FEATURE ARTICLE
FEATURE ARTICLE
Sweeping Changes for the
Real Estate Industry
A Look At the Property Practitioners ’ Bill
BY KEVIN MULLINS
The long-awaited Property Practitioners ’ Bill was gazetted for comment on 31 March 2017 . This proposed new piece of legislation is intended to repeal the aging Estate Agency Affairs Act 112 of 1976 in its entirety . If the Bill passes into law in its current form , it will introduce sweeping changes to the real estate industry .
Crucially , the requirement that the person earns some sort of gain for their services has been omitted from the definition . This means that even persons performing the above functions without reward may be deemed to be property practitioners and therefore subject to the regulatory requirements .
Some of the proposed changes are positive and others will , inevitably , be contentious . This article will explore some of the most dramatic changes to the regulatory framework currently in existence .
Who or What is a “ Property Practitioner ”? The definition of “ estate agent ” in the current Act is open to some interpretation but , in the main , refers to a person or entity that markets , sells or lets immovable property on behalf of another person for some form of gain . The new Bill expands this definition extensively . In terms of section 1 , a “ property practitioner ” will now include a bond broker , a home inspector , a facilitator of an agreement of sale or lease ( including a Home
14 JULY 2017 SA Real Estate Investor www . reimag . co . za