The Facilitators (Your Ultimate NHBRC Solution)

The Facilitators - Free Business Directory

2011-11-14T15:39:00.002+02:00

We just added a new business to our free business directory:

Motsoelliz Trading
Address: 6 Blackberry Drive Queensburgh
4093
KwaZulu Natal

Phone: 079 499 7276

Make house plans: Complete home building »Industrial small building »Public buildings » Tiling & painting »Renovations »Car port »Drive ins »Boundary walls »Retaining walls »Car parking & marking » Industrial concrete bedding & marking CIVILS: »Trenches »Drainage system »Manhole Etc.

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The Facilitators - Free Business Directory

2011-10-18T14:32:00.000+02:00

We just added a new business to our free business directory:

M.D.K. Construction
Address: 28 Southwood
Viewpoint Rd Boksburg
1459
Gauteng

Phone: 011 918 9936
Mobile Phone: 082 328 1936
Fax: 086 224 8249

Building contractors. Construction

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The Facilitators - Free Business Directory

2011-10-18T14:27:00.000+02:00

We just added a new business to our free business directory:

Inspect-a-Home®
Address: P.O.Box 9197 George
6530
Western Cape

Phone: 0832707904
Mobile Phone: 27827887938
Fax: 0866480533

Comprehensive check of the structure from roof to boundary giving you a written report with supporting photo's. We inspect existing homes, new building projects, developments, rentals, snag list and inspections to meet your requirements

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The Facilitators - Free Business Directory

2011-10-17T10:42:00.000+02:00

We just added a new business to our free business directory:

MVMF Construction and Projects
Address: 112 Protea Street
Riamar Park Bronkhorstspruit
1020
Gauteng
Phone: 0139351234
Mobile Phone: 0720452268

We cater for all your construction needs!

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The Facilitators - Free Business Directory

2011-10-17T10:41:00.000+02:00

We just added a new business to our free business directory:

MDC Construction
Address: PO.Box 10020 George
6530
Western Cape

Phone: 0833056960
Fax: 0866251491

All proffessional building and concrete construction work.

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Mr.Paint Dulux Specialist Paint Centre added to our Free Business Directory

2011-10-12T15:16:00.000+02:00

We just added a new business to our free business directory:

Mr.Paint Dulux Specialist Paint Centre
Address: 75 Church Street Graaff Reinet
6280
Eastern Cape

Phone: 049 8923091
Fax: 049 8923091

Suppliers of: Dulux Paints, LEMAITRE Safety Shoes,

Safety Wear, Eureka Products, Household and Industrial Chemicals, Glues, ABE Waterproofing products, Duram,Automotive products and tinting of automotive paints. Klingspor abrasives, Acadamy. Coprox waterproofing sollutions

Contracting services: All paint related work on your house.

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The Facilitators - Free Business Directory

2011-10-12T15:08:00.000+02:00

We just added a new business to our free business directory:

ARCUS Paint
Address: 1 Emil park
260 Storms street Centurion
0157
Gauteng

Phone: 0823213377
Mobile Phone: 0724274839

"YOUR PERCEPTION - OUR PAINT"

We manufacture quality water based paint and waterproofing. We strive to offer a superior quality product at the most affordable prices. Put us to the test and find out what REAL service is all about!

Test samples available upon request.

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The Facilitators - Free Business Directory

2011-10-12T15:02:00.002+02:00

We just added a new business to our free business directory:

RCP Consulting
Address: 1 Emil park
260 Storms street Centurion
0157
Gauteng

Phone: 0724274839
Fax: 0867183095

"A property inspection is YOUR protection!"

We are a property inspection agency with a solid background in property valuations, building inspections and the building industry. We offer an independant and unbiased inspection service to sellers of property, prospective buyers and rental agents. We perform a comprehensive analysis of the condition of all important components of the property, including the foundations, roof and general improvements.

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NHBRC CEO Sipho Mashinini has been put on special leave following allegations of corruption

2011-06-30T16:14:00.000+02:00

National Home Builders' Registration Council (NHBRC) CEO Sipho Mashinini has been put on special leave following allegations of corruption against him, says the organisation.

He was granted "special leave of absence" following a meeting between Human Settlements Minister Tokyo Sexwale, NHBRC chairman Vukile Mehana and media reports on Wednesday and Thursday, according to a staff memorandum released to the media.

Mashinini was CEO at the time the NHBRC offered Vanessa Somiah, who was investigating the organisation for corruption, a job with a annual salary of over R1 million.

This was nearly double her pay as leader of the Special Investigation Unit (SIU) team tasked to probe allegations of corruption in public housing. She resigned as investigator and joined the council, without telling the SIU where she was going.

While in her new job, she testified at a disciplinary hearing against NHBRC employees who had alerted the SIU to the possible corruption.

Sexwale removed her from her post earlier this week.

According to the memorandum Somiah also remained on special leave.

The council has appointed Jeffrey Mahachi as acting CEO.

Sexwale said on Tuesday that Mashinini would be the subject of further investigations. He said he was in favour of all possible steps being taken against those involved in covering up corruption at the council, including criminal charges.

"I don't want half measures ... I really don't take prisoners on this kind of thing," said the minister.

He said the SIU would repeat its investigation into allegations of corruption at the NHBRC, as the report he had received was clearly "a whitewash" riddled with discrepancies that warranted proper analysis.

SIU head Willie Hofmeyr said this should take two to three months.

Article by: www.timeslive.co.za

The Facilitators: New Website

2010-12-10T12:42:00.000+02:00

The Facilitators has launched it's new website aimed at the building industry.

The website advertises the services of The Facilitators to the building industry in particular the NHBRC.

The Facilitators initiate your:

* NHBRC Registrations
* NHBRC Enrolments
* NHBRC Renewals
* NHBRC Status Upliftments
* NHBRC Late Enrolments
* NHBRC Technical Interviews
* Dolomite & Lime Stone
* Selling Price Upliftments
* Building Contracts
* Quotations
* Cluster Developments
* Sectional Title Projects (Phased)
* Cancellations
* Owner Builder Exemption
* Account Reconciliation
* Method Of Payments

For more information on how The Facilitators can assist you with all NHBRC (National Home Builders Registration Council), please visit our new website.

The site was designed and developed by I-Tech Web Design.

NHBRC Update - National Home Builders Registration Council

2010-11-29T11:57:00.003+02:00

Summer is here in its full glory. What a privilege it is to witness nature unfolding in all her glory! Along with this The Facilitators are witnessing the unfolding of NHBRC activities after a long and difficult “winter recession”. We have experienced a steady increase in new developments as well as in single dwellings.

The NHBRC is only closing 24 December 2010. We want to use this extended period of service by the NHBRC to assist you in your early January 2011 enrolments, renewals or any other NHBRC related activities before 24th December 2010. Our experience is that NHBRC employee’s leave carries through into late January as their leave starts late December. Finalizing activities as soon as possible will ensure that no delays will be experienced when we return early January 2011.

It is now a requirement by the NHBRC and Financial Institutions that Developers also has to be registered with the NHBRC and that all residential units must be enrolled in the name of the Developers and not in the Sub Contractors name. The Sub Contractors employed by the Developers must also be registered as Building Contractors with the NHBRC.

All new homes must be enrolled with the NHBRC, whether build for cash, mortgaged, or in speculation 14 (Fourteen) days prior to construction (The Act – Government Gazette R1406 dated December 1999 – Page 51 (12.1)).

Owner Builders have to apply for exemption not to enroll his house. The Owner is not allowed to commence building his house until he has been exempted in writing by the NHBRC. Please note there are stringent regulations to be exempted as Owner Builder.

The Home Builder is not allowed to start construction until the enrolment certificate has been obtained from the NHBRC for the specified property to be constructed. Should construction commence prior to the issue of the NHBRC enrolment certificate, the enrolment will be regarded as a “Late Enrolment” together with financial guarantees varying between 10% - 30% of the Sales value.

Should the property be occupied for 90 days or more the NHBRC will not enroll it.

Local Council will from now on request NHBRC enrolment certificates before they issue Occupation Certificates.

Attorneys are being instructed by law to ensure NHBRC enrolment certificates for all new houses on or before transfer at the Deeds Office.

Undeclared Late Enrolments to the NHBRC are a criminal offence which can result in a fine of up to R25, 000 plus one year jail sentence. (The Act – Gov. Gazette R19418 Nov 1998 page 30/31 (21(1)(a)(b)).

Do note, regardless of the above The Facilitators are there to assist and resolve any problems you may encounter.

National Tel: 0861 2 ENROL \ 0861 2 36765
Fax: 086 696 3882
Website: www.the-facilitators.com

Banks must revise home loan policies

2010-11-23T17:55:00.003+02:00

WINDHOEK – The average “man on the street” is denied the basic right of owning his/her own home due to commercial banks that fail to come up with innovative ideas and products to accommodate basic-salary income earners.

According to the Kavango Block Brick (K-Brick) company, a major gap exists where income earners get too much for government housing, yet too little for commercial home financing.

“The direct result is many first-time home buyers are unable to enter the housing market at an early stage in life. Even combined household incomes of N$15 000 per month put you in the so-called ‘poor’ bracket. This is due to the fact that joint incomes are not sufficient for home loan finance for conventional housing as prices are too high.

“Banks are not innovative in their thinking. At the end of the day, the banks and legal practitioners are best friends,” Heinrich Schroeder of K-Brick said.

According to Schroeder, commercial banks need to stay well informed about modern building trends and consult experts in the building industry to be able to provide tailor-made home loan packages for different income earners.

He said: “South African commercial banks have seen the gap and home loan packages are more ‘tailor made’ to accommodate people who have been previously excluded from the housing market.”

An initiative which ABSA Bank South Africa recently undertook was to evaluate different innovative housing systems by hosting and being one of the main sponsors of the 2009 International housing competition involving innovative building systems around the world.

Schroeder, who advocates usage of cheaper and environmentally-friendly housing materials, said focus of the competition was to evaluate the sustainability of various innovative non-conventional building systems which scored high marks with regard to social acceptance and structural performance.

He noted that structures were monitored on a daily basis to ensure that construction was in accordance with building regulations and also met the minimum requirements of the National Home Builders Regulation Council (NHBRC).

NHBRC provides a five-year warranty on structural performance. As a direct result of the competition, successful building systems are now listed on ABSA’s approval list for home loan finance, including Namibia’s own innovative Kavango Block Brick.

A similar project consisting of an innovative show village was initiated by the City of Cape Town in 2008.

Schroeder explained that the project was a clear example of the commercial banking sector working in conjunction with the local government to showcase innovative housing, specifically for first-time home buyers who had previously been excluded from the market, either as a result of earning too little for bank finance, yet too much for a government subsidy.

“Such projects, a direct result of South African banks working with the various local government departments, has led to the creation of the ‘GAP’ housing market which Namibian banks need to start addressing as this is the market level which most first-time home buyers fit into. Serious transformation with respect to home loan finance is needed before many Namibians are able to enter the housing market,” the entrepreneur was of the opinion.

Schroeder noted that by introducing a building regulatory body in Namibia, similar to that of the NHBRC in South Africa, the risk factor can largely be shifted from commercial banks, which would hopefully change the mindset of commercial banks to provide finance for affordable housing for all Namibians.

According to Schroeder, commercial banks in Namibia need a serious “shake-up” and the Bank of Namibia needs to put pressure on commercial banks to revise their home loan policies to accommodate the average “man on the street”.

Kavango Block Brick started the long road to success as a small to medium enterprise (SME).

“When approaching one of Namibia’s famous commercial banks for funding, it was clear that Kavango Block Brick was not going to obtain financial assistance. Vision and dedication and not the commercial banks have been the secret of Kavango Block Brick’s success,” he revealed.

According to Schreoder, once success was reached, the Development Bank of Namibia joined hands with Kavango Block Brick to reach the next level.

“K-Brick will be able to deliver in 2011 thanks to the DBN seeing the potential in the internationally-accepted Namibian building technology,” he added.

He advises Namibian SMEs associated with the construction industry to make sure that they have the expertise in line with what they are doing, and ensure they get the correct advice to protect their intellectual property, if they have an invention.

“Ensure you have a clear vision and see the success beforehand. The only way to eat an African elephant is bit by bit. Further advice is to make sure you have no debt.

“Make sure your municipal accounts are up to date and that you have some form of secure income to take care of your family. Forget commercial banks if you have any outstanding debts even if debts are directly related to getting your business off the ground!

“Commercial banks cause many potential emerging SMEs to flap like fish out of the water, as they just cannot get off the ground due to lack of financing,” said Schroeder.

According to the entrepreneur, K-Brick having reached international acclaim is set to demonstrate to the world that Namibians are sitting with the best building systems.

The K-Brick academy will provide training to SMEs in construction to work with the Kavango Block Brick building system.

K-Brick will showcase their different housing options and will launch it in the form of a show village on Namibian soil.

As a launch special, K-Brick will launch a four-bedroom family home that compares to the price of a two-bedroom house.

“It will be a historic occasion, as CNN has been invited to feature our Namibian revolutionary construction system on the programme ‘Inside Africa’,” an excited Schroeder said.

Kavango Block Brick will release its entire product range in the form of an easy-to-follow booklet towards the end of January 2011.

by Irene !Hoaës
www.newera.com.na

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

Solid move to fix RDP mess

2010-11-15T17:59:00.003+02:00

A FORENSIC audit is under way to determine how much money is needed to complete hundreds of RDP houses that were abandoned by contractors, the Limpopo department of local government and housing has said.

The department has appointed the National Home Builders Registration Council to conduct the audit and advise it on the costs and how to handle the project.

The NHBRC, which is a statutory construction body for builders, has charged the department R800000 to give advice on the mess created by construction companies that were paid millions of rands and then disappeared without completing the job.

Departmental spokesperson Clayson Monyela said: "We are doing an audit of the housing projects because we do not know how much is needed to finish them.

"Communities are still phoning in to complain that their houses are incomplete, hence the action we have taken. The NHBRC will report back next month."

Some beneficiaries of RDP houses were left high and dry when their poorly built houses were brought down by winds and storms owing to bad workmanship by the contractors.

Earlier the department had said these houses were death traps, and that some needed to be rebuilt.

Monyela said the course of action would be determined by the NHBRC's findings.

"Should the NHBRC say we must complete the structures, we will abide by their call.

"And if they say we must demolish and rebuild, we will also do so."

Costs are expected to rise and will impact on other beneficiaries because the government will now be expected to push two projects; building new houses while also rebuilding the ones that were abandoned by the contractors.

By Chester Makana
www.sowetanlive.co.za

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

Hefty fines to be imposed on builders who do sub-standard work

2010-11-05T18:11:00.001+02:00

Primedia Broadcasting - Eyewitness News

The National Home Builders Registration Council on Thursday warned that builders who continue erecting sub-standard homes will be fined R25,000 per offence or be jailed.

