The Disclosure Form - Used when selling your Property

by Monique Ackerman • 2 MIN • 324 Words

Under the Property Practitioners Act 22 of 2019 (PPA), which became effective on February 1, 2022, property practitioners are mandated to ensure that property sellers complete and sign disclosure forms before they authorize the sale of a property.

These disclosure forms oblige sellers to reveal any known defects or issues with the property, ranging from leaks to electrical faults, as well as issues related to zoning, land use, and environmental concerns.

The primary objective is to ensure that potential buyers are fully informed about any risks or obligations associated with the property. Failure to provide the disclosure form implies that no defects or deficiencies on the property were disclosed to potential buyers.

According to Section 67 of the Act, property practitioners are prohibited from accepting a mandate without this form. If a property practitioner proceeds without attaching this form to the sale or lease agreement, they may be held accountable by buyers if defects emerge later on.

Furthermore, in compliance with the National Building Regulations and Buildings Standards Act 103 of 1977, sellers must furnish a compliance certificate for any alterations or additions made to the property after 1985. This certificate confirms that the alterations meet the required building regulations and standards, shielding buyers from potential legal issues.

Additionally, for properties within communities managed by homeowners’ associations, a Homeowners’ Association (HOA) disclosure form is essential. This form outlines the HOA's rules, regulations, and any associated fees or assessments, such as monthly maintenance fees or special repairs.

Buyers and sellers can also take proactive measures to ensure full disclosure of a property's condition. This may involve commissioning professional property inspection reports to uncover any hidden defects or issues.

Ultimately, disclosure forms serve to empower buyers in making well-informed decisions while safeguarding them from future legal and financial complications. Whether you're a first-time buyer or an experienced investor, carefully reviewing these forms is crucial. Seek advice from qualified professionals if you have any doubts or queries.

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