You find the house of your dreams, agree on the price and get ready to put pen to paper. The house is in the name of a company, and you are offered a choice – either buy the house out of the company or take over the company (which owns the house and nothing else) by buying the shares and thus avoid the delay and cost of a normal property transfer and registration in the Deeds Office…
Never before in our country’s history, have we seen a concerted effort in the property industry as we did, during levels 5 and 4 of lockdown, for estate agents; attorneys; sellers and purchasers to find “alternative methods” to sign sale agreements for land, when they had no access to printers and could not meet face to face as we are all accustomed to…
Spring is just a month away and already the temperature is starting to warm up across the country. After a winter hibernation, there is nothing more energising than dusting off the cobwebs, letting in the sunshine and refreshing your home…
The Wills Act sets out clear requirements for the drafting of a valid Will, including that it must have a signature or mark of the testator and must be witnessed. However, what happens if the wishes of the deceased are seemingly clear but the document does not otherwise meet the requirements of a valid Will?…
Buyers, sellers, and renters often overlook many blind spots before signing on the dotted line – and end up making poor and costly decisions.
Remedies in case of a breach of contract What remedies does a party to a deed of sale have if the other party fails to fulfil his or her contractual obligations?
Two of the fundamental elements of the South African Law of Contract is offer and acceptance. In other words, for a legally binding contract to come into existence, there must be a valid offer and there must be a valid acceptance of such an offer…
In terms of the Alienation of Land Act, fixed property can only be sold by way of a written agreement between a seller and a purchaser. The act was some time ago amended to afford purchasers a “cooling-off” right.
The prudent business person is one who, prior to establishing or acquiring a business or company, gives thorough consideration to the vehicle which is most suited from a financial and legal perspective, in which to house that business…
One of the most common clauses that can be found in a contact is the so-called domicilium citandi et executandi clause. This clause, simply put, provides the addresses of the parties to the agreement, where they consent to service notices and pleadings in relation to that agreement…
Buying a property with a partner, friend, or relative can be a good way to take the first step on the property ladder or start an investment journey…
Fractional Ownership based on the ownership of undivided shares in a property as opposed to shares in a company or member’s interest in a CC
Knowing how to find and fix leaks on your property will prevent wastage and excessive usage which could lead to notice or warning letters from your municipality…
South African bargain hunters are spoilt for choice when it comes to real estate. Not only are interest rates low and ordinary stock availability high, but there are also record numbers of distressed sales taking place…
An installment sale agreement is an agreement of sale of land as defined in terms of the Alienation of Land Act, 1981 used or intended to be used mainly for residential purposes and in terms of a contract as defined in terms of the Alienation of Land Act, 1981 in terms of which the purchase price is paid to the seller by way of more than 2 (two) installments over a period of longer than 1 (one) year but no more than 5 (five) years.
Trying to decide whether to buy an existing home or to build is tough. An existing home will probably come with a landscaped garden, services installed, and all fitting decisions already made. If the Deeds Office does its thing, the transfer should be a relatively quick process from the moment your offer to purchase is accepted. But there are benefits in other approaches too…
We now look at the particular provisions which are suggested within such a joint ownership agreement…
Just how enforceable is an Agreement? When two or more parties agree about something, they must respect the agreement, irrespective of what happens.
When you find a home you want to buy, the next step is usually to make a written Offer to Purchase (OTP) which the agent will then present to the seller to accept, reject or make a counter-offer.
