Updates: Details

As from 1 July it was required that we lodge a rates certificate with our documents in the Deeds Office when we attend to a Sectional Title transfer. Purchasers need to be aware that they will be required to pay rates for six months and that these will be part of the disbursements on our proforma accounts. We also wish to bring to your attention the following consequences to Estate Agents of this:- 1. In a Lease Agreement provision is normally made for an increase in rental where there has been an increase in the levy to be paid. This clause must now be amended to provide for an increase in the Municipal Rates owing in respect of the Section. 2. In a Sale Agreement provision is usually made for levies to be paid by the Purchaser from date of occupation of the property. This clause will need to be amended to provide for payment of the Municipal rates as well.

Written by: Bruce Forrest