Homebuilders gathered in Cape Town in order to tackle challenges facing the sector and the NHBRC said improving the quality of both the public and private-funded homes remains a top priority.

The council issued a stern warning to home builders to refrain from producing sub-standard work.

It said while it’s been able to solve some disputes it wants consumers to know the track record of their builders. This includes checking that the builder is registered with the NHBRC and adheres to its regulations.

The council’s Portia Mabunda said builders who fail to comply will be forced to rebuild the house at their own expense and can also be jailed.

(Edited by Lindiwe Mlandu)

Malungelo Booi
www.eyewitnessnews.co.za

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

NHBRC Insurance Needs Complete Overhaul

2010-11-05T18:06:00.001+02:00

The operations and ambit of the National Home Builders Registration Council (NHBRC), which was set up 10 years ago to protect unsophisticated consumers against unscrupulous developers in the social housing context, urgently need to be reviewed and amended, says Leon Cohen MD of Rabie Property Group, one of the country’s top, award-winning developers.

He said while the NHBRC was initially set up to protect consumers of homes costing less than R250 000, this was soon extended to include all residential developments, regardless of value, while the NHBRC still capped its exposure to R500 000 per unit.

“The last set of NHBRC financial statements to be made public were for 2008 and these reflected the NHBRC had in excess of R2.5 billion invested.

“With further enrolments and interest that amount should now be in excess of R3,5billion.

“There is no way the NHBRC can ever spend all this money as they must be earning about R180million in interest alone on the funds they hold. The 2008 financial statements reflect that they paid out a paltry R4,5million in that year to remedy defects,” he said.

He points out the NHBRC’s risk was further reduced by the fact that developers with a bad track record are prevented from registering with the Council and that those developers that refused to rectify defects were suspended from their developer’s list.

“Since 2003 Rabie Property Group has, like many other developers, paid in excess of R40million to the NHBRC for which it has received little or no benefit.

“It is highly unlikely that any claims against reputable developers will ever have to be paid out by the NHBRC as any such problems are sorted out by the developer who has a reputation to uphold and who wishes to stay in business.”

Cohen says that over five years ago, the NHBRC promised to reduce enrolment fees but to date they still have not done so.

“In addition, Section 23(9) of the Housing Consumers Protection Measures Act, 95 of 1998 provides that the Council Advisory Committee must after five years after commencement of the Act, submit proposals to the Council for recommendation to the Minister regarding introducing outside insurers. This has also not been forthcoming.”

In the early years the NHBRC, he said, continuously quoted the United Kingdom and Australia as providing examples of similar institutions.

“However, those institutions are only in respect of single and double story buildings – not for high rise, large sectional title projects where a full professional team is involved and where these consultants all have their own professional indemnity anyhow. In these instances the NHBRC serves no purpose as many of the building contractors for these developments are listed on the JSE.”

Cohen said unlike other organizations such as SAPOA which provide a hugely valuable service to the property industry, the NHBRC appeared only to be interested in collecting money and running an expensive overhead structure which at the end of the day impacted negatively on property prices and the consumer.

“Furthermore there continues to be a total lack of communication and meaningful interaction by the NHBRC with regards to developers even though promises have been made by them to improve this.”

Cohen said at the very least the NHBRC should pay no claim bonuses or rebates to those developers who had contributed to the fund for years but against whom few if any claims had had to be paid out by the NHBRC.

“Furthermore, there is a dearth of skills in the development sector and the SETA has failed to adequately address the shortage due to lack of funds. It would benefit both the industry and job creation if the NHBRC was to earmark some of its funds to this greatly needed area and look at the reintroduction of apprenticeship training which was so successful years ago.”

Cohen added that a further anomaly was that in most cases the developer was the seller and the link between the contractor and the consumer and were themselves not responsible for the construction of the building.

“Yet developers and not contractors are the party obligated to contract with the NHBRC,” he said.

http://wap.cbn.co.za

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

I’d rather the rain came in!

2010-10-21T18:21:00.000+02:00

ZOLEKA Simandla, a 44-year-old factory worker, has been renting shacks in backyards in Mdantsane most of her life – but would rather live in her one-room shack than move into one of the “plastic” RDP houses the government is offering her community.

Her dilapidated shack in Manyano Tembelihle informal settlement in NU9 is so small it can hardly accommodate her and three children.

Water drips from the roof when it rains and it has neither toilets nor running water.

Despite her desperate situation, Simandla is among the dozens in her community who have rejected a new type of housing that replaces bricks.

“I’d rather die of cold in this shack than live in a plastic house. I don’t want it because I don’t know how long they last. I’ve never heard of a plastic house in my life,” she said.

“We were never told about these types of houses before. We want brick houses, as Mandela promised.”

What started out as a project that could change lives for the better has now divided the Manyano Tembelihle community, with one group against the project and others looking forward to moving into the new houses next year.

At the centre of the controversy is the Imison technology used to build the homes, which gives them a look similar to prefabricated structures.

About 850 Imison houses were to be built for more than 560 indigent beneficiaries in Manyano Tembelihle. The R33million project is a collaboration between Buffalo City Municipality and the provincial Department of Human Settlements.

At its launch in April, attended by BCM’s Executive Mayor Zukisa Faku and the province’s Human Settlements MEC, Nombulelo Mabandla, about 1500 jobs were expected to be created through the project while construction was to be wrapped up by February28, 2011.

However, it is unlikely that deadline will be met as only a sample house was completed in April.

Those who have indicated interest in the houses have been moved to temporary shelters close to Manyano Tembelihle, while the opposing group remains in shacks.

One of the beneficiaries, Vuyiswa Qalani, said misinformation had caused the confusion.

“I’ve lived for 20 years in a shack in Manyano and I want that house because it’s far better than a shack. People must stop being controlled by their egos,” said Qalani.

Afrinaissance Property Developments CEO Siva Govender, who has been hired to build the houses, said it would be impossible to meet the February deadline. “We are waiting for a go- ahead from BCM and the provincial office. At this stage we have not heard from them, but I can vow that these houses are an alternative and stronger than brick houses.

“This thing is about changing the mindset of people, because they have not been informed about the houses,” said Govender.

Lwandile Sicwetsha, spokesperson for Human Settlements, said there were various reasons for the delay. “There were delays relating to the beneficiary list, enrolling the project with NHBRC (National Home Builders’ Registration Council) for quality checks on its completion, but all those have been sorted out now.

“Also, social facilitation to inform and educate people about the technology to be used in building the houses, since we intended to utilise alternative technology,” he said.

Sicwetsha added that the decision to go for the Imison method was largely influenced by the need to address the housing backlog in the province and finding quicker methods than brick structures.

“Those who don’t want alternative technology will get houses built by brick and mortar,” he said.

BCM spokesperson Samkelo Ngwenya said the community was aware of the houses as they were given a presentation in June. He said the beneficiary registration process had started.

civic@dispatch.co.za
www.dispatch.co.za

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

Conference on protecting housing consumers held

2010-09-03T18:15:00.000+02:00

Windhoek – Kavango Block Brick, a Namibian construction company in partnership with the Development Bank of Namibia, the Polytechnic of Namibia and the Namibia Standards Institute this week held a conference on the basic minimum requirements for housing in order to protect housing consumers.

At the event, the National Home Builders Registration Council (NHBRC) a South African company shared key experiences with the Namibian construction industry on the regulatory function of the NHBRC in the Home Building Industry in South Africa, specifically offering protection for the housing consumer and ensuring quality standards.

The NHBRC is an organ of the South African government established to protect the interests of housing consumers and to regulate the homebuilding industry in terms of the Housing Consumer Protection Measures Act, 1998 (Act No. 95 of 1998 in South Africa).

Speaking at the event was the NHBRC Chief Executive Officer Sipho Mashinini who said the objects of his council are among others to regulate the homebuilding industry and to provide protection to housing consumers in respect of the failure of home builders to comply with their obligation in terms of Section 3 of the Housing Consumers Protection Measures Act.

The conference was an initiative of the Kavango Block Brick with the focus to bring all stakeholders in the field of construction to the table to learn from experts in the field of regulating the home building industry to protect the housing consumer. Also speaking at the event was the Under Secretary of the Ministry of Works and Transport Andrew Mwazi, on behalf Works and Transport Minister Erkki Ngimtina. He said the conference has come at a better time as Namibia's government is looking for innovative ways to improve the livelihood of the country's people trough providing affordable housing.

The aim of the conference is to learn from South Africa on how the building industry is regulated and controlled in their country.

'I am certain, that if our building industry is coordinated and regulated properly our people in this country will have access to affordable local building materials, thus enabling them to construct their own houses,' Ngimtina said. Through establishing a similar regulatory body the building industry in Namibia will ensure not only affordable opportunities to construct their own houses but also sustainable quality housing the minister said.

The Southern Times
www.southerntimesafrica.com

North West volunteer builders to receive training

2010-09-01T18:23:00.000+02:00

Pretoria - The 80 female volunteers who helped build 54 houses in the North West province as part of Women's Month, are to receive training that will equip them to start their own construction companies.

The North West Department of Human Settlements said it plans on hosting a training programme for the women who participated in the Women's Build Programme, which saw them help build houses for vulnerable families in Coligny, North West.

The women will be trained in financial literacy by FNB and will also get a week's training in Life Orientation by the National Youth Development Agency.

The women will also receive three months training from the National Home Builders Registration Council (NHBRC) during which time they will be taught technical skills and undergo practical training.

"On completion of the training, volunteers will be issued with NHBRC accreditation certificates which will then give them opportunities to create jobs for themselves or establish their own construction companies," the department said.

The training programme is an initiative of Human Settlements Minister Tokyo Sexwale and North West Human Settlements MEC Desbo Mohono. - BuaNews

www.buanews.gov.za

Tips on hiring contractors

2010-07-24T18:25:00.000+02:00

THE Crusaders have received an increasing number of complaints against contractors and handymen.

This week the Crusaders wrote about alleged dodgy deal-maker John Wittstock after receiving at least 20 complaints about the contractor, many of which could have been avoided if more East London residents had done their homework.

How can you find a reliable contractor, and lessen your chances of becoming a victim?

The Crusaders consulted a policeman from the commercial crime division, and the building industry’s regulatory body the National Home Builders’ Registration Council (NHBRC), this week to answer this question.

These are some of the tips they suggest prospective clients take into consideration:

Before hiring any contractor or handyman, make sure he is legitimate and registered with a builders’ regulatory body.

The cheapest option is not always best – often, quality work comes with a more expensive price tag. Rather pay the price for an experienced and accountable contractor than for someone who may duck-and-dive with your hard-earned cash.

Inspect the contractors’ previous work before you come to any agreement with them - and don’t rely on what your friends or family members tell you. Go see the work for yourself. And don’t ask the contractor to direct you to clients he’s worked for in the past - he will send you in the direction of his best work.

Make sure the contractor signs a contract that you are happy to sign, and that you are always provided with a receipt for every payment made, as well as a receipt for every purchase the contractor makes on your behalf. No receipt, no payment.

Work out a system of “progress payment” with your contractor – pay in proportion to the projected work to be completed each week. Do not pay a contractor the full amount up front.

We recommend you do not pay a contractor for materials unless you have done some homework and got quotes of your own. If you are able, accompany the contractor when he collects the materials and pay for it yourself. Some contractors and suppliers may collude to inflate prices for materials, and con an unwitting client, said the commercial crimes division policeman.

Lastly, if problems do surface, send your contractor a complaint in writing within seven days. Thereafter, if the contractor fails to respond, contact the NHBRC at 0800200824. — Michelle Solomon

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

Zuma, Amaha hand over houses

2010-07-04T18:28:00.000+02:00

Veteran kwaito musician and Amaha (African Musicians against HIV-Aids) chairperson Doc Shebeleza will consider the end of business tomorrow as the start of great achievements.

Shebeleza says tomorrow marks a milestone on the long road to build a great future for poor families, when President Jacob Zuma will hand over houses to families at Willers Farm in Ennerdale, south of Jozi.

The beneficiaries of the houses are Enoch Vilakazi, Busisiwe Mlotshwa, the Msimanga family and Xolisa Ngomane.

Gauteng premier Nomvula Mokonyane and Jozi mayor Amos Masondo will also attend the ceremony.

Shebeleza says: “Tomorrow we are handing the houses to their owners and launching the project.

“Initially we wanted to build 50 houses in each province each year.

“Our target is to build 400 houses by 2013.”

Amaha has completed three three-bedroomed homes in Willers Farm and a two-bedroomed house in Snake Park in Dobsonville, Soweto.

“The houses were completed during the week and we also put furniture in them,” Shebeleza says.

He says they are proud as musicians that they are contributing to society.

“Every musician will look at this year with pride – that we are living up to expectations as role models.

“Instead of being in the public eye for all the wrong reasons, we can now claim our stake and be in the public eye for a good cause,” he says.

Although he says their plan is in place, he pleads with companies to join them in helping to build up needy communities.

“Apart from the sponsors we have, government departments came on board when we needed them,” Shebeleza says.

Other departments partnering Amaha are health , education , human settlements and arts and culture .

The project is run in partnership with Sunday World, the SABC, the NHBRC, Mabkol Project, Riaphela Construction, JR Sekwele and Associates and Mazotsho.

“We’ll also give the families groceries as part of the package ,” Shebeleza says.

Amaha will spend R6m on houses for the poor, particularly in rural areas such as Limpopo, Mpumalanga and KwaZulu-Natal.

Norman Masungwini
Sunday World

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

Builders who do shoddy work, beware

2010-06-27T18:31:00.002+02:00

The National Home Builders Registration Council is clamping down on developers flouting rules and cutting corners.

The council, which protects the interests of homeowners and regulates the home-building industry, is investigating 22 cases.

"These 22 matters," said marketing manager Beatrice Motsisi, "have been tabled before the disciplinary committee for prosecutions."

Since last April, 41 builders have been prosecuted. Penalties range from a warning to a R25000 fine or having registration being withdrawn.

The council's new chief executive, Sipho Mashinini, has declared war on builders and developers flouting technical guidelines as specified in the council's home-building manual.

"Home builders are compelled to register with the NHBRC in order to practise as builders. In this way we can monitor workmanship and prosecute those flouting regulations.

"We are committed to the maintenance of standards and are going on a nationwide education drive to ensure housing consumers understand their rights and are protected from shoddy work by home builders," Mashinini said.

He added that all new homes must be enrolled with the council 15 days prior to commencement of construction, so that housing consumers obtain protection from the five-year warranty scheme provided by the council. "However, many housing consumers are unaware of their rights, which is why we are launching a massive education drive as part of our strategy."

Bargains get young buyers onto ladders

Young working professional couples are searching for bargains as the country's property market recovers after a three-year cooling period caused by soaring household debt, interest rate hikes and the partial introduction of the National Credit Act.

