Yes, absolutely it can. Again, I speak from experience. I spoke about Heather and Tom in another article. You see as pensioners they are living off their life savings. They sold their property in Douglasdale for a stunning price even if I say so myself to buy a unit in a Retirement Village. But when I recommended the electrician of my choice (Riaan) to get the Electrical Compliance Certificate or ECC done I did it because it’s a required action to ensure a successful property transfer. And I recommended Riaan because his price is competitive and his quality of work good. But Heather and Tom found another contractor that came in at half the price for less work to get the property to the same standard. Warning bells were going off in my head. But it was their choice.
What is the right standard?
I could do my best to tell you what and how, but I can’t. I am not an electrician. What I do know is that the required standard is the required standard. Electricity distribution within the property must meet a required standard. Lights and wall plugs must ALL work. All globes should work. Wiring should be to a required safety standard. And the standard is high to ensure safety. Failing that, the required standard is not met, and the property may be unsafe. And all importantly, the property will not transfer. I wonder how many properties have transferred where a man like John has made a quick buck and where properties do not meet the required standard and may, quite possibly be unsafe at best.
So, what happened that created delays
At the start of the sales process, I did my part by confirming that a qualified electrician would be required to perform the Electrical Compliance Certificate or ECC. I recommended a contractor I work with often because:
- Riaan, in this case, delivers good quality work, in fact, superb work for a very reasonable price.
- The hourly rate that Riaan charges is competitive, and his work never has come-backs.
- But Heather and Tom opted for a small guy called John who considered the work required in a freestanding home that had been lived in for 37 years to require work to the tune of R7,400 all in.
- Riaan on the other hand quoted almost R25,000 to get the property to the required level of compliance given the age of the property and work done over the years by a ‘friend’ for a good price.
- I am never in a position to argue. And my sellers have the right to choose their own contractor.
- So, I went along with it. But we lost almost 10 days on the transfer. Folks 10 days is a lot and it messes everything up. “Goedkoop is duurkoop”.
But then
Between my sellers and my buyers to cut a long story short, the buyers took early occupation of their dream home. Only to find that the lights at the bottom of the garden did not work. The lights kept tripping and the extractor fan was a problem because it kept tripping the power. You see folks, if your buyers’ rights are not protected, we have a big problem on our hands. And the transfer of a property stops dead in its tracks.
I am sorry, I know….
In the interest of all parties, this was a total disaster. John, Heather, and Tom’s contractor phoned to apologise to me. I mentioned he had wasted everyone’s time and that he had in fact robbed Heather and Tom of hard-earned savings. John and I will not cross paths again, ever! I also pointed out that in no way shape or form did the property comply with required standards. I was livid. This man, John made a quick buck from a couple that could not afford it and the house was still a problem to our buyers who were becoming less excited by the minute.
To make matters worse
Heather and Tom stated that the solar geyser was in working order. It was not. That then cost a further R35,000 to repair and now you are adding new parts to an old structure. I was asked if the Voetstoets clause was relevant, and my answer was a resounding NO! You see folks I love legislation. I love that the intent of the legislation is to make things right. And if it’s wrong it needs to be fixed and made right. The Property Practitioners Bill or PPB as it’s known to us protects buyers and sellers by introducing a Property Declaration and Property Condition Report. A slim document of 3 pages but very very powerful indeed. You see you cannot submit a sales transaction anymore without this document. This property condition report protects all consumers under the law. And what makes this document so powerful is that it is submitted with the offer and is therefore legally binding. So, if you say you have no illegal wiring on the property and you say the Solar Geyser is working, it better work. Your buyers have recourse. And when you lay it all out and declare the faults on your property for what they are, but up front, you can call Voetstoets. But if you say everything is in working order and it’s not, as a seller you will be held liable for the repairs.
What was the outcome?
Well with a big transaction halted, the only way to get the sale back on track was to make it right. We got the electrician, Riaan in again to requote and make repairs of around R20,000. Our buyer, Jonathan got his own plumber in to get the Solar Geyser into working order at a cost of just over R30,000. And I agreed with the attorneys to pay these invoices with the proceeds of the sale. This means Heather and Tom who were at their limit with savings were able to authorise the changes and make payment from the proceeds of the sale. Both contractors agreed and it is quite common to do this, but many folks never think about it.
Working with buyers and sellers
Every single interaction you have as a KW Select estate agent is important. Buyers often need assistance when it comes to buying their dream home. Navigating these legal conditions when you put in an offer to purchase and timeously too, is critical. Our KW Select estate agents get more training on this than you can imagine, not just the old hats but the newbies too. Every single time a mandate or permission to market is signed, an estate agent should always include a signature on the Seller Declaration and Property Condition Report. You see this report is signed by both the buyers and the sellers and is legally binding. And this document protects all the parties, be that buyers that buy a home where sellers never declared certain problems. And this document protects sellers because when you declare warts and all on your property you are selling it as-is and the declaration is there to support the current challenges. I can tell you now, that Jonathan our buyer needed help. And Jonathan needed an agent who knew how to navigate these challenges and protect their rights.
Estate Agents – want to know more about KW?
Keller Williams (USA) is a top real estate brand to work for. If you are an estate agent and want to know a little more drop me an e-mail. If you would like to leverage world-class technology to the benefit of all our stakeholders across the value chain and end up with a win-win every time, then let’s touch base. Also, read what makes Keller Williams the best!
Get in touch
So, if you need a valuation done on a property anywhere in Randburg or elsewhere in Jhb, we can help. Give us a call on telephone number (064) 549-3123. Alternatively, drop us an e-mail at kwselect@kwsa.co.za. We have a vast network of almost 1,500 top Keller Williams agents at our fingertips who are all just dying for the opportunity to partner with you to sell and conclude your property transaction in record time.
If you want to view all the Keller Williams properties across the country, click on our website to start the search for your dream home. Need help getting a pre-approved homeloan, it’s free and our strategic partners will find you the best rate over 20 years! And finally, if you are thinking of putting your property on the market and need a free property valuation, click here!
