies. Without thorough research, potential buyers may find themselves facing unexpected financial burdens. The structure of sectional title schemes In sectional title schemes, you own your unit but share ownership of the property’s […]
Understanding Mortgage Bond Cancellation: Key Steps and Considerations
In South Africa, the process of cancelling a mortgage bond is commonly necessitated when a property is sold or the bond is fully paid off. This procedure is intricate, consisting of several critical steps: Step 1: Notice of cancellation Initially, the property owner must submit a notice of intent to cancel the bond to the […]
Factors to consider before negotiating your home loan’s interest rate
As interest rates continue to rise, many homeowners find themselves contemplating the idea of fixing their home loan interest rates. Initially, when the interest rate hike began after the historically low rates experienced in 2020, experts advised against fixing rates. However, the landscape has evolved since then, and the decision to fix your interest rate […]
Should sellers provide approved building plans when selling property?
The simple answer is no. However, the National Building Regulations and Building Standards Act mandates that local authorities approve building plans for the construction, alteration, or conversion of a building. Consequently, if approved plans are absent, the property owner would be committing a statutory offence. Once signed by both parties, an offer to purchase becomes […]
Selling a property with defects: What you need to know
The purchaser signs an agreement of sale with the seller. The property is transferred into the purchaser’s name. A month later, there is heavy rainfall and they realise that the roof is leaking. Is the seller liable to repair the roof or the purchaser, as the new owner? To understand which party is liable, one […]