The country now has an excess of housing stock, particularly in certain price categories, due to repossessions and houses being put up for sale by owners who are financially over-extended, said Lew Geffen, chairman of Sotheby's International Realty SA.

Middle-class houses, which were once in short supply and out of reach for many young professional, are now within their sights.

The young couples are negotiating with estate agents and sellers for entry-level prices for homes in traditionally middle-class suburbs in Johannesburg, Durban and Cape Town - where homes are valued at between R900000 and R5-million. Although these prices may seem out of reach for many, the young, ambitious house hunters are bargaining for entry-level and average prices.

Today, R900000 will get the buyer a little fix-me-upper in a good suburb or a smaller cluster home in some of the most sought-after middle-class enclaves.

The latest house price index compiled by Absa, one of the country's biggest mortgage lenders, puts the price of an average middle-class home - measuring between 141m² and 220m² - at R998600, compared with R917600 last June.

But some savvy young buyers are negotiating with desperate sellers and walking away with bargains, according to estate agents. However, some buyers are settling for smaller homes in good suburbs, boosting average prices.

Smaller houses - measuring between 80m² and 140m² - now boast average prices of about R843700, compared with R653000 about 12 months ago. Both these types of properties - mostly little fix-me-uppers - have topped the demand list among young couples.

Jacques du Toit, Absa's senior property analyst, said: "This is because, while many households are still under financial pressure, mortgage interest rates are at their lowest level since the mid-'70s and banks' lending criteria less stringent than a year ago.

"So, as a result of these latter conditions, demand for housing has picked up but financial stress has forced people who want to buy property to look at more affordable, thus smaller, housing.

He said: "Rising electricity prices, water tariffs, property rates and taxes linked to owning a property also have to be considered (when buying)."

Average prices for large houses - measuring 221m² to 400m² - are about R1.4-million.

"Home ownership is, of course, a great way to start building wealth, and most financial advisers will tell you it is never too early to get on to the property ladder," said Martin Schultheiss, CEO of Harcourts Africa.

"But the truth is that the average age of first-time home buyers has risen steadily in recent years, from 27 to 33 in the US, for example; from 27 to 34 in the UK and here in SA from 28 to 35, according to the latest available figures."

This trend, he said, was due to the fact that many young adults now worried about being able to keep up the repayments on a home of their own if their circumstances or the financial climate were to change. Suburbs which are attracting young couples, according to Pam Golding Properties, include:

* Johannesburg: Brackendowns, south of Johannesburg, where entry level prices average R700000, while entry prices in Kensington, east of Johannesburg, start at about R900000.

* Pretoria: Eldoraigne, where the entry price is R950000, while in Rooihuiskraal entry prices average R800000.

* Cape Town: Peers Hill and Silverglades in Fish Hoek boast several homes featuring entry-level prices of about R950000. In Sunningdale and Parklands, prices range from R800000.

* Durban: Entry-level prices in Glenwood start at about R750000. A bachelor apartment can cost R350000, while a one-bedroom apartment would sell for about R450000. A two-bedroom would cost about R650000, while a three-bedroom one can fetch R750000.

* Pinetown: About 10km from Durban, entry-level properties vary from R350000 to R500000.

* East London: Beacon Bay, which consists of about 3500 homes, the entry-price tag is about R850000, while the entry-level price in nearby Vincent is R1-million.

Pam Golding Properties this week sold a three-bedroom home in Beacon Bay's Edge Road for R1.3-million within two days, to a young couple.

Times LIVE

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
_______________________________

NHBRC to crackdown on unregistered home builders

2010-05-12T16:02:00.002+02:00

The National Home Builders Registration Council (NHBRC) warned industry on Wednesday that it has been "given teeth" by South Africa's Department of Human Settlements to shutdown unregistered home builders.

This comes after Human Settlements Minister Tokyo Sexwale announced in his department's 2010 budget speech that South Africa will have to fork out R1,3-billion, or 10% of the department's budget, to rectify badly built reconstruction and development programme houses.

Newly appointed NHBRC CEO Sipho Mashinini told Engineering News Online at a media breakfast in Johannesburg that the council was already reviewing about 40 projects in KwaZulu-Natal and planned to shutdown builders as early as next week.

"We will also be moving into the Eastern Cape by June 3, and are currently looking at projects in Gauteng," he added.

On concerns raised around possible lead times for nonregistered builders to comply, Mashinini said that there was "no room to break the law".

He said that the council was in the business of ensuring that homebuilders consistently delivered sustainable quality houses.

The council pointed out that registration was not only applicable to developers and home builders, but also to contractors and sub-contractors.

NHBRC said that an inspection company would be set up in South Africa's nine provinces by May 28, to ensure that quality houses were delivered. Mashinini noted that the council was also considering the possibility of setting up its own inspection company. (Read more...)

By: Loni Prinsloo
www.engineeringnews.co.za

SA border towns booming

2010-05-07T10:07:00.001+02:00

South Africa and Mozambique via the Maputo Corridor is creating positive spin-offs for the property market in neighbouring towns such as Nelspruit, Komatipoort and Malelane.

The Nkomazi municipality, which incorporates the eastern Lowveld region of Mpumalanga and is bordered by the Kruger National Park, Mozambique and Swaziland, includes towns such as Komatipoort, Marloth Park, Hectorspruit and Malelane. The Maputo Corridor runs through Gauteng and Mpumalanga — some of South Africa’s most productive and industrialised regions — across the border at Komatipoort to the deep-water port of Maputo. Infrastructural development is a key focus in order to stimulate growth and development in the region of the Maputo Corridor, which provides a cost effective transportation link. (Read more...)

www.iafrica.com

Incentive for Property Developers Who Save Energy

2010-04-20T10:00:00.000+02:00

Cape Town — The Department of Energy plans to offer a rebate for property developers who fit energy saving features in buildings.

Tabling the department's Budget Vote on Tuesday, Minister of Energy Dipuo Peters said there were still many hotels that didn't have energy efficient systems that for example turned off power automatically in a guest's room when they left to go out.

She said the offer presented an opportunity for businesses and homeowners to invest in metering systems which could automatically switch off electricity when it wasn't needed.

Nelisiwe Magubane, the department's director general, said R5.3 billion had been set aside in allowances. (Read more...)

BuaNews (Tshwane)

Crackdown on housing projects

2010-04-16T18:09:00.003+02:00

MEC for Human Settlements, Maggie Govender, has ordered a house-by-house inspection for targeted housing projects in KwaZulu-Natal thought to be sub-standard.

This includes Shauwn Mpisane's housing project in Umlazi, where homes were showing damage and retaining walls were bulging.

Govender has signed a Service Level Agreement with the National Home Builder's Registration Council (NHBRC), which will finally see shoddy contractors being named and shamed in the province.

The process is set to start within weeks once the NHBRC is given a list of targeted housing projects seen to be failing.

It will then conduct a forensic inspection on what needs to be rectified and report back to Govender to crack the whip and turn their recommendations into action. (Read more...)

By Zohra Mohamed Teke
www.iol.co.za

Inspectors' pay delayed

2010-03-27T18:34:00.000+02:00

THE economic slow-down has hit the construction industry hard with the National Home Builders’ Registration Council (NHBRC) inspectorate temporarily unable to pay its employees, insiders say.

The problem, from which the outsourced inspectorate has now recovered – it is not directly linked to the NHBRC – stemmed from financial problems at its Gauteng head office, senior inspectorate sources say.

The inspectorate is tasked with sending housing inspectors to check on new developments and to sign them off, allowing the homes to be transferred to the owners’ names. A 1.3% levy on new residential developments goes directly to a NHBRC fund, in accordance with the Housing Consumer Protection Measures Act, created to protect home-owners against poor workmanship.

Ten inspectors are employed by the organisation in the Eastern Cape, with five based in Nelson Mandela Bay. All have their own businesses and are employed on an ad-hoc basis.

Since the inspectorate is paid for every home it checks, a late payment by the government, one of its biggest clients, delayed a monthly payment from its Johannesburg head office, sources said.

“It has been resolved now,” said a senior Eastern Cape inspectorate official, who spoke on condition of anonymity.

But the inspectorate is now considering downsizing.

“There is simply no work,” said the official. “It leaves the inspectorate no choice but to cut back.”

Meanwhile, the Master Builders’ Association (MBA), which comprises professionals who list with the organisation, has called for the NHBRC to reduce its 1.3% levy which over the past 10 years has seen its fund grow to a massive R2-billion nationally.

Builders have no choice but to pay the levy, but say they have received little in return. When structural defaults are reported by home owners, it is the builder, not the NHBRC, who pay for repairs.

“The MBA has identified numerous problem areas with the NHBRC, many of which are dealt with through direct interaction with the NHBRC at a national level,” said MBA provincial director Greg Steele. “The MBA is also in regular contact with the local NHBRC office to assist members in resolving day to day problems .”

Steele said unnecessary delays were caused by advisers such as estate agents, architects and building consultants who lacked knowledge of the Housing Consumer Protection Measures Act, for which the NHBRC was formed.

Brian Hayward CHIEF REPORTER
Weekend Post

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
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Residents receive competition houses

2010-02-11T18:36:00.000+02:00

DURING a ceremony on Tuesday, 25 houses which were built during the International Innovative Housing and Sustainable Energy Competition in Noodkamp, Wellington, were symbolically handed over to their new owners by the deputy national minister of housing, Zoë Kota-Fredericks, and Drakenstein Municipality Mayor Charmaine Manuel.

The winner of this housing construction competition will be announced in March and the company will receive prize money worth R425 000.

Eighteen local and international finalists from Kuwait, Australia, Canada, Czech Republic, Netherlands and Namibia took part in this competition to create awareness of alternative construction methods.

Absa Bank was involved in this project, in collaboration with the NHBRC (National Home Builders Registration Council), NHFC (National Housing Finance Corporation), Agrément SA, AFD (Agence Francaise De Development), Drakenstein Municipality, Department of Housing, SDC (Swiss Development Corporation) and the University of Pretoria were involved in this project.

Bonginkosi Madikizela, Western Cape minister of housing, congratulated all the role players on their effort.

“I am really passionate about this competition. We have to look at ways to build more sustainably, more energy-efficiently and more cost effectively.

“We have to close the gap between the subsidised housing market and the traditionally bonded market, so that those who fall into what is referred to as the Gap Market can also afford to own their own homes if they wish to do so.

“The government is limited in the funds it has available to provide housing. It can only afford to assist the poorest of the poor.

“We have to find ways to encourage private developers to service the affordable housing market and banks to finance that market.

“This competition, as well as offering new products for the subsidised housing market, has generated new ideas about how the affordable housing market might be developed and sustained.

“I am determined that this competition should be more than a once-off public relations exercise. I would like to see more of these show villages to be built around the province.

“We have to break down the prejudices against alternatives to traditional brick-and-mortar building methods. The best way to do that is to show what can be built for the same cost, using other methods,” he said.

Luthando Vutula, managing executive for Absa Home Loans, said they are committed to supporting the credo that every South African has access to permanent housing that provides secure tenure, privacy, protection from the elements and access to basic services.

Sieb Sieberhagen
Paarl Post

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The Facilitators are the One Stop NHBRC Service Centre for all Developers, Contractors and Home Owners. For more information visit our website at:
www.the-facilitators.com
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Misleading seals of approval

2009-11-30T15:29:00.000+02:00

For example, many a builder, when asked to supply a quote for renovations to a house, will tell people he is registered with the National Home Builders Registration Council (NHBRC).

He may be, but what he doesn't say is that the council only regulates the building of new homes, not renovations to existing ones, which means NHBRC registration is meaningless to someone contemplating enclosing a veranda. (Read More...)

Independent Online

Property market boosted by returning expats

2009-07-15T13:52:00.000+02:00

People with investment properties in South Africa are seeing a better return not only from rentals but from ongoing drops in interest rates. For those South Africans living abroad, 77% still have some form of investment in SA - 69% have a bank account, 32% still own a house, and 29% still maintain their SA retirement annuity.

Many experts believe that the property market is starting to show green shoots of recovery which is also attracting expats. Comments John Loos, Property Strategist at FNB: “There is a recovery of sorts in the SA property market in that there seems to be a slight uptick in demand activity. However, it would be some time before this translates into national price inflation, because I believe that the oversupply of property on the market is significant and will take a while to be mopped up. I do believe that there may well have been some slight increase in expats returning home, especially from the likes of Dubai which has come under severe stress.”

A number of expats are also seeing 2010 as a fantastic investment opportunity by purchasing guest houses and hotels. With the exposure South Africa tourism will receive during the Fifa World Cup it is a fantastic opportunity to market their properties to the rest of the world. Adds du Toit: “Some of the expats may see opportunity in the hospitality industry due to the World Cup next year, and will then invest some hard currency in related properties, which will benefit this segment of the market.’’

“SA boasts phenomenal landscapes and wildlife, warm and friendly people, the ability to host world class events and fantastic business opportunities,” adds Levitt, “and there are also many opportunities associated with infrastructure developments ahead of the 2010 Soccer World Cup which is attracting expats. Those who left our shores are now realising that the grass is not always greener on the other side." (Read More..)

eProp - Alliance Group

South African House Prices Slide Most in 23 Years

2009-07-06T14:01:00.000+02:00

South African house prices fell the most in 23 years last month, dropping 4.4 percent from the year- earlier period, according to Absa Group Ltd., the country’s biggest mortgage lender.

The average nominal house price dropped to 924,600 rand ($115,130) as prices fell 0.5 percent in the month, Absa said in an e-mailed report today.

South Africa is in its first recession in 17 years, pushing up unemployment, slowing consumer spending and depressing house prices. The Reserve Bank has cut its benchmark interest rate five times since December, dropping it to 7.5 percent, to help revive the economy.

“Nominal house price deflation is set to continue for the rest of 2009, starting to slow down towards the end of the year,” Absa said in an e-mailed report today. “The lagged effect of lower interest rates and a gradual recovery in the economy from the second half of the year are factors which will contribute to an expected improvement in residential property market conditions from early 2010.”

House prices will probably decline about 3.5 percent this year, and by more than 12 percent after taking inflation into account, the Johannesburg-based lender said.

Absa’s house-price index is based on the average cost of a home from the mortgage applications it receives. Standard Bank Group Ltd., which uses the median price in its survey, said July 1 that house prices fell 4.9 percent in June compared with a year earlier.

By Mike Cohen
Bloomberg.com

Tax wise investments

2009-06-18T14:05:00.000+02:00

Property is a popular investment vehicle in South Africa. Where property is held as trading stock (i.e. in the case of property traders), any gain or loss on disposal would be regarded as being of a revenue nature and taxable as such. In this scenario, any expenditure relating to the property dealings may be deducted for tax purposes on the basis that it is incurred in the production of taxable income.

