Home Loan : First Time Buyer

[WAslayer]

Current value is more or less on par with what im paying for the place, which is 160k more than what current owner paid for it..

 

[StrontiumDog]

Current value is more or less on par with what im paying for the place, which is 160k more than what current owner paid for it..

If you're shy about telling us the value then just say so... Because the info you've given without context is useless.

 

[Salt]

No, but our lawyer would not proceed with transfer for a property we sold until he/she had the 3 x COC. It's law... and if they transferred the property into your name without the COCs that is seriously dodge.

The delay with the COCs for our property delayed the transfer by a few days.

Find some transferring attorneys and they should tell you the same.

Thanks!

 

[Salt]

There is now a fight on about the broken gas oven...already had Bosch out who confirmed the oven is broken and the parts obsolete so the oven needs to be replaced. Our agent has informed the seller and his agent of such and the seller replied saying he won't be replacing it. It was also never declared. I am holding the estate agency (both seller and we used the same agency) and the seller responsible. What do you guys think I stand to do? Does the lawyers no also have a responsibility here? I am going to call the law society today about that outstanding COC.

 

[StrontiumDog]

^ Why are there two estate agents involved? Sorry if I missed the reason.

If it's a gas oven and it's broken that is some serious contravention of some and such law seeing as a COC for gas would need to ensure gas related stuff is safe & working, I think?

 

[Salt]

The lawyer just emailed me and said its not their responsibility to obtain these COC's. I've called the law society now. Any ideas on responsibility for the oven? I'll ask the law society on that as well after 14:00

 

[StrontiumDog]

It might not be their responsibility but they are not allowed to transfer without having them in their possession, AFAIK.

 

[Salt]

According to them in an email just now they can - he says the COC has nothing to do with the deeds office or registration process. This is so unpleasant

 

[Napalm2880]

According to them in an email just now they can - he says the COC has nothing to do with the deeds office or registration process. This is so unpleasant

That's ridiculous. If the COCs are in the Offer to Purchase document then the transfer attorney needs to make sure all conditions have been complied with before they can lodge the transfer. Surely?

 

[SauRoNZA]

very nice info on the government property valuation site.. will keep that in mind with my next purchase..

the property im buying is listed there, which states the market value as at 1st july 2012 was only 10k more than what the current owner paid.. so there was a 190k jump from what he paid to what he was asking now, in around 3 or 4 years.. he did some upgrades, probably around the line of 30k to 40k..

Remember the government valuation is a very loose calculation based on number of rooms in the area etc.

It doesn't take finishes into account etc.

Also 190k really isn't all that amazing in 4 years, especially not on a properly over a million.

 

[Salt]

Seller just emailed and confirmed he is getting competitive quotes and will have the work done to issue a COC for the fence. The fence at least works. Now to get him to replace the broken oven he sold me...

 

[StrontiumDog]

Why do you need a COC for a fence?? This sounds very bizarre

Let us know what the law society comes back with

 

[thehuman]

Why do you need a COC for a fence?? This sounds very bizarre

Let us know what the law society comes back with

Im sure electric fence need Coc

 

[StrontiumDog]

Im sure electric fence need Coc

OK, but you don't just certify the fence. What use is that? You certify all the electrical stuff.

 

[thehuman]

OK, but you don't just certify the fence. What use is that? You certify all the electrical stuff.

Something about safety
Earth spike every x meters

 

[Salt]

OK - so you need a CoC for electrical, electric fence - separate from house electrical but can be done by same person just seperate Coc's and one for the gas.

 

[me_]

The lawyer just emailed me and said its not their responsibility to obtain these COC's. I've called the law society now. Any ideas on responsibility for the oven? I'll ask the law society on that as well after 14:00

I've been doing some reading on this and have found out a lot I didn't know before. It seems there is an argument for the attorneys not to check the CoCs. The Electrical Regulations and the Gas Regulations put the responsibility squarely on the seller.
In Cape Town, there is a bylaw for a Plumbing certificate (not a full CoC, but a limited one) that must be available for transfer. As these are usually issued by the same people, if you were to get the Plumbing certificate, you'd probably get all the others at the same time.

The estate agents should have standard clauses in the offer to purchase to make the CoCs a requirement for transfer. Here's an example:

RECOMMENDED CLAUSE FOR SALE AGREEMENT
The Seller undertakes to, at the Seller’s expense obtain, from an accredited person, a Certificate of Conformity
confirming that any gas installations on the Property comply with section 17(3) of Government Notice R734 of 15 July
2009, Government Gazette 32395. The Certificate shall be delivered to the Purchaser prior to the date of occupation
or within five (5) days of demand for delivery.
The parties agree that the Certificate of Conformity certifies that any gas installation on the Property complies with
the safety standards as determined by the relevant legislation and is not to be regarded as a general guarantee
covering all aspects of any gas installation present on the Property. The Purchaser shall have no further claims
against the seller with regard to any gas installation on the Property

I checked my last 2 offer to purchases and these clauses existed for all possible certificates. Without these, the conveyancing attorneys can effect transfer without the certificates.

Does your OTP have similar clauses? - if not, you should probably advise the estate agents that they should start including such clauses

 

[Kosmik]

As far as I'm aware it's mandatory for COC's. In KZN, the deeds office will not allow a transfer without them as far as I know. The article below quotes the regulations:

http://www.privateproperty.co.za/advice/property/articles/certificates-of-compliance/3218
http://www.fouriestott.co.za/compliance-certificates/

The second article states that only the main electrical COC and Gas is legally required. Electric fence and water are not.

 

[modern10]

Bump