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Van Deventer Newsletter - February 2022

Posted On: Monday, February 28, 2022

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Van Deventer and Van Deventer


Dear Friends of Van Deventer & Van Deventer,


It’s been an action packed start to 2022!
 
The 1st of February saw the introduction of the new Property Practitioners Act, which is without a doubt the talk of the town, but also looming is the 30 June deadline for Property Practitioners who have held an FFC for more than 2 years.
 
Those that have fall into that category are required to have completed their logbook, NQF4 and PDE4 Exam, or face penalties from the PPRA (previously EAAB)
 
We have just finished a week long “NQF4 crash course” to ensure our valued supporters beat the 30 June deadline, thank you to the more than 80 Property Practitioners that attended both online and in our training center in Rivonia.
 
Giving back to our industry is something I am really passionate about and will continue to do so in 2022. I am going to be taking some time out with my family for a bit in March, but will be back with a bang towards the end of the month.
 
Thank you as always for your loyal support!
 
Best Regards, 
Cor van Deventer 

Cor van Deventer

Cor van Deventer - Director

Arno van Deventer

Arno van Deventer - Director

 
Phoenix Group


Changes to Training of Estate Agents: 

Dear Valued Clients & Friends, 

There’s a lot of speculation around the new Property Practitioners Act and subsequent Regulations from everyone in the industry. The most common questions we get are about training of agents and how this will change under the new regulations. At this stage, the new requirements are very much “up in the air” with additional instructions expected from the PPRA over the course of the year. Note that both LOGBOOK and the NQF4 REAL ESTATE COURSE (as we know it) will be discontinued under the new regulations.
 
These new regulations will not apply to current full status agents or current intern estate agents who had a valid FFC prior to 1 Feb 2022. However, it will take time for the relevant professional bodies to create and implement the new courses. As such, the PPRA may bring in transitional provisions for the phasing in of some or all of the new training requirements under the new Act.
 
In other words, business as usual until further notice!
 
Property Practitioners Regulations - 2022

 
The new registration status levels under the PPRA are as follows:

  1. Candidate Property Practitioner; registered with the PPRA, but can only act with certain restrictions applied;
  2. Non Principal Property Practitioner or Property Practitioner;
  3. Principal Property Practitioner; business owner and/or manager of a property practitioner business.

 The PPRA will require the following for agents to become fully qualified:  

  • Professional Designation Exam (PDE)
    • The PDE can be sat by anyone at any time (technically a prospective agent can now sit the PDE4 prior to registering with the PPRA or an agency)
    • It will be scheduled at least 4 times per year
    • As soon as an agent is registered with the PPRA and acting as a candidate property practitioner, they will have 180 days to sit and pass the PDE4 (where there will be at least two exams during that time)
    • If a candidate property practitioner fails to pass the PDE within the 180-day period they may apply to the PPRA for an additional 180 days on good cause shown
    • Candidates can request for the exam to be written in all official South African languages or taken orally 
  • 6-Module Industry-Specific Practical Course
    • Maximum time of 6 months to complete
    • Course content yet to be developed by leading industry bodies
    • Will need to be reviewed and approved by the PPRA 
  • 6-month Probation period
    • Once a candidate property practitioner passes the PDE4, they have a further 6-month “probation period” where they must still act under supervision of a qualified property practitioner 
  • Continued Professional Development
    • All property practitioners must undergo and meet requirements of continued professional development (CPD) training to maintain their registration;
    • CPD is to be completed on a 3-year rolling cycle with 4 training modules per year
    • PPRA will approve any business or independent training organization providing CPD (each module must be pre-approved by the PPRA)
    • PPRA will charge PPs R1,500 per annum for CPD, unless they enlist the help of an independent training provider, of which they’ll be charged R500 per annum

 As always, the Phoenix/Van Deventers team will review any updates brought out by the PPRA and adapt our training courses to suit the needs of our supporting agents and agencies within the industry. We will endeavor to continue our Logbook, NQF4 Real Estate and PDE4 Prep courses until the new requirements are released, and will adapt these courses as and when required by the PPRA.
 
We look forward to assisting property practitioners with a more streamlined, industry-specific and practical approach to training.
 
Please click this link to register for upcoming training sessions.  