Where property is acquired with the intention to hold it as a long-term investment, it would constitute a capital asset in the hands of the taxpayer and fall within the capital gains tax regime. Any proceeds on disposal would accordingly be subject to capital gains tax in the year in which the asset is disposed of. As mentioned above, the base cost of the asset is essentially the acquisition cost. However, certain additions to the base cost are permitted by the legislation, for example, estate agent’s commission, transfer duty and advertising costs to find a buyer or seller.

Property remains a tax-efficient investment where the investor is prepared to hold such property for a longer period, mainly since the inclusion rate of any capital gain realised is significantly lower than thjavascript:void(0)e marginal income tax rate. (Read More..)

Published courtesy of Blue Chip magazine

Big estate agency group goes green

2009-06-08T14:16:00.000+02:00

One of South Africa's biggest residential property sales organisations is getting its agents to recycle and curb wasteful consumption.

Announcement

RE/MAX of Southern Africa this week announced the launch of its RE/MAX Green initiative. RE/MAX franchises in South Africa will be designated green by adhering to prescribed green practices, such as recycling and methods of curbing potential wasteful consumption.

"The RE/MAX Green program was created to help consumers utilise the expertise of ‘Green Agents' in a world that increasingly values - and needs - eco responsibility," says Peter Gilmour, Senior Vice President International Franchise Sales for RE/MAX International.

"As part of its philosophy of premier community citizenship, RE/MAX is committed to the sustainability and environmental well-being of the communities in the more than 70 countries in which its real estate professionals work and live.

Internationally hundreds of agents participating in the RE/MAX Green program have completed one of five recognised eco-accreditation programs: NAR Green, EcoBroker, LEED-Accredited Professional, Accredited Green Agent and Accredited Green Broker.

Earlier this year RE/MAX of Southern Africa received recognition from the World Wide Fund for Nature (WWF) for the role it played as a corporate supporter during Earth Hour. RE/MAX pledged its communication infrastructures and mobilized its national franchise office network to raise awareness, and encourage South Africans to switch their lights off on 28 March for an hour, as a sign of solidarity against climate change.

Eskom reported that it recorded a drop of 400 MW of electricity during this time, which confirmed the participation of 1 million South Africans.

www.realestateweb.co.za

Oversupply sinks property market

2009-06-02T14:21:00.001+02:00

HOUSE prices are continuing to decline, due to a sizeable oversupply that has built up in the residential market, FNB said yesterday.

Its latest house price index continued to decline in May to -11.3 percent year-on-year. This represented a deterioration on the revised -9.2percent rate of year- on-year decline recorded for April.

It was also the sixth consecutive month of year-on-year decline in the house price index, FNB said.

On a month-on-month basis, the rate of deflation was -3percent in May.

The deflation was a result of oversupply, with selling due to financial pressure being a key driver of supply, FNB added. “With South Africa officially now in recession, conditions in the South African economy are hampering the pace of residential demand growth despite a series of interest rate cuts having already taken place,” FNB property strategist John Loos said.

Domestic interest rates have now declined by 450 basis points since the start of rate cutting in December last year.

“This should bring some stimulus to a very credit-sensitive market such as the residential property market.

“However, unlike the 2003 aggressive interest rate cutting which took place in good global and local economic times, the current stimulus from interest rates is to a great extent offset by an economic recession which contains growth in household purchasing power,” Loos said.

As such, the expectation of nothing more than a very mild improvement in residential demand during 2009 continued, and with oversupplies still believed to exist on the market, house price deflation was expected to be around for most of 2009, Loos added.

“However, I believe that the worst year-on-year price deflation will show in the figures around mid-year, and that during the second half of the year we’ll begin to see the rate of decline subsiding,” Loos said.

He said at the Reserve Bank’s most recent interest rate meeting, governor Tito Mboweni had started to prepare the market for a possible pause in interest rate cutting, “so though all future interest rate decisions depend on how future economic events unfold, we should not expect too much in the way of interest rate cutting from here forward,” Loos said.

The Lightstone annual national house price inflation, meanwhile, dropped to -3.1percent in January based on Deeds Office transactions, according to the latest Lightstone House Price index also released yesterday.

Sapa and I-Net Bridge
www.thetimes.co.za

South Africa: Residential Property's Slide Continues

2009-05-26T14:24:00.000+02:00

Johannesburg — WITH the economy forecast to contract 0,5% this year, combined with falling employment and lower disposable household income, the residential property market is expected to remain depressed until late this year.

House prices in the middle segment of the market were forecast to drop 3%-4% in nominal terms this year, despite falling interest rates, according to Absa 's latest quarterly housing review released yesterday.

Absa sectoral analyst Jacques du Toit said a further real decline in house prices was expected this year, based on projected consumer price inflation trends and declining nominal prices.

In the first quarter of this year house prices in the middle segment of the market - from 80mÂ' to 400m and up to R3,1m - for which mortgage finance was approved by Absa, declined for the first time on a year-on- year terms since late 1986.

In real terms, after adjustment for the effect of inflation, house prices in the middle segment dropped for the fifth successive quarter, slumping 3,6% in the first quarter from 2,6% in the fourth quarter of last year.

Prices in the luxury segment of the market have performed visibly better in recent quarters than those in the middle segment, where prices are declining over a wide front in nominal terms.

Thabang Mokopanele
http://allafrica.com

Builders must get NHBRC exemption before construction starts

2009-05-11T11:06:00.005+02:00

All potential owner builders that qualify for exemption from the NHBRC, must take note that they have to get exemption before construction starts.

If you start with construction of a newly built home without an enrolment certificate or a letter that exempts you from enrolling your home you are breaking the law and will then have to enrol your home as a late enrolment.

For more information, please visit The Facilitators FAQ's Page.

Steel Buildings Are Taking Off

2009-05-07T18:00:00.000+02:00

IN just a few years the light steel frame building (LSFB) industry has grown into a useful technology. This is largely due to the efforts of the Southern African Light Steel Frame Building Association (SASFA), a division of the Southern African Institute of Steel Construction (SAISC). “Such are the advantages of this construction technology it is increasingly becoming an accepted alternative for the local building industry,” says SASFA director John Barnard.

He says the ability of practitioners to learn quickly the gamut of skills required in LSF building, including understanding overall cost and energy savings available through this building method, have added to the success of this new industry.

“Of course, with a burgeoning new construction technique one has to ensure that standards are maintained. Training is fundamental to this process,” says Barnard.

He says that while there will be several training initiatives in areas such as erection and cladding, courses for designers and builders, SASFA will concentrate initially on building inspectors - i.e. municipal and NHBRC inspectors and financial institution evaluators - to ensure they have the skills to monitor that the LSFB industry is complying with the standards set down in SASFA’s building code.

In the meantime, SASFA is in the process of rolling out an industry accreditation scheme, which will assess the four main stages of the LSFB process i.e. the LSFB system utilised e.g. Scottsdale, FrameMaster, Hayes, Howick, Mitec and Dezzo; design and manufacturing processes; steel frame erection and building completion. “We see an inextricable link between the SASFA Accreditation Scheme and our training initiative. They work hand-in-hand to ensure consistently good standards in our industry”, says Barnard.

SASFA is planning several key training programmes, which will be presented in the major centres across the country, as well as Namibia. “We are trying to provide training in all the facets to ensure that the potential of this building method is reached in Southern Africa.”

There are currently 29 South African profiling companies manufacturing light steel frames.

They have a combined annual manufacturing capacity (single shift basis) of 43 million linear metres of light steel sections, or 39 000 tons of galvanised steel per year. Some 36% of the capacity is dedicated light steel truss manufacturing facilities.

“Conservatively, this means that light steel frames can be supplied for 1.5 million sq m of LSFB structures (wall frames and trusses) and trusses only for a further 1.8 million sq m per year of floor area of building

Barnard says that because the light steel frame building offers a wide range of benefits for fast track construction logistical cost advantages and thermal efficiency, offering cost savings of up to 20% or more compared to conventional building methods, the industry is growing rapidly.

Cape Business News - Cape Town,South Africa

First beneficiaries move into unfinished houses

2009-04-30T11:03:00.000+02:00

The first residents of the Refentse Low Cost Housing Project in Rietfontein have move into eight homes at the site even though the contractors are still at work completing the houses and no water or sanitation infrastructure have been installed.
According to some of the residents they were informed by the community officer of the Local Municipality of Madibeng that they could move into their houses and they told Kormorant that the municipality assisted them to move there last Saturday.

The residents said that they were the first ones to receive houses at the low cost housing project and that they had been waiting for their homes since they put their names on the beneficiary list in 2000. According to what they understood they were the first to receive houses because of the age of the beneficiary and that the position on the original list was not used to determine this.

Mostly, the residents expressed their joy at being able to move into their houses but during a tour of the two bedroom houses they indicated that although installed, the toilets are not working yet and there are no water taps or basins in the houses.
A portable toilet was placed in the area of the eight occupied houses and the residents indicated that they get water from taps which are situated approximately 100m away.

According to the residents the contractors are still working on site and indicated that they would clear the veld between the houses during this week. The tall, dry grass holds a danger of fire as the residents still make fires outside the houses to cook on.

Asked whether they needed to pay any money to be able to move in, the residents said no. This followed rumours that residents of the informal settlement were told that they could pay R30 and receive an ANC membership card which would allow them to move into the houses before the election last week.

Mr. Patrick Morathi, communication and marketing coordinator for the Local Municipality of Madibeng said in response to enquiries that although the project has not been handed over to the municipality by the contractors there are eight families occupying houses on the site.

He said that all the services have not been installed at the project yet and that the project will continue after a forensic audit by the Department of Local Government and Housing and the NHBRC.

Morathi said in all 50 houses were inspected and minor problems were found.
“The basis for allocation was to allocate houses to the most needy people but obviously there were categories identified and prioritised. We must indicate that we have 461 approved beneficiaries for the project of 167 houses. This was the result of having initially targeted 1000 and scaled down to 500 and finally 167 after objections and the Environmental Impact Assessment process,” Morathi said.
He confirmed that transport was arranged to help the families move because some of the families were relocated from Kommandonek.

Morathi said that more families will not be moved to Refentse in the near future.
“We have installed five mobile toilets for the current occupants and will extend the service as and when the need arises. As for water, we are currently providing water tankers and will extend such a service on the basis of need,” Morathi explained.
He denied that the residents were asked to pay R30 for an ANC membership card.
He said that although some people have been approved as beneficiaries the prioritisation was designed in terms of need. “Our first priority was the elderly, followed by child headed households as a result of parents passing away, then the rest will follow.

We are currently engaging developers around the Dam to accommodate low cost housing projects in their respective developments to accommodate the rest of the approved beneficiaries,” Mortahi said.

Kormorant - Hartbeespoort,South Africa

Centurion drawing first-time buyers

2009-04-21T15:44:00.001+02:00

Centurion's plethora of sectional title properties has been drawing a steady stream of buy-to-let investors and first-time buyers in recent years.

Paul Greyling, principal of the local Chas Everitt International franchise, says many are now coming back on to the market at good prices because the rentals that can be achieved do not cover the monthly home loan instalments at current interest rates.

Four residential nodes are currently proving particularly popular with the young set, he says, including the lifestyle estates of Celtisdal and Brooklyn which offer one and two-bedroom units ranging in price from R480k to R800k. Carports and pools come standard and Brooklyn residents also have the use of a tennis court and clubhouse.

Thatchfield estate and the suburb of Eldoraigne have also become fashionable. Units on offer are larger at prices ranging between R800k and R2m.

"Some developers have also now realised that there is demand for bachelor style accommodation, and open-plan apartments catering to this market are starting to make an appearance, at prices from around R400k," says Greyling.

However, he advises that those who want to get on to the property ladder do need to be well-prepared financially. "The majority of banks now require a deposit of at least 10% and on top of that there are transfer costs, which means you need to have quite a large amount of cash on hand.

"Banks also need to know that you can afford your bond and they prefer that your instalment does not absorb more than a third of your monthly income. So if you want to purchase a property for R500k, with a monthly bond repayment of R6k, you would need to prove household earnings of about R18k pm to qualify for a home loan."

And then, he says, potential buyers need to budget for rates and taxes as well as sectional title levies. In Centurion, rates range between R300 and R600 a month depending on the area. Levies range from as little as R300 a month to as much as R1k in some older developments.

www.property24.com

An eye for luxury property

2009-04-21T15:24:00.001+02:00

Cash-flush Europeans splash out in KwaZulu-Natal as prices fall

BRITISH and German jet-setters are bucking the global credit crunch and splashing out in euros for prime coastal homes and estates that have seen asking prices slashed.

Estate agents in Durban this week said they had recorded a flood of cash sales of between R3-million and R6-million for modest homes and sea-facing apartments since December. Rolling out the red carpet and stuffing buyers with lobster and champagne, the estate agents said other cash-flush Europeans, between the ages of 40 and 55 years, were snapping up homes priced between R1-million and R5-million.

One property that has attracted interest from foreign buyers is a R22-million beachfront penthouse located in Pearl Tides in Umhlanga, KwaZulu-Natal.

Boasting 180-degree ocean views, the 600m² double-level penthouse features three en-suite bedrooms, an open-plan living area and a private rim-flow pool.

Pam Golding Properties’ Elwyn Schenk, whose branch recently sold a four-bedroom apartment in Umhlanga for R11-million, said sales in the suburb were increasing month on month.

Foreign buyers include investors, corporate executives, celebrities, socialites and civil servants eager to cash in on South Africa’s property slump.

In June last year, The Times revealed that Hollywood stars Nicolas Cage, Leonardo DiCaprio, and Jude Law’s former wife, Sadie Frost, were just a few of the international celebrities discreetly hunting for houses in Umhlanga.

At the time, property analysts said international buyers were at last finding Cape Town’s seafront suburbs — where prices range from R5-million for a one-bedroom apartment to R60-million for a beach bungalow — too expensive, and were turning their attention to prime property along the KwaZulu- Natal coast.

Last week PGP said it had recently showcased homes, stretching from Umhlanga to Clifton in the Western Cape, to high-net-worth individuals at the Sud-Afrika Tage 2009 show in Germany.

The show, which attracts exhibitors ranging from tour operators and immigration experts to property brokers of luxury hotels and wine farms, was staged in Mainz, on the outskirts of Frankfurt, in Neuss in the Koln, Dusseldorf region and in Hamburg.

Dina Porteous, who runs PGP’s operations in Margate, said: “Our exhibit attracted a great deal of interest. It is clear that what attracted interested buyers is our abundance of sunshine, coupled with our friendly people and beautiful homes.”

Gaby Moessner, manager of PGP group’s German office, said: “This is a discerning market and overseas buyers are extremely well informed about the South African property market. The advantage of acquiring lock-up-and-go apartments and homes was also a major drawcard.”

