The importance of a disclosure form when purchasing immovable property

02 Mar 2023

A seller’s property disclosure form requires a seller to disclose any known defects or problems with the property, such as leaks, cracks, or electrical faults. This form also covers issues related to zoning, land use, and environmental concerns, ensuring that buyers are aware of any potential risks or liabilities associated with the property.

The National Building Regulations and Buildings Standards Act 103 of 1977 also requires that sellers provide a compliance certificate for any alterations or additions to the property that were made after 1985. This certificate confirms that the alterations were done in accordance with the applicable building regulations and standards, and helps protect buyers from potential liability for non-compliance.

Another important form is the Homeowners’ Association (HOA) disclosure form. This form is required for properties that are part of a managed community or development. It provides information on the rules and regulations of the HOA, as well as any fees or assessments that the buyer may be responsible for. This can include anything from monthly maintenance fees to special assessments for repairs or improvements.

In addition to these mandatory disclosure forms, buyers and sellers can also use other forms to ensure that all necessary information is disclosed. For example, a property inspection report can be commissioned by either the buyer or the seller and can be used to identify any defects or issues with the property that may not be immediately apparent.

Conclusion

Overall, the importance of disclosure forms when buying property in South Africa cannot be overstated. By providing important information upfront, these forms help buyers make informed decisions and protect themselves from potential legal and financial issues down the line. Whether you are a first-time buyer or a seasoned investor, it is important to review all disclosure forms carefully and seek the advice of a qualified professional if you have any questions or concerns.

See also:

• When can a buyer claim damages for a leaking roof?
• Cancellation of a property sale agreement. What are the implications?
• Building or renovating? Take note of the new property laws
• Property law changes expected

(This article is provided for informational purposes only and not for the purpose of providing legal advice. For more information on the topic, please contact the author/s or the relevant provider.)