“And it is very important to understand that when an offer is accepted and signed by the seller, it immediately becomes a legal contract that is binding on both parties”…
Up until 01 November 1984, if you were married out of community of property, it meant that on divorce, whatever was yours was yours and his was his – irrespective what each one contributed to the marriage, whether financially or otherwise…
Cohabitating versus legal marriage and property…
Cohabiting before marriage and even opting not to go the legal marriage route is commonplace these days and many cohabiting partners are looking to purchase property together, often as first time buyers…
The purpose of notarial authentication of documents is the principle of authenticity. This means that the Notary’s role is to confirm the identity of the parties signing the agreement in his/her presence or to perform reasonable checks to establish that the agreement is authentic and what it purports to be…
Many lease agreements contain a clause granting the tenant an option to renew the lease after the expiry of the initial term. The clause will usually specify that the tenant may, before the contract term ends, exercise his/her option and in so doing renew the agreement for a further period…
If you’re buying or selling property, it’s important to know about your rights regarding patent and latent defects…
Homeowners in community housing schemes such as sectional title complexes and gated estates can celebrate the newly gazetted change to the Electricity Generation Act regulations which now allows private individuals and businesses to generate up to 100MW of electricity for their own use without having to obtain a license from the National Electricity Regulator…
Estate Agency Affairs Board [EAAB] PURCHASERS COOLING OFF RIGHT:[Under the Consumer Protection Act [CPA] relating to Properties with a Purchase Price up to and including R 250 000.00 …
The current market conditions makes a case for buying a real estate franchise vs running your own property business…
Once your local municipality has approved the building plans and you have completed the renovation, alteration, addition or extension to your home in accordance with such building plans in the required timeframe, it is imperative that you, or your project manager, make contact in writing with the municipality, to request the issue of a Certificate of Occupancy…
Anybody who has ever rented out a property is likely to have many stories about “tenant troubles”, for both the tenant and the landlord, and a mutually beneficial arrangement often starts with ensuring that both parties are clear on the terms set out in the rental agreement…
Low interest rates have created an attractive environment for property buyers, but first-time buyers must beware the potential pitfalls in an offer to purchase…
A large number of homeowners in South Africa are looking to sell their homes as quickly as possible – either to get out of a financial squeeze or because they urgently want to relocate to another town or city…
In many instances, perhaps over-eager bidders who are awarded opportunities to work with the government often fall short in their claims when not paid. The practical scenario is that an opportunity arises and the bidder enters a bid or engages in discussions. Seemingly these are successful, and then work starts before the service-level agreement is signed…
The corporate veil is a legal principle that separates the identity of a company from that of its members and protects the members from being held personally liable for the company’s obligations and debts…
A contract is a document signed by two or more parties and gives rise to rights and duties. The terms and conditions stipulated within a contract determine the parties’ obligations towards each other…
Proof of home ownership, the title deeds to your new home, are very important documents. But who keeps them and what happens if they need to be changed?…
In respect of immovable property, it is important to note that the divorce order merely records that the party/parties are entitled to a full or half share in the immovable property. Thereafter, transfer of the applicable share in terms of the divorce order, must be registered by a conveyancer in the office of the Registrar of Deeds…
What you should consider before signing your name on the dotted line…
Buying or selling property is one of the most exciting experiences for most people. However, one should take care not to sign an offer to purchase without fully understanding the implications of all the provisions contained in the agreement…
Once an offer to purchase has been signed by the purchaser and seller of immovable property, a conveyancing attorney must be appointed to attend to the registration of the property into the purchaser’s name…
During the past two years, the courts and the Companies and Intellectual Property Commission have seen a significant increase in the number of business rescue applications…
A very common suspensive clause in property sale agreements, where the buyer cannot pay the purchase price in cash, is the “bond clause” making the sale subject to the buyer obtaining a “bond approval” from a financial institution (usually a bank)…
There are certain authentication requirements that apply to documents which are signed abroad but are intended for (legal) use in South Africa. These include many of the documents required for transfer of ownership of property…
The wave of publicity that accompanied South Africa’s widely-praised Consumer Protection Act has in some cases led buyers (consumers) to believe that they are afforded a blanket protection covering every commercial transaction in which they are involved…
The ’72 hour clause’ (or ‘continued marketing clause’) is somewhat of an enigma for a first time buyer or seller and we therefore explain here how it works. It is important to consider the exact wording of the ’72 hour clause in each and every sale agreement…
Section 7(1) and (2) of the Recognition of Customary Marriages Act (RCMA), 1998 (Act 120 of 1998) discriminated unfairly against women in customary marriages, but were declared constitutionally invalid and have now been brought in line with the judgment of the Constitutional Court in 2017.
Most property owners are familiar with the basic concept of zoning; that it determines the purpose which a property can be used. However, many are not aware that there are numerous sub-categories which can offer savvy investors potentially lucrative investment opportunities…