He said potential German buyers in general preferred stand-alone homes rather than those in golfing or townhouse developments.

“In Germany space is at a premium so this is a top priority when it comes to buying property in South Africa,” said Moessner.

The Times - Johannesburg, Gauteng, South Africa

Property sector plans post-election lekgotla

2009-04-21T15:22:00.001+02:00

South Africa’s fast-changing political environment and its impact on the country’s economic outlook would receive attention at the South African Property Owners Association’s (Sapoa’s) forty-first International Convention and Property Exhibition, to be held in Sandton in early June.

It was particularly keen to understand whether there would be a so-called “shift to the left” and a rise in “antibusiness sentiment”, which would be the theme of an input by Free Market Foundation executive director Leon Louw.

Further, Redefine Income Fund CEO Brian Azizollahoff would debate the question of "business unusual” as part of the convention’s scheduled panel discussion on South Africa’s economic outlook.

This would be preceded by an economic trend analysis presented by economist JP Landman.

Various panels would also discuss other challenges facing the property sector in Africa, as well as the global outlook for the property sector.

Creamer Media's Engineering News - Garden View, South Africa
Terence Creamer

Timing is the key to property market killing

2009-04-19T15:29:00.001+02:00

Auction house boss says strike now for the housing bargain of a lifetime, writes David Pincus

A question doing the rounds, particularly among those who have finance or can raise it, is: does one buy residential property now that prices have fallen so much? They have been declining since the middle of 2008 and dropped 4.2% year-on-year in March, according to mortgage originator ooba, formerly MortgageSA.

It is not an easy decision. Many believe the price of residential property will continue to drop for quite a while, and many others believe the market is close to bottoming.

Rael Levitt of the Alliance Group, which will auction more than 600 properties in April and May, believes the time to buy is now.

He said: “In the last downturn banks couldn’t give away distressed properties. They had to keep them on their books as properties in possession. But unprecedented volumes of houses are now hitting auction floors, and many buyers who have access to financing see the current period as a window of opportunity and are picking up properties at low prices.

“They’re getting high rentals at the moment, which means that while they wait for the market to rise their purchases are turning into great investments.”

But when will the market rise? Levitt believes it may start to bottom late in 2009, “which means there is no better time than now to pick up real estate at lows that haven’t been experienced in South Africa in decades”.

Your trusty calculator may help to provide the answer: if the market turns up in, say, September, it means those who delay purchasing until then will buy for less, but will lose four or five months’ rental.

Levitt will not find estate agents clamouring to join his fan club when he says buying on auction is the way to go.

“You have to look at international trends to see that, in sharp contrast to the snail’s pace of private transactions, property going under the gavel is increasing at an exponential rate,” he says.

But, Levitt concedes, “buying on auction is often misunderstood, and can be daunting”.

From houses to horses: if you are into horse breeding and have been toying with the idea of setting yourself up in the Cape, the ClareMart Auction Group’s sale of the more than 300ha Oaklands Farm near Wellington at midday on Friday should be of interest to you.

It has everything, such as stabling, foaling barns, paddocks, stud facilities, two manager’s houses, as well as river and borehole water.

Phone Andrew Koch on 082-494-9631 to find out how to get to the sale.

Inland dwellers toying with relocating to Jeffreys Bay, or having a holiday home there, could consider the three-bedroom home in Hoepoe Street, Aston Bay, “with lovely views and a self-contained flat with a separate entrance” being auctioned by Colliers International Auctions tomorrow at midday.

It is labelled a bank auction, which may mean it’s a repossessed home, so it may go for a reasonable price.

On Tuesday at 10.30am Park Village Auctions will start disposing of plant and equipment from the liquidated Masingita Mining and Minerals of SA at Jan van der Merwe’s farm, 121km from Last Stop on Brits along the R511.

The equipment includes a dump truck, a front-end loader, a bulldozer, two shovel excavators and a special purpose flammable liquid trailer.

The new car market is taking strain but as prices achieved at auctions show, the used-car market is faring better.

It is bolstered by moneyed folk who buy what they want for less than if they were to buy it new — but not at give-away prices.

Last week Park Village Auctions knocked down a 2007 Lamborghini Gallardo for R2.375-million. That’s more than twice the R1.06-million it got for a four-bedroom (all en-suite) house with four carports, and a face-brick building with nine bedrooms, all en suite, on the same property.

And, as Aucor showed at its used truck sale in Bapsfontein last Tuesday, buyers are prepared to pay for late-model trucks built by reputable manufacturers that have been well maintained.

A 2008 Freightliner Argosy CAT C15-515 6x4 Horse went for R770000 and a 2007 model of the same vehicle went for R610000.

The Times - Johannesburg, Gauteng, South Africa

South Africa's slums grow, despite housing drive

2009-04-19T15:26:00.000+02:00

CAPE TOWN (AFP) — Even as the government has built millions of homes since apartheid ended, the shantytowns keep growing, turning housing into one of the key issues in general elections due Wednesday.

Under apartheid, blacks had been forced to live on the edge of cities, where overcrowded and poor slums grew.

Elizabeth Toll has a million dollar view.

But as the sun dips behind the mountains enclosing the picturesque cove where she lives, she shivers inside her tiny wooden shack, the raging wind whistling through her corrugated iron roof.

Above, more shacks balance precariously against the mountain, just a stone's throw from a popular tourist spot outside Cape Town.

The 49-year-old has lived on this prime patch of land for 15 years, fought a legal battle to avoid eviction, and is still "waiting, waiting, waiting" for a house from government.

"I applied many years ago, but nothing has happened. I haven't given up hope," she says, coughing with a cold as she clutches a small worn slip with a reference number and a housing department stamp.

Toll is one of millions of South Africans still living in shacks.

Kailash Bhana, chief executive of the Development Action Group (DAG), a housing advocacy group, says that while the government has built an impressive 2.8 million houses in 15 years, the situation is still dire.

"Overall the South African government has performed in terms of numbers. No one can deny that given the backlog that they started off with. It is the quality of the housing and the access to services that is being questioned."

Critics argue that the government's housing scheme has reinforced apartheid-era urban planning, keeping the poor on cheap land in inferior houses far from urban employment, schools, healthcare and other services.

Moegsien Hendricks, the group's programme manager, warned South Africa could end up with giant slums such as those in India and Latin America.

"All the evidence is there to suggest we are on our way to having mega slums," he said.

Itumeleng Kotsoane, director general of the housing department, told AFP only 1.1 million South African families now live in shacks, but DAG figures show the backlog growing at 200,000 households a year.

Kotsoane admits that the government's initial drive to build a million houses in only five years resulted in shoddy workmanship and poor planning.

"Before we were looking at numbers, now we are looking at housing opportunities," he told AFP, saying policy had shifted to creating better neighbourhoods and discouraging urban sprawl.

Rising property prices are one of the main challenges, forcing even teachers and nurses to live in informal settlements as they cannot afford to rent close to the city.

"Unless the state intervenes in the land and property market it is never going to meet the backlog," said Hendricks.

A small community 40 kilometres (25 miles) outside of Cape Town in the vast dusty expanse called Mitchells Plain are living in houses brightly painted in red, pink, yellow, and blue after 17 years on housing waiting lists.

But the numbers of people milling around in the heat of the day show the high level of unemployment, with many unable to afford the 15 rand (1.60 dollar, 1.28 euro) taxi fare into the city to search for work.

Already graffitied expletives mark the walls of the new community centre, theft is rife and single mothers with up to seven small children live on their own with no income.

"The South African housing scheme is unsustainable outside a broader economic strategy. People live beyond housing," said Aaron Hobongwana, a development specialist.

"Even if people don't have permanent jobs, if they lived in the CBD they could wash someone's car ... It's a vicious cycle."

AFP

On Verge of Penetrating SA Housing Market

2009-04-14T15:12:00.000+02:00

WINDHOEK – A top official of the National Home Builders Registration Council (NHBRC) in South Africa recently held intense discussions with a Namibian construction company, Trans Atlantic Enterprises, to enhance its chances of formally operating and competing in the housing construction industry in the neighbouring country.

Dr Jeffery Mahachi, executive director of Technical and IT in the NHBRC in Johannesburg, held fruitful discussions with Heinrich Schroeder, founder of Trans Atlantic Enterprises, and James Arm, Kavango Block Brick marketing manager in the capital.

“Discussions were held to streamline and finalise acceptance of our company’s innovative Kavango Block Brick construction system to fit in with the South African National Building Regulations,” said Heinrich Schroeder.
The NHBRC, which provides a 5-year warranty against housing structural defects, is a South African legislative statutory body with a mandate to regulate the home building industry and to protect the housing consumer.

“To us NHBRC approval will open many doors in the building industry as financial institutions would gladly finance housing construction projects using the Kavango Block Brick system. This in effect will mean that our building system will comply with the stringent quality control and proven accepted building standards specified by the National Building Regulations,” said James Arm.

It is a regulation in South Africa that all homebuilders are NHBRC registered prior to delivering domestic housing.

“The Kavango Block Brick has received major interest and recognition from South African communities over the past few years. Our company is currently finalising an application for NHBRC approval in order to deliver housing in South Africa. We are confident that final approval will be issued in the near future, considered to be a milestone for our Namibian company. This will allow us to compete across our border in South Africa. It is my opinion that the time is set for a Namibian company to export its technology to SADC, making a significant contribution towards addressing the housing backlog in the SADC Region,” said Schroeder.
According to Arm, Kavango Block Brick has achieved a major milestone during the past six months, the completion of a Kavango Block Brick house near Cape Town for public viewing.

“Further projects the company will be involved with include the ABSA/NHBRC International Housing Innovation and Sustainable Energy Efficiency competition to take place in the Western Cape, and participation in this year’s Southern African Housing Foundation Innovative show village in Swakopmund in July,” said Arm.

New Era - Windhoek, Namibia
Frederick Philander

Couple win gruelling case against builder

2009-04-10T15:14:00.000+02:00

A GRUELLING civil court case between a couple from Gordon's Bay and their builder ended this week after eight years. Builder Pierre Kotze was instructed to pay damages after his work was found to be sub-standard and unsafe.

Mr Kotze started work on alterations to the Solomons' multi-storey house against the mountainside in Gordon's Bay in January 2001. The contract ran late and Mr Kotze's company was eventually ordered off the site after a consulting engineer told the Solomons the standard of workmanship was poor and unsafe.

In his verdict, Mr Van Reenen dealt with a number of issues relating to the dispute, among them Mr Kotze's claim to the Solomons that he was registered with the National Home Builder's Registration Council (NHBRC). The magistrate said that when challenged in court, Mr Kotze was at a loss to confirm this.

Mr Van Reenen said he was particularly impressed by the testimony of an expert witness for the Solomons, whose own report in his capacity as consulting civil engineer, had condemned the builder's work.

As for Mr Kotze's expert witness, engineer Lourens van der Westhuizen, the magistrate said he himself had conceded the workmanship had been poor, lending support to the plaintiff's case.

Mr Van Reenen did not agree with Mr Kotze's attorney that Mrs Solomon had been an untrustworthy witness and said Mr Solomon's e-mail communication to the builder had been "clearly diplomatic, even though he was not happy [with the state of affairs]"."He wanted to keep Mr Kotze focused on the project," Mr Van Reenen said, adding that it was a pity the Solomon's offer that the dispute be taken to arbitration had not gone ahead. "This would have saved much time and money."

The magistrate said Mr Kotze had been an aggressive witness and that on numerous occasions had been instructed in court to contain his temper.

"At times when [the Solomon's attorney Ludolph Joubert] asserted Mr Kotze had contradicted himself, he simply refused to answer the questions.

"One of the problems here was that I believe Mr Kotze underquoted on the project and realised mid-way into the work that he had done himself in," Mr Van Reenen said. "Mr Kotze was clearly not up to the job."

In an unrelated case, an investigation is underway into the questionable tactics of a builder, who operates in the Helderberg and Stellenbosch area.

He is notorious for not showing up after a deposit has been paid into his banking account, and because the work is of such bad quality - often the result that clients chase him away. The senior public prosecutor requires more evidence for a successful prosecution. It is believed that several clients have become victims of this man. Anyone who believes they've been a victim, is requested to phone Leon Alhadeff on (021) 557-8669 or (021) 556-4690.

www.news24.com
Clifford Roberts

Rate cuts not only focus - Mboweni

2009-03-25T15:36:00.000+02:00

As he cut the Reserve Bank's official repo rate by a full percentage point yesterday, governor Tito Mboweni said: "The world has changed radically." He warned: "Nobody must think the cure for the rapidly changing global and domestic situation is just monetary policy."

Pressed on how quickly interest rates might fall, he said South Africa needed more than monetary and fiscal stimulus.

"There is a danger that in the current debate many countries might forget one of the critical issues confronting economic policy is structural change. It would be folly for us in South Africa to forget that we have a lot of work to do in terms of industrial policy and focus only on the financial market crisis."

Mboweni reported that South Africa's current account deficit had fallen to 5.8 percent of gross domestic product (GDP) in the fourth quarter from a revised 7.8 percent in the third. The deficit - the gap between export revenue and import costs - is the lowest since the third quarter of 2006, when it was 5.5 percent. It averaged 7.4 percent last year, reaching a quarterly peak of 9.2 percent in the first quarter.

Mboweni warned, however, that the R17.4 billion trade deficit in January was a sign that the fourth-quarter improvement might not last.

Currency traders paid more attention to the warning than the fourth-quarter figure. After initially strengthening, the rand lost ground to close at R9.4625 to the dollar.

Jeff Gable, the head of research at Absa Capital, said that if the contraction in the current account deficit continued, the risks to the rand would be much reduced.
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The cut in the bank's repo rate to 9.5 percent brought relief to hard-pressed consumers as benchmark prime and mortgage rates fell to 13 percent from a peak of 15.5 percent in December. For a home owner who had borrowed R1 million, it will cut the monthly mortgage repayment by R719 to R11 716. Since rate cuts started in December the monthly repayment on a R1 million loan has fallen by R1 823.

John Loos, a property strategist at First National Bank, estimated the cost of servicing debt at about 11.7 percent of household income, "based on the assumption that the average interest rate on all loans is prime rate and average term of loan is 10 years". However, if capital repayments were included, "the ratio rises to nearly 15 percent".

Mboweni warned the public not to assume that the increase in monetary policy committee meetings from once every two months to once a month meant rates would be cut at each meeting. He again referred to the widening in the output gap - the difference between the potential and the actual output of the economy.

South Africa has 4.5 percent potential for growth and the economy shrank nearly 2 percent in the fourth quarter of last year. In the circumstances, pressure on inflation is much less than when actual growth was more than 5 percent.

It will need cuts of a further 2.5 percentage points to take consumers back to the start of the rate rising cycle in June 2006. Even then, it will be quite some time before consumers recover their confidence and resume spending.

www.busrep.co.za
Ethel Hazelhurst

House prices: dipping or diving?