Best Regards,
Hannah van Deventer 

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Van Deventer & Van Deventer Inc. - RESERVE PRICES AND SALE IN EXECUTIONS  


For most people, buying a property is the most important investment they will ever make in their lives. Having a roof over your head is indeed one of the most basic needs for human survival. This is primarily the reason why the right to adequate housing is protected under Section 26 (1) of the Bill of Rights in our Constitution. Section 26 (2) goes on to place an obligation on the State to make reasonable interventions towards the progressive realization of this right. The approach of our courts in relation to housing has, to date, been decisive and important, emanating as far back as the Grootboom case. 

Despite sale in executions being of commercial necessity, the courts have also made important pronouncements towards the protection of the interests of home buyers in the process. We might remember the case of Absa Bank Ltd v Mokebe and Related Cases back in 2018 where the full bench of the South Gauteng division of the High Court held that a reserve price must be set whenever an order for execution is granted against a property which is the primary residence of the debtor, albeit in circumstances where the facts justify such an order. A reserve price in this context is the minimum acceptable amount at which an item can be purchased at an auction. The judgment was aimed at alleviating incidences where properties were sold on auction at unbelievably low prices. The unfortunate consequence of this is that over and above losing a home, the debtor will still bear the burden of settling the outstanding capital debt, interests, legal fees and any other attendant costs under unfair circumstances. 

That being the case, what is the ensuing procedure where the reserve price is not achieved on auction? The South Gauteng High Court recently answered this question in Changing Tides 17 (Proprietary) Limited N.O vs Kubheka, Dumisani Nelson And Another 13719/2016; Changing Tides 17 (Proprietary) Limited N.O vs Mowasa Maletsatsi Augustina And Another 14932/2016; Changing Tides 17 (Proprietary) Limited N.O vs Bucktwar Rishal 14488/2017; Changing Tides 17 (Proprietary) Limited N.O vs Horsley Robert Harry 11647/2019 [Judgment delivered 15 February 2022] where it held that where the reserve price is not achieved, the matter must be dealt with in Court by way of a proper application factoring in the provisions of Rule 46A (9) (c) (d) and (e). The application must seek specific relief and make submissions such as the auction being adequately advertised, reliable evidence of the true value of the property and why the reserve price is considered too high to the extent of it being the sole cause why a higher bid was not achieved. The application must be served on the judgment debtor as well. Rule 46A (9) (d) of the Uniform Rules requires that within five (5) days from the date of the auction, the Sheriff must submit a report to the Court providing the details of the attendees, the highest bid offered as well as the date and time whereat the auction was held. 

The latest judgment goes a long way in protecting the interests of consumers of home loan credit facilities, affording them a chance to prevent the sale of their property at a disadvantageous price. At Van Deventer and Van Deventer Incorporated we have fully acquainted ourselves with the judgment and we stand ready to assist judgment creditors and judgment debtors during the currency of the procedure. 

 

Van Deventer & Van Deventer Inc. - Cape Town  

2022 has started off with a bang. Besides our Logbook for Interns training kicking off in large numbers, there seems to be an overriding positivity in the Cape Town property market.
 
We are currently experiencing a high percentage first time Buyers which is very encouraging. Also, the “semigration” to the Western Cape is continuing unabatedly.
 
Properties are taking 6 to 8 days to register at the Cape Town Deeds Office, which is a massive improvement from where we were a few months ago.
 
The Property Practitioners Act has added some chatter to the industry which is good; stagnation is never a good thing. 

 

Get to know: Thobile Buthelezi,
Conveyancing Assistant

  1. How long have you been employed at Van Deventer’s Inc? From December 2020  
  2. What do you enjoy most about what you do daily at VDVD? Interaction with our clients and explaining the process to them. 
  3. If you could give your past self-advice, what would it be? Dear Thobile books before boy's cause boys bring babies (6 B's) 😊 
  4. How would you explain what you do daily to a 10-year-old child? I wouldn't even try; cause I'm still struggling to explain the same to adults 😊😊 
  5. What is your favorite?
    1. Food - Anything that I can put in my mouth that doesn't have nuts is my favorite 
    2. Drink - I am in for 75 tequilas in a row 😊 
    3. Car - C63 Merc AMG (it must be black) or else I'm taking a Kwid  
    4. Holiday Destination - As long as I'm travelling - I am happy 
  6. Words to live by… “Live your life to the fullest because tomorrow is not promising” 
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