Monday, July 27, 2015

City of Cape Town cautions against illegal house sales

Loyiso Langeni
27 July 2015

The City of Cape Town has cautioned residents to be vigilant when buying RDP houses, as there are restrictions on the sale of these houses especially within the first few years following the acquisition of the property by beneficiaries.

Mayoral Committee Member for Human Settlements Benedicta van Minnen said illegal sales are unfortunately happening outside of the official Deeds Office process of transfer and registration of title.

In accordance with the National Housing Act, the sale of an RDP house is forbidden for eight years after the beneficiary has acquired the house, unless the Western Cape Government has approved the sale.

Van Minnen added that this is happening without the City or the relevant authority being involved.

“Every so often we receive heartbreaking reports of a buyer who has paid money for an RDP house which it turns out may not be sold as it is in the prohibited period. Properties that are outside of the eight-year pre-emptive restriction period can be sold or advertised for selling legally.” Van Minnen said.

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