2009-02-16T15:32:00.001+02:00

"South Africa is now joining an international landslide in this sector". That was the stark warning about the country's residential property market, issued by the Alliance Group's chief executive Rael Levitt this week after the release of his company's Distressed Asset Index results.

But estate agents have been issuing statements, suggesting we are not far from the bottom of the cycle. Who is right? Should you buy now?

House prices "diving" - the auctioneer's view

Home repossessions, insolvencies and distressed residential property sales "jumped alarmingly" in the last quarter of 2008, Levitt notes.

He says the residential property market is now in the third quarter of a technical recession. The index, which tracks various distressed asset classes, shows that the residential property market is in a deepening recession, house prices are continuing to fall and interest rates cuts are having a muted effect on mortgage arrears.

"Despite sunny optimism from many residential agencies, the reality of the housing market is that it is going through a startling downward correction," he says.

Levitt says housing price deflation is being fuelled by banks that are reassessing their exposure to the home loans market and being cautious in granting new mortgage loans.

"As bad debts spiral, banks are writing down their balance sheets and have made access to new home loan financing as tight as was last experienced in the early 1980s. There is little comfort to be taken from the current raft of available figures, with a shrinking economy, rising unemployment and falling house prices," says Levitt.

The Alliance Group believes negative housing equity - where your home is worth less than you owe on it - is now most probably at 1 in 15 South African homes.

"Those who are in mortgage arrears and are in the position where their outstanding finance is above their house's current market value and they are caught in a debt trap. Many people are sadly trapped in a home worth less than the loan they took out to pay for it," says Levitt.

The Alliance Group Distressed Asset Index tracks mortgage stress, which it has defined as mortgage holders who have been in arrears for two months or less. Mortgage stress has sharply increased from 75 000 in the third quarter of 2008 to 130 000 in the last quarter of the year.

"The rapid escalation of those in mortgage stress has picked up pace into 2009 despite interest rate cuts and we expect some very poor results in the first quarter of this year". More concerning, says Levitt, is severe mortgage stress where bondholders are over four months in arrears and likely to lose their homes. Severe mortgage stress catapulted from 8 000 in the second quarter of 2008 to over 35 000 in the last quarter.

Levitt says: "Despite a downward trend in interest rates, we are seeing severe mortgage stress continue to grow. Currently there are approximately 1 200 houses per month which are being sold forcibly through legal channels which include sales in execution, insolvency sales and banks' voluntary distressed sales channels.

"One of the positive indicators that the residential property market is still active is that buying activity of distressed houses has surged. Distressed auction floors across the country are burgeoning and there are hordes of opportunistic buyers looking to pick up properties at lower prices. In the last downturn banks couldn't give away distressed properties and had to keep them on their books as properties in possession. Now, there are multitudes of buyers who have access to financing and see the current period as a period of opportunity as unprecedented volumes of houses hit auction floors."

According to Levitt, the only factor that can alleviate severe mortgage stress will be aggressive interest rate cutting. "The Reserve bank will have to follow international central banks in applying far more severe rate cutting. What we have seen to date from their Monetary Policy Committee is too re-active and too slow. Financially distressed South African households are crying out for significant interest rate cuts and while the Reserve Bank concerns itself with targeting inflation, many families are simply interested in targeting to retain a roof over their heads".

Unfortunately interest rates cuts are having a limited effect on property values, says Levitt, who points to the UK and USA, where interest rates are heading towards zero yet house repossessions have remained at historic levels.

Internationally distressed housing markets have continued to grow and are fuelled by a collapse of household balance sheets and the inability to raise new financing. According to Levitt, over the last two decades, South Africans have become used to recessions but these have been alleviated by reductions in interest rates which have created credit-induced spending and caused house prices to grow.

"But this recession is different", says Levitt. "With a triple whammy of a deepening global recession, job losses and a constrained financial sector, this downturn is differentiated from previous forms which were largely interest rate-driven".

"Worryingly, the knock-on effect of a housing market in recession is the inevitable cutback in households which are rapidly cutting back on consumption and the demand for new housing". There has also been a sharp spike in company liquidations of residential property developments and allied services. "Many residential property developments are in real threat of hitting the wall and recently we have seen liquidations of well known property developers which cannot sustain themselves".

"Throughout most of last year, the sector of the residential market that was most affected were the single residential units, previously valued in the R1m - R3m category with particular problems in the secondary and leisure housing markets. By the last quarter of 2008 residential developments, development land and incomplete developments were the sectors which were experiencing most of the pain. In mid-2008 the upper end of the residential market and particularly the luxury market over R10mi was not affected by the downturn as wealthy buyers continued investing in affluent areas. Now there is no doubt that these markets are being affected and whilst there is still muted buyer demand, buyers are now dictating prices".

"House price deflation may start to bottom out in late in 2009, but unless we see significant rate cuts this year, distressed homeowners will lag the market by two quarters. However, continued contraction in credit availability, lower loan-to-value ratios and increases in funding costs for borrowers will continue to put downward pressure on values. What the credit boom gave, the crunch may take away."

House prices dipping - the estate agents' view

Mike Greeff, CEO of Greeff Properties, like many other estate agency bosses takes comfort from the latest figures from Absa Homeloans. He says these "indicate clearly that in 2008 house price growth slowed noticeably in all price categories and across most of South Africa - but the overall picture is nowhere near as bleak as many property watchers would have us think."

"Absa's prediction is a 2,5% nominal house price drop in 2009, but it should be noted that the Western Cape, with a 5,2% overall price rise, was in 2008 the outstanding performer in SA. Cape Town itself should see a 2,4% nominal price increase."

"It has to be remembered that from 2004 to 2006 prices rose roughly 30% per annum. Any purchase before this date is, therefore, still showing an exceptional capital gain and will probably see a doubling of his home's value by late 2010.

"With an anticipated drop of 3,5% by October 2009 now would, in my view, be a good time to get into residential property. The current period must be close to the imminent bottoming out of the market," he says.

Like Greeff, Laurie Wener of Pam Golding Properties says "it's not all doom and gloom". "It is undeniable that there has been a downward trend in the property market and a reduction in transaction volumes, resulting in downward pressure on prices," says that group's MD for the Western Cape metro region.

"Certain suburbs as well as specific types of homes are bucking the trend, and continuing to attract high levels of demand and even top prices. A handful of top-end properties which are iconic or individualistic in terms of design, position and finishes, sometimes defy market trends, as they can only be acquired at a price acceptable to the seller. These sellers are often prepared to wait for the right price, or especially for a cash buyer. This trend generally occurs in upmarket areas such as Clifton, Bantry Bay, Camps Bay, Upper Constantia and Bishopscourt. "

Figure were up for Wener's organisation for January, with more sales, more interest from potential buyers, and better attendance of show-houses. "There has also been significant improvement in the lower-priced segments which were initially hardest hit when the market started cooling, but are now picking up noticeably."

This is especially true, says Wener, of the lower-end price ranges in the Atlantic Seaboard and Southern Suburbs (up to R2m, and particularly in sectional title sales) and in the Northern Suburbs (residential sales up to R3m).

There is "no denying that some areas have been hard hit by the downturn, particularly where buyers typically have high mortgages relative to value.

Wener says in areas where there has been high investor activity over the past 18 months or so, like Cape Town's inner city, owners may now find it difficult to recover their costs in the current market. "Our advice to investors/owners would be that if it is at all financially feasible for them, they should try to hold onto their properties and rent them out until the market recovers, rather than sell now at a loss. The market will recover and they will see capital growth again."

Cash buyers remain at a significant advantage in the current market, adds Wener, as banks continue to tighten their lending conditions even further. "Whilst the latest reduction in interest rates announced on 5 February is a welcome step for home-owners," she says, "the ongoing conservative approach being taken by banks towards their loan criteria and reduced mortgage loan budgets will dilute its positive effects to some degree."

Realestateweb.co.za

Bad builders: what to do?

2008-12-04T17:05:00.001+02:00

Before you sign a contract with any builder, check references as banks do not protect clients from unscrupulous builders, says home loan executive.

Property owners are often ripped off by builders. Some do not complete building the house, others build poor quality and sub-standard houses, said Luthando Vutula, managing executive of Absa Home Loans.

Vutula said where a property owner finds him or herself in such a situation, banks do not protect the owner from the builder.

The contractual obligation that banks have with the client is in terms of the mortgage loan agreement, said Vutula.

He advises that before an owner employs the services of a builder, he or she needs to ensure that they fully understand the content of the building contracts that they sign.

In particular, pay attention to payment clauses, the building specifications and time clauses.

"Always conduct reference checks on the building contractor before signing agreements," he said.

Where the owner is not satisfied with the standard and quality of work, speak directly to the builder or developer (whichever is applicable).

This engagement will give the builder the opportunity to address concerns expressed by the owner and rectify the problem.

If no resolution is reached , as a last resort the owner can instruct the bank to make no further payment on the building until the work has been done to the owner's satisfaction and concerns fully dealt with, said Vutula.

Banks are not party to the building contract signed between the client and the builder.

For this reason, any disputes between the two parties should be taken to the National Home Builders Regulatory Council (NHBRC), a body which protects the interest of consumers and regulate the home building industry.

Vutula said the NHBRC protects consumers from builders who either build to an unacceptable quality standard or builders who refuse to get involved in the rectification of built-in defects in the home.

Although the bank cannot recommend builders to its clients, the legislation stipulates that all builders involved with building projects that are subject to a mortgage loan should be registered with the NHBRC.

Information on registered builders can be obtained form the NHBRC, said Vutula.

While building contractors are not the same, it remains the owner's responsibility to carefully peruse the contract before signing. It is advisable to obtain legal advice for clarity on the contract terms and conditions to avoid unpleasantness with the builder at a later stage, he said.

For example, said Vutula, the client is obliged to pay the builder for work that is satisfactorily completed and the builder has obligations to provide his services as per stipulations in the building contract.

When a client applies for loan on building works on their property, the bank appoints a valuer whose does checks on the construction or building site to ensure work is being carried out in accordance with the minimum building requirements and plans submitted to the bank.

"The client has a right to withhold payment from the builder if the work done is not up to standard," said Vutula.

If this happens, the client should first familiarise themselves with the contract and also be aware of their legal position regarding withholding funds, said Vutula.

He added that the bank can only act on instructions from the client to not to proceed with payments to the builder.

Denise Mhlanga
Realestateweb.co.za - Johannesburg,Gauteng,South Africa

Mhlahlo engineers a turnaround in housing.

2008-12-04T17:00:00.000+02:00

AFTER taking office in August, Housing MEC Thobile Mhlahlo vowed not to allow a cent of his R1,2-billion in conditional grants to remain unspent, and set the department a target of building 15000 new homes before the end of this financial year.

He said the department would recall allocated budgets from all municipalities that were not spending them, so they could be redistributed to other projects.

“At the beginning of this term I called public and private sector financial institutions together at a breakfast meeting to introduce my ambitious multi- million-rand housing turnaround delivery plan.”

He said major banks, including Absa, FNB, Standard Bank and Nedbank, as well as other public and government financial institutions such as the Development Bank of Southern Africa (DBSA), the National Housing Finance Corporation (NHFC) and the National Urban Reconstruction and Housing Agency (Nurcha) were already working with his department on housing projects.

About R464-million of the conditional grants have already been spent, and Mhlahlo has approved funding amounting to R285-million for other housing projects in the province.

“The consultative breakfast meeting was a culmination of meetings that I had with contractors, municipalities and NHBRC as part of my intervention plan to remove stumbling blocks (projects that had stalled due to lack of finance) in the province.

“After the meeting with all the banks I had individual one-on-one meetings with Absa, FNB and Nedbank.

“FNB has purchased a pineapple field near the Da Gama Textiles factory on the way to East London that is big enough to build 6000 houses on and I have appointed a task team to facilitate the process of engaging other stakeholders like Buffalo City to come on board.”

Mhlahlo has handed over 500 houses from the Sundays River municipality, 300 in the Nomathamsanqa township in Addo and 200 in Kirkwood.

Some 5475 houses will be handed over in Nelson Mandela Bay shortly. Of these, 900 will be handed over in Joe Slovo before Christmas, while others will be handed over in areas like Bethelsdorp, Matthew Goniwe and Chatty before the end of this financial year.

“Some of the beneficiaries of these houses are seasonal farm workers who depend on old age grants, domestic workers and other people who earn less than R1000 a month,” he said.

Mhlahlo also introduced the Sakhi‘themba graduate development programme in October.

“The project is aimed at creating employment opportunities for young people and also to address the challenge of lack of monitoring.

“It will also be reviewed after two years.”

Some of the problems Mhlahlo said he had faced during his 100 days of office included:

Contractors assuming developer status with limited capacity and resources.

Slow implementation of projects by implementing agents.

Slow processes of municipalities – especially on blocked projects.

Poor performance of contractors.

Lack of monitoring and evaluation of projects.

Land availability.

“We have tried to solve some of these problems, but now the biggest challenge we are facing is that of municipalities not spending the monies allocated to them.

“We have found that they do want to spend the money but many did not know how. My department is assisting those municipalities that want to be helped,” he said.

Khanyi Ndabeni
The Herald Eastern Cape - Port Elizabeth,Eastern Cape,South Africa

Residents live in fear of collapsing mansion

2008-11-13T08:02:00.000+02:00

This is the hillside mansion residents live in fear of. Now the City of Johannesburg wants the High Court to order its demolition.

But residents of Quellerina, in Roodepoort, fear the order will come too late.

Perched atop a ridge, the triple-storey house is cracked and a large part of its retaining wall has collapsed.

Several properties lie below the house, all in serious danger should it collapse.

The problem, the municipality and other building officials have said, was evidence of shoddy workmanship.

Poor design, poor-quality building materials and poor workmanship have all been blamed for the situation.

Council spokesperson Nthatise Modingoane said the council had compiled a report which would prove the house was "an imminent danger".

He refused to reveal who the house's owner was or why the council had allowed the building to be put up.

"The matter is being dealt with by the city's development planning and urban management department, and it is at an advanced stage," he said.

However, residents are scared now that it's the rainy season.

"We find ourselves thinking that it is going to collapse (every time it rains), but the council won't do anything about it until people are dead or property is damaged," said resident Natalie Pereira.

"Walls started coming down seven months ago and we immediately notified the council, but we're still waiting."

Local councillor Steve Kotze said it was surprising that the structure had been allowed to go up while the council was supposed to have been monitoring safety and quality standards.

"Looking at those cracks, one wonders if the council had approved the house plans at all. If people are killed, what sort of excuse are we going to have from the council?" he said.

"This is a matter of life and death and I think something needs to be done to save lives and property while awaiting the court order."

The Star took the matter to the National Home Builders' Registration Council (NHBRC), which protects the interests of builders and homeowners, regulates the industry and monitors standards.

