select
|

Property owners beware: DIY sales transactions not as simple as they seem

Although the Institute of Estate Agents of South Africa welcomes competition in the real estate market, it is with some concern that attention is drawn to a recent article in the press regarding the property portal, Call Owner, says Lanice Steward, president of IEASA.
 
There is currently through the Estate Agency Affairs Board an on-going drive to ensure that all agents have a Fidelity Fund Certificate (FFC) and complete their Continual Professional Development (CPD) training, as well as write qualifying examinations.
 
“There is a good reason for this. There could be a perception that buying or selling a property is as easy as buying or selling a bicycle. However, it is a lot more complex than that. Firstly, it is highly likely that the seller will be unable to determine the correct market price of his property and might not achieve as much as he would have had he been given sound advice and price counselling. Secondly, the seller is going to incur additional expenses in the marketing of the property on the well-known portals or newspapers as buyers are unlikely to search on an unknown portal,” said Steward.
 
In addition, there is a reason why there is ever increasing legislation in South Africa to protect consumers (electrical, gas, beetle, electric fences and water certificates) and to comply with international and local legal requirements (FICA and FAIS), to name only a few, said Steward. This is because in most instances it is a property owner’s biggest asset and the buyer is in all likelihood going to require a bond and would need bank approval. One of the roles of the estate agent is to ensure that the seller’s asset is protected until transfer and that the buyer is secure in the knowledge that the seller owns the property, their deposit is protected (deposited into a trust account and either held by the conveyancing attorney or the real estate company), and that they are aware of all the defects and faults in the house.
 
There have been many different companies started over the past number of years to assist the seller in cutting out the agent but none have been successful because of the above reasons.
 
The Institute of Estate Agents would like to urge both buyers and sellers to deal with qualified agents and to ask to see the agent’s FFC as well as their membership of IEASA or any other body representing the industry. Dealing with someone who is qualified to advise and assist goes a long way to ensuring peace of mind in what could be a very stressful time, she said.
 


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 21 Nov 2017
      The buying process is over, and the moving truck has delivered your household goods to your new property. Now it’s time to unpack and turn your new house into a home.
    • 21 Nov 2017
      When an offer to purchase a property is signed by both buyer and seller, this constitutes a binding agreement or “Deed of Sale” between the two parties. However, in most cases the “standard contract” might not be enough to cover all the specifics pertaining to the sale. The agreement may require some additions or alterations to clauses, which needs an expert hand in the drafting of such
    • 21 Nov 2017
      As more and more South Africans look to invest in property abroad, Spain is offering them one of the best deals in global real estate.
    • 20 Nov 2017
      Since 2012, sectional title complexes have been leading the South African property market, not only in terms of price growth, but sales volumes as well. Remaining relatively strong, even in the face of 2017’s political and economic turmoil, experts say this market segment could offer valuable insight into South Africans’ property purchase priorities.
    • 20 Nov 2017
      Regardless of whether you are purchasing your first start-up home, downsizing or moving in with roommates, finding ways to maximise small spaces can be a big advantage, says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
    • 20 Nov 2017
      Property valued at approximately R1 billion is on High Street Auctions’ sales floor during the month of November, including the much-anticipated sale of the Tshwane Mayoral Residence and the land occupied by one of South Africa’s oldest operating gold mines.
    • 17 Nov 2017
      FWJK has announced the launch of its latest residential brand, the Lil’ Apple, which will be launched simultaneously in two developments in Cape Town and Umhlanga totaling 600 apartments. The Lil’ Apple is set to be a brand of FWJK’s New York style apartments which will be rolled out nationally.
    • 17 Nov 2017
      It’s been a tumultuous year on many fronts, with socio-political uncertainty setting the tone for much of South Africa’s economic activity yet despite this and seemingly counter-intuitively, the residential property market has held up well.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK