When you have the plans , check them against all structures
Plans in hand , check that all the buildings and structures actually on the property tie in with the municipal approvals and plans . It ’ s not uncommon to find plans are outdated or inaccurate . Sometimes regulations have changed , sometimes owners chance their luck or have just overlooked the need to keep plans updated as renovations and extensions take place . And whilst the municipality may accept “ minor ” deviations from plans , you should be sure of what is acceptable and what isn ’ t before you take transfer . First prize here of course is updated “ as-built ” plans showing the construction as it exists after completion – you ’ ll probably need them anyway if you do renovations down the line .
Sellers – why should you have the plans ready to offer them to the buyer ?
The other side of the coin of course is that as a seller , even though you aren ’ t legally required to do so , it makes a lot of sense to have on hand copies of all building approvals and plans before you sell :
• As a sales tactic you can now reassure prospective buyers that all structures are lawfully constructed .
• You will avoid delay if the bank granting the buyer a mortgage bond decides it wants copies of plans as part of its approval process . That ’ s exactly what happened in the High Court case discussed above , delaying transfer substantially .
• You will also be reassuring yourself that all necessary approvals and plans were in fact obtained at the time of construction . If it turns out for example that you or a previous owner inadvertently dropped the ball in that regard , a disaffected buyer will try to pin all the blame on you . You might even be accused of fraudulently concealing a lack of plans – in which event the standard “ voetstoots ” (“ as is ”) clause won ’ t protect you . There ’ s no risk of any of that if you have the actual plans on hand from the start .
• In any event the “ Mandatory Disclosure Form ” that you must attach to the sale agreement specifically requires you to certify that the necessary consents , permissions and permits were obtained for any additions / improvements etc . Attaching the actual approvals and plans is the best way to cover you in the event of any dispute down the line .
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12 REI MAGAZINE AUGUST