After visiting the property in Maluti Street, an NHBRC official's report agreed that poor workmanship was at fault, and it also identified other problems.

"The property poses a serious threat to life as well as to other properties downhill. Serious measures must be taken urgently in order to protect lives," the report found.

NHBRC head Phetola Makgathe said either the contractor or the engineer could be blamed for the problem.

"The engineering fill was not properly compacted, hence the retainer wall falling. The engineer who approved the structure could have monitored the compaction," he said.

"The builder has deviated from normal building standards in that he did not use any brickforce in walls, and slabs were not properly reinforced."

Makgathe said one option besides demolishing the house was to seek an engineering solution. This meant finding a qualified and approved engineer who would redesign the whole structure.

"This could mean half of this house must be reconstructed, and that could cost three times more than the original building cost.

"A structural engineer would also be needed to monitor reconstruction of the house, especially the retaining walls," Makgathe said.

All attempts to contact the owner of the house, who is known to The Star, failed.

A reliable source within the municipality said the owner was attempting to halt the demolition of the house, saying he would repair the dwelling and sell it to recoup his losses.

Meanwhile, Quellerina residents hope the house stays intact until a demolition order has been obtained.

By Poloko Tau
www.iol.co.za

Gang of 15 caught in the act on CCTV

2008-10-23T14:27:00.000+02:00

These hoodlums were captured on security cameras cleaning out the offices of the National Home Builders Registration Council (NHBRC).

Now police are looking for them.

The footage, which was handed to the Randburg police, shows a group of about 15 men entering the NHBRC offices in Bryanston on the night of July 27.

Security manager at the facility Willie Meela said the group gained entry to the premises by telling the staff at the gate that they were delivering parcels.

On the video footage one of the thugs can be seen entering the reception area with a parcel marked NHBRC.

While security personnel prepare to fill in a parcel register a second man, also armed with a phoney parcel, enters.

One of them draws a gun and instructs the two officers to kneel down. Once they have tied them up other accomplices can be seen entering the building.

Without any hesitation the two thieves dismantle a Plasma TV hanging on the wall, while the rest go to the storeroom and begin removing new computers, laptops, LDC monitors, Sonny projectors and servers worth R671000.

Another thief can be seen opening a gate leading to the basement so that a bakkie and a car can enter. The two cars swiftly pull off after being loaded with goods.

Their luck ran out when, a few weeks later, police spotted the van used in the operation loaded with computers stolen from another company.

Meela said: “After effecting an arrest police discovered that the owner of the van was being held at the Hillbrow police station in connection with an unrelated crime.

He said four suspects, believed to be members of a syndicate, are foreign nationals. Anyone with information can contact detective Moloko Motau on 072-675-4540 or Willie Meela on 079-529-6218.

Cecil Motsepe
www.sowetan.co.za

New foundation technique gives hope for RDP houses

2008-10-02T08:34:00.000+02:00

A BRAND new civil engineering franchise in the Eastern Cape claims to have the answer to building good quality RDP houses.

GeoBUILD Eastern Cape last week demonstrated to Nelson Mandela Bay officials and contractors an innovative method of constructing foundations which could save money and time, as well as improve the quality of houses. On a recent visit to the metro, Housing, Safety and Liaison MEC Thobile Mhlahlo highlighted various problems contractors faced delivering high-quality RDP houses, including high costs, time constraints and problematic surfaces such as clay at the sites for these houses.

GeoBUILD uses a construction product, approved by the National Home Building Regulation Council (NHBRC), called Multi Modula.

Small hollow pods made from recycled polypropylene are packed over a levelled footprint area. Concrete is then poured over them. Structural engineer and GeoBUILD director Henk Fourie said the method used 47 per cent less concrete and 35% less steel than traditional methods, was easy to implement, and sorted out problems related to clay.

The method has been used around the world for the last 22 years and in South Africa for the past 18 months, during which 13000 RDP houses have been completed using the method.

Municipal spokesman Lourens Schoeman said the metro would be discussing GeoBUILD‘s construction method.

Yolandé Hayward HERALD REPORTER
www.theherald.co.za

Nearly 20000 EC houses identified as defective

2008-09-16T08:24:00.000+02:00

NEARLY 20000 houses in the Eastern Cape have been identified as defective, Housing Minister Lindiwe Sisulu has told the National Council of Provinces.

Replying to a written question from Watty Watson (DA), the minister said that 19953 houses that had been built in the Eastern Cape were defective, with 150 units at “various states of completion”. The total cost of repairing the houses is about R99,7-million.

Sisulu said provincial housing departments had initiated a process to determine the number of housing units with building defects.

Various methodologies such as surveys and requests for beneficiary applications had been used to determine the projects involved and the number of units with defects that needed to be repaired.

The services of the National Home Builders Registration Council (NHBRC) were being used “to ensure that the same contractor who initially built the units, is not appointed to do the rectification and that contractors appointed adhere to the necessary requirements”.

She said the verification process to date had revealed a number of projects with some sub-standard workmanship and the findings had been forwarded to the relevant provincial departments “for further investigation”.

Patrick Cull - POLITICAL CORRESPONDENT
The Herald

Builders' Gripe with NHBRC

2008-08-26T14:58:00.001+02:00

IN light of recent issues highlighted by key industry bodies, the Master Builders Association of South Africa (MBSA) as well as a number of construction industry associations and industry professionals - including engineers and architects - met last month in Cape Town to discuss the role of the National Home Builders Registration Council (NHBRC).

According to Rob Johnson, executive director of the Master Builders Association of the Western Cape (MBAWC), the meeting was called to examine recurring issues faced by individuals and organisations when dealing with the NHBRC and to discuss a way forward to avoid such occurrences in future. “We decided it was about time that the relevant parties joined forces to resolve the ongoing problems that have been highlighted by a number of our members. The aim of the meeting was to discuss the issues at hand and decide on a constructive way forward.”

Topics brought to the attention of the chair included, among others, the lack of service delivery, inadequate communication from the NHBRC, unfair enrolment procedures and problems with the handling of non-compliances.

The meeting was attended by representatives of the NHBRC, including the chairperson Sibongile Nene who addressed the audience and said that she was happy that the forum had been called and that a united step forward was the only way to resolve current issues.

Johnson explains that a task team will now be established to present the issues discussed at the meeting directly to the NHBRC in an attempt to facilitate a resolution. “We are aware that the problems cannot be resolved overnight, but we feel that this is a step in the right direction and both the NHBRC and the MBSA are committed to positive change and the improvement of procedures to strengthen our industry,” says Johnson.

The Master Builders and Allied Trades’ Association (MBA), Western Cape, is a registered trade association for employers in the building industry. Its membership comprises some 400 companies, most of whom are either builders, building subcontractors, building merchants or manufacturers of building products.

Membership of the MBA is on a voluntary basis. Its members handle some 70% of all the building work in Cape Town and employ a similar percentage of the total building industry workforce.

Apart from campaigning for continually higher standards, the association also plays an active role in industrial relations, the drawing up and adaptation of the building contract law, safety procedures and, most importantly, training.

“In the last field, particularly, the MBA, Western Cape has for many years been the acknowledged leader.”

“Some 50% of all the training done for the building industry nationwide takes place in the Western Cape - and we have a proud tradition of producing skilled and semi-skilled people who have worked on major projects all over Southern Africa,” says Johnson.

Article by: Cape Business News
www.cbn.co.za

South Africa: Poor Residents Again Face Eviction from Poorly Built ...

2008-07-18T09:55:00.000+02:00

Hanover Park – In 1994, then president Nelson Mandela promised to build one-million homes. In 2000 the Cape Town Community Housing Company (CTCHC), a private company, was entrusted to help make this promise of Mandela a reality by becoming a housing delivery vehicle for the government. In the process, they build 2,193 houses on a 'rent to buy' basis in 9 communities across the Western Cape.

In order to make the houses affordable to the poor, families were requested to save between R150 – R350 per month over a period of six months before moving into their new homes. They claimed that this amount would be equal to their monthly rental...

However, during the course of the remedial programme, we have established that the NHBRC Forensic Audit and Assessment is flawed and full of shortcuts...(Read Full Article)

Anarkismo.net

Builders on hold due to council's backlog

2008-06-09T11:38:00.000+02:00

The National Home Builders' Registration Council (NHBRC), which regulates the home building industry and protects the interests of housing consumers, has a backlog of housing unit enrolment applications due to a recent strike by the council's staff and Eskom's load shedding. This has put cash flow pressure on some construction companies.

Some builders claimed the delay by the NHBRC in issuing certificates affected their cash flow as banks refused to release any loan funds for housing units until presented with an NHBRC certificate.

The delay in conducting inspections was also a problem as it meant the next phase in building could not commence.

Phetola Makgathe, the NHBRC's chief executive, confirmed on Friday that the organisation had a backlog in enrolment data it had to capture but was unable to quantify it or say how long it would take to eradicate.

However, Makgathe said it outsourced inspections and inspectors were not on strike.

Makgathe said the NHBRC did a quality assurance audit on the inspectorate and this had not taken place during the strike, but the backlog in inspections was small.
Click here!

He confirmed the generation of new enrolment certificates was affected by the strike and recent load shedding, and was of concern. But he said the strike did not affect all nine provinces and the NHBRC had acquired its own generator to deal with load shedding.

The NHBRC had written to banks to request them to relax their requirements on enrolment certificates to allow construction to commence.

Makgathe said the NHBRC was dealing with the backlog but he was unsure how much progress had been made.

He said the strike by members of the National Education, Health and Allied Workers' Union (Nehawu) members at the NHBRC had lasted for about a week and had ended on May 26.

Makgathe said Nehawu members were striking about a performance bonus grading system. The union had given in and the offer by the NHBRC stood.

By Roy Cokayne
www.busrep.co.za

NHBRC Strike

2008-06-02T08:35:00.000+02:00

We have been informed that all offices are open.

NHBRC Strike.

2008-05-30T09:56:00.001+02:00

The Facilitators have been informed that Gauteng (Bryanston and Tshwane) has gone on strike again.

We can confirm that Witbank, P.E. and Cape Town did work today, but we have not been able to confirm with the other regions.

As always, we will keep you informed of this unfortunate situation.

NHBRC Strike is over.

2008-05-27T15:55:00.000+02:00

The Facilitators have been informed that the strike is over and that staff has returned to work.

We have been advised that the NHBRC have put procedures in place to deal with the back log as a matter of urgency. We will keep you up to date with any further developments.

NHBRC Strike

2008-05-22T15:54:00.000+02:00

The NHBRC has been on strike since the 14th of may over a pay dispute. This means that they are unable to process any submissions.

We advise that you contact us in advance and as soon as possible for any new submissions so we can prepare the documentation as we are expecting delays due to the back log of Enrolment and Registration applications.

We will keep you informed on any further developments as we receive further information. We apologise for the inconvenience, rest assured we will be following up regularly and will inform you of any further developments.

NHBRC is on Strike.

2008-05-20T15:53:00.000+02:00

The NHBRC is still on strike...

PE Councillor for Housing clarifies media report

2008-05-17T15:52:00.000+02:00

"The only concern raised at the meeting was around the National Home Builders Registration Council (NHBRC) certification, and I took it upon myself to ...

BuaNews Online (press release) - Cape Town,South Africa

NHBRC is on Strike.

2008-05-15T15:51:00.001+02:00

NHBRC is still on strike...

NHBRC is on Strike.

2008-05-14T15:47:00.002+02:00

We've been informed that the NHBRC have gone on a country wide strike. We have not yet been informed on the length of the strike.

We will keep you informed on any further developments as we receive further information. We apologise for the inconvenience, rest assured we will be following up regularly and will inform you of any further developments.

Cape manufacturer produces ecofriendly bricks

2008-02-15T20:07:00.001+02:00

Concrete brick manufacturer Cape Brick manufactures an eco-friendly product as part of the company's long-term commitment to manufacturing a sustainable environment-friendly product, says Cape Brick sales director Jean Tresfon.

He says that Cape Brick is the only local manufacturer of truly environment-friendly bricks.

"Our recycled bricks are engineering grade, load-bearing, and structural concrete masonry units, that have been approved by the CMA. They hold the lowest embodied energy content of all the bricks manufactured in South Africa," states Tresfon...

..."We were confident that the tests would prove satisfactory, as the SABS conducted a thermal test on our behalf in 2001. However, the NHBRC was concerned that units could vary over time, or that units from different companies might not have the same properties. This is why they have stipulated that each manufacturer must submit its own product for testing," states Cairns.(Read More...)

Laura Tyrer
www.engineeringnews.co.za

Country Aims to Clear Slums by 2014

2008-02-14T10:04:00.000+02:00

Housing delivery will continue to be fast tracked with the objective of accommodating all those seeking homes in formally planned settlements by 2014, says Health Minister Manto Tshabalala.

Speaking at the Social cluster briefing in Cape Town Thursday, the minister said the Department of Housing's focus in the coming financial year will be its programme of slum eradication...

...The National Homebuilders Registration Council (NHBRC) will continue to adhere the minimum standards set by government and will have the authority to stop any contractor who does confirm. (Read More...)

BuaNews (Tshwane)
Vivian Warby
Cape Town

It now costs less to build than buy

2008-02-11T15:53:00.000+02:00

Residential building activity has slowed significantly on the back of higher interest rates and a softer housing market, placing would-be homebuilders in a good position to negotiate tender prices with contractors.

FNB property strategist John Loos says residential developers are facing tough times as demand for new housing as well as alterations and additions continue to slow. Building plans passed for residential alterations and additions have already dropped by 3% in the three months to November 2007 (y-o-y). Loos expects residential building completions to be 5% to 10% lower in 2008 than last year.

Increased competition among developers and building contractors for new business is already placing pressure on profit margins. FNB's Residential Building Cost index - based on tender prices - shows that building cost inflation slowed to 4,7% in fourth quarter 2007. That is sharply down from a peak of close to 39% in third quarter 2006. Loos says it now costs R5 264/sq m to build the average, middle-sized house (excluding affordable and so-called RDP houses).

He expects pricing power to continue to suffer over the next six months. Although that is bad news for developers, it does of course create opportunity for consumers to negotiate more competitive prices with contractors. In fact, latest data from Absa Bank show that it already costs less to build a new house than to buy an existing one. (Read More...)

www.property24.com

Eastern Cape Works to Fast-Track Rural Housing

2008-01-23T13:27:00.000+02:00

Strategies to fast-track rural housing delivery in the Eastern Cape will be the main focus of a Rural Housing Summit to be held this week.

Department of Housing and Local Government spokesperson Phumlani Mdolomba said the two-day summit, which kicks off on Thursday, will focus on rapid land release, land for asset ownership and the renewal of the rural residential property market.

