The newly signed Property Practitioner's Act is expected to have a major impact on the selling and leasing of property in South Africa.
The act, which is set to replace the 43-year-old Estate Agency Affairs Act, introduces a barrage of changes to the property industry.
Legal expert Robert Krautkramer says the act will broaden the scope of who qualifies as a property practitioner, to include bond originators and bridging companies.
The new laws will also see the existing Estate Agencies Affairs Board replaced by a new governing body known as the Board of Authority.
Krautkramer, the director at legal firm Miltons Matsemela, explains the implications of the act on the property sector.
The existing Estate Agency Affairs Act only deals with estate agents and anybody that trades as an estate agent - that's buying or selling, leasing or renting of property.— Robert Krautkramer, Director - Miltons Matsemela
Now, we've seen an introduction for the first time of mortgage bond originators, in other words, people that assist purchasers in applying for loans at the bank.— Robert Krautkramer, Director - Miltons Matsemela
We've seen the inclusion of bridging companies.— Robert Krautkramer, Director - Miltons Matsemela
The act says that anybody who acts as an intermediary in the closing of a deal of a property or business is also going to be a property practitioner.— Robert Krautkramer, Director - Miltons Matsemela
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This article first appeared on CapeTalk : How South Africa's new property laws will change the real estate industry