It will also focus on alternative technologies and indigenous knowledge systems in material supply and construction methods to speed up delivery.

"The deliberations and outcomes are expected to feed into and enhance the draft provincial strategic framework for creating sustainable human settlements from this year [2008] to 2014 which is currently under broad consultation in the province," said Mr Mdolomba.

In November last year, Housing Minister Lindiwe Sisulu had tasked the National Home Builders Regulation Council (NHBRC) to conduct an audit of a major Eastern Cape housing project in a bid to prevent poor workmanship.

The move followed complaints raised by residents to the minister during a Presidential imbizo two months before.

As promised during the event, Ms Sisulu had returned to Ugie with Power Construction, the company responsible for building homes in the town. (Read More...)

AllAfrica.com

EC Housing MEC announces low-cost housing plan

2008-01-21T13:21:00.000+02:00

She urged all building material suppliers to register with the provincial government in terms of the National Home Builders Registration Council (NHBRC) in a bid �to pull all stakeholders together� to achieve her goal of �getting housing in the Eastern Cape back on track�.

This would mean that every part in the supply chain � material suppliers, contractors and sub contractors � would now be regulated in terms of the NHBRC. (Read More...)

Dispatch Online - South Africa

Experts identify hidden costs

2007-11-26T10:43:00.000+02:00

Although the National Home Builders Registration Council (NHBRC) was established to protect home owners and to regulate the home-building industry, ...(Read More...)

The Times - Johannesburg,Gauteng,South Africa
www.thetimes.co.za

Govt plans to repair defective state-built houses

2007-11-21T08:42:00.000+02:00

THOUSANDS of defective government-built houses in the Eastern Cape are to be fixed.

The National Home Builders Registration Council (NHBRC) is calling for expressions of interest from suitably qualified companies to rectify all houses in the Eastern Cape with structural defects and not suitable for human habitation.

A total of 11 531 houses have been identified throughout the province for rectification. Municipalities where these houses have been identified are Nelson Mandela Bay, Ukhahlamba, Chris Hani, Amathole, Buffalo City, Alfred Nzo, O R Tambo and Cacadu.(Read More...)

The Herald Eastern Cape - Port Elizabeth,Eastern Cape,South Africa
www.theherald.co.za

Ugie building contractor willing to fix poor homes

2007-11-15T12:49:00.000+02:00

POWER Construction, the company that built about 2 000 homes for the poor in Ugie, returned to this north-east Cape town last week, with Housing Minister Lindiwe Sisulu, to tell the community it would accept responsibility for fixing structures if any were found to have been poorly constructed...

Sisulu told the community that she had asked the National Home Builders' Regulation Council (NHBRC) to carry out a forensic audit of the houses built in ...(Read More...)

The Herald Eastern Cape - Port Elizabeth, Eastern Cape, South Africa
www.theherald.co.za

Department cracks down on sub-standard builders

2007-11-09T09:06:00.000+02:00

THE national housing department has commissioned the National Home Builders‘ Registration Council (NHBRC) to conduct a forensic audit on selected state-funded housing projects, starting in Transkei, to determine the extent of sub-standard housing in the Eastern Cape.

The move was prompted by housing delivery woes in the province, which was allocated R1,05-billion this financial year by the national government for housing delivery.

Contractors who have done shoddy work, and those who have abandoned construction sites after having been paid, will be tracked down and made to repay the money, be suspended or deregistered...(Read More...)

The Herald Eastern Cape - Port Elizabeth, Eastern Cape, South Africa
www.theherald.co.za

Quality inspection ordered at Eastern Cape housing project

2007-11-08T09:26:00.000+02:00

The National Home Building Regulation Council (NHBRC) began a forensic audit into the Ugie housing project in the Eastern Cape on Monday, after a number of ... (Read More...)

Engineering News (press release) - Garden View,South Africa
www.engineeringnews.co.za

David Wentzel: CEO, RBA Housing

2007-09-19T12:03:00.000+02:00

... MONEYWEB: Let's take a step back. You create low-cost housing. What exactly is involved in that?

DAVID WENTZEL: Well, it's not actually low-cost. We define it as "affordable housing". Low-cost is about up to R40 000, predominantly government-subsidised. Then "credit-linked", between R40 000 and R250 000 units. And then the "affordable housing" market, which is fully banked from the turn-key residential developments, predominantly for black middle-class people earning a gross salary of between R10 000 and R15 000 a month.

MONEYWEB: And how do you make your money, then?

DAVID WENTZEL: Well, there are three stages in the affordable housing. The first one would be the servicing of the land, then going out, doing the prop structure development, which takes care of the project management, the submission of plans, engineer, architect, getting the sales, the NHBRC enrolment, which gives the client a five-year guarantee. And then the third step is ultimately the construction of the property, prior to handover and retention of that house. (Read the whole article...)... MONEYWEB: Let's take a step back. You create low-cost housing. What exactly is involved in that?

DAVID WENTZEL: Well, it's not actually low-cost. We define it as "affordable housing". Low-cost is about up to R40 000, predominantly government-subsidised. Then "credit-linked", between R40 000 and R250 000 units. And then the "affordable housing" market, which is fully banked from the turn-key residential developments, predominantly for black middle-class people earning a gross salary of between R10 000 and R15 000 a month.

MONEYWEB: And how do you make your money, then?

DAVID WENTZEL: Well, there are three stages in the affordable housing. The first one would be the servicing of the land, then going out, doing the prop structure development, which takes care of the project management, the submission of plans, engineer, architect, getting the sales, the NHBRC enrolment, which gives the client a five-year guarantee. And then the third step is ultimately the construction of the property, prior to handover and retention of that house. (Read the whole article...)

Moneyweb - Johannesburg,South Africa

North West housing project marred by controversy

2007-07-24T08:25:00.000+02:00

... Allegations investigated
The department of developmental local government and housing, which is responsible for the project, says the allegations of corruption and maladministration are being investigated. The department is also to meet the construction company.

The Mafikeng local municipality, whose councillors are implicated in some of the allegations, are also conducting a separate investigation.

Corruption and maladministration in the provision of low cost housing projects not confined to this project alone. Some of the houses in this project, have already been declared unsafe by the National Home Builders Registration Council (NHBRC), whose primary task, is to ensure quality and audit of each being built in the country. (Read More...)

www.sabcnews.com

How to avoid the building blues

2007-07-12T10:17:00.000+02:00

...At the very least, potential contractors should be registered with the National Home Builders Registration Council (NHBRC) (by the way, the site also has a very useful list of builders whose licences have been suspended. It's very long).

If possible, ask to meet with the foreman who's being proposed to manage your job, and chat to him for long enough to find out whether you'll to be able to work together (because that's what it's all about)...(Read More...)

Fair Lady - Cape Town,South Africa

Property owners object to new code

2007-07-01T08:17:00.000+02:00

The SA Property Owners Association (Sapoa) is opposed to a new code of conduct that targets property developers and which appears to clash with legislation. (Read More...)

Consternation amongst developers

2007-06-29T07:41:00.000+02:00

THE new Code of Conduct for Home Builders published by The National Home Builders Registration Council (NHBRC) is aimed at the smaller home builder, against whom most protection is needed. But it is also applicable to larger residential developers developing and selling residential dwellings whether freehold or sectional title. This is causing much consternation amongst bigger role players.

“The aim of the Code is the protection of the housing consumer which is clearly needed, and if the Code is strictly adhered to, there is no doubt that consumers will be far better off. The Code is comprehensive and in seeking to address a vast number of issues, contains many quite onerous provisions for the home builder to comply with,” says David Warmback of Shepstone & Wylie Attorneys.

However, he cautions that in an industry which historically has a poor reputation for protecting consumers, particularly in the lower end of the market, it is anticipated that it will take some time before the industry is able to properly embrace the good intentions behind the Code, which came into effect recently.

He highlights some of the significant provisions in the new Code as follows:

• home building contracts may now only be concluded once the housing consumer has had 30 calendar days to view the contract;

• restrictions on clauses in contracts which have the effect of taking away consumers common law or statutory rights;

• restricting deposits to no more than 10% of a contract price of a fixed cost building contract;

• minimum clauses that must be included in a building contract, and an obligation that a home builder must retain a copy of the contract and all records relating thereto, for a period of at least six years;

• a home builder may not accept final payment under a building contract unless the bank, NHBRC or competent person has certified in writing that the work has been completed according to NHBRC’s prescribed minimum standards and guidelines.

In summary, the Code is intended to provide minimum standards to be maintained by all NHBRC home builders when contracting with consumers, says Warmback.

“Banks are not allowed under the Act to lend money to consumers against the security of a mortgage bond registered over a home for the purchase of a home from a home builder,” explains Warmback. “That is, unless the bank is satisfied that the home builder is registered in terms of the Act, that the home is or will be enrolled with the NHBRC and that the prescribed fees have been paid.” (Read More...)

Cape Business News
www.cbn.co.za

Gauteng to work towards promoting social integration

2007-06-18T08:35:00.000+02:00

Johannesburg - The Department of Housing will work towards promoting social integration across class as well as between racial groups, said Gauteng Housing MEC Nomvula Mokonyane.

Tabling her R2.6 billion budget vote on Friday at the provincial legislature she said this will be done through the introduction of inclusionary policy.

The policy would require developers of the up market estates to set aside a certain percentage of their housing development to low-cost housing for low-income groups.

"The inclusionary policy is attempting among other things to address the apartheid spatial designs which created arid reserves for one group and plush suburbia for the other, this can be addressed through Mixed-Housing Development programme," said MEC Mokonyane.

Under the Mixed-Housing Development the department has identified flagship projects for each region in Gauteng where there is ongoing work which is at different phases and stages of construction.

"This is the type of commitment we have made and we would like to be judged on," she said.

"Other projects such as Thorn three View and Nelmapius are also on track with houses already constructed and ready for occupation.

"In Doornkop the housing development will consist of about 25 000 different housing units for various income groups," added Ms Mokonyane.

The housing products intended for the project, she said, included fully subsidised housing for the poorest of the poor, affordable housing for other low-middle income households and middle - to - high bonded housing stock.

In Mogale City, the department in partnership with Absa bank has identified a project in Kagiso/Azzadville where they will develop mixed housing with 6 800 different housing units.

Ms Mokonyane also announced that as part of her department's youth empowerment programme, ten youth companies within the housing and construction industry would be awarded contracts to build houses.

"The youth will be taken through the Empowerment Programme so that they become established developers in their own right.

"The department will be enrolling one hundred young people for training in construction, financial management and project management".

This, she explained would be done jointly with Gauteng Youth Commission and Umsobomvu with the National Home Builders Registration Council (NHBRC) providing the technical assistance and training. (Read More...)

By Bongani Mlangeni; tel: (012) 314 2404
BuaNews

Youth to benefit from R24 million housing project

2007-06-14T08:27:00.000+02:00

Hammaskraal - Young people will be empowered through a R24 million housing project which will see 600 houses built by two youth-owned construction companies, appointed by the Gauteng Department of Housing.

Apart from this, the department will be enrolling 100 young people for training in construction, financial management and project management.

This would be done jointly with the Gauteng Youth Commission and Umsobomvu with the National Home Builders Registration Council (NHBRC) providing the technical assistance and training. (Read More...)

By Bongani Mlangeni; tel: (012) 314 2404
BuaNews

Clash over EC homes project

2007-06-11T09:15:00.000+02:00

Builders working under the People's Housing Process were not required to be registered with the National Home Builders' Registration Council (NHBRC). (Read More...)

Dispatch Online - South Africa

Building council workers on strike

2007-05-31T10:52:00.000+02:00

About 250 workers at the National Home Builders Registration Council (NHBRC) downed tools on Wednesday, the National Health and Allied Workers Union (Nehawu) said.

Nehawu spokesperson Kwame Mzileni said negotiations between workers and the employer reached a final deadlock last Wednesday.

The workers - all Nehawu members - are demanding their bonuses which were due in December last year.

"We also do not understand why there is such a huge wage gap between top management and the lowest paid staff. We want that gap reduced," said Mzileni.

He said the current wage gap between NHBRC chief executive Phetola Makgathe and the lowest paid staff was R1,6-million.

"Executive management personnel received wage increases ranging from 33 to 50 percent in 2006.

"They further got an incentive bonus of about five to seven percent without any performance measurement tool in place, while the rest of the staff did not get anything."

Mzileni said it took the employer almost nine months to agree to give workers a seven percent wage increase, although "they didn't think twice before offering increases of 33 percent to some (management personnel) and 50 percent to the CEO".

He said it was "unreasonable" of the employer to be discussing last year's bonuses now.

"It has taken them more than seven months to decide on the issue and that is unreasonable."

The negotiations began in August last year and the last meeting between the two parties was last Wednesday.

The strike action started with pickets outside the NHBRC head offices in Bryanston at noon.

Mzileni said workers were also picketing at the council's regional offices in Cape Town, Durban, Port Elizabeth, Bloemfontein, Nelspruit, Polokwane and Kimberley.

About 250 of the 350 workers at the council took part in the strike and were Nehawu members, said Mzileni.

Management chief negotiator Peter Latta said he was not immediately able to comment, as management was still in a meeting discussing the strike late on Wednesday afternoon. - Sapa

Young people to discuss speeding-up housing delivery.

2007-05-17T13:35:00.000+02:00

More than 100 young people countrywide will meet on Thursday with major stakeholders in the housing industry, to discuss how the youth can participate in fast tracking housing delivery.

The Youth Housing Indaba in Bela-Bela, Limpopo is to end on Friday.

"The indaba is expected to develop consensus on youth participation in Housing with key stakeholders in the Housing and Youth Development Sector," said spokesperson for the national Department of Housing, Monwabisi Maclean.

It will outline institutional positions, review projects and policies on youth development across the housing and human settlement sectors...

...This initiative saw the establishment of the partnership between the department, the National Youth Commission, Umsobomvu Youth Fund, National Home Builders Registration Council (NHBRC) and Provincial Housing Departments. (Read More...)

BuaNews
Compiled by the Government Communication and Information System
By Bongani Mlangeni

Rural People to Help Fast Track Housing Delivery

2007-05-15T13:37:00.000+02:00

A partnership to fast track rural housing delivery by including rural people and traditional building methods was signed on Friday by delegates attending the Eastern Cape Housing Indaba in East London.

The contract urges for the support of traditional ways of building and ensures that rural people are part of the implementation of the housing programme in order to transfer skills and also create jobs.

"It is important that as we implement government's housing programmes the beneficiaries are part of the building process, by being involved in the building process we restore their dignity and they will look after the house, they will also acquire skills and get employment" said Chief Phathekile Holomisa, a representative of the House of Traditional leaders.

Delegates at the conference resolved to form a social contract for integrated human settlements in rural housing which calls on all stakeholders to work together to fast track housing delivery.

The indaba, hosted by the National Department of Housing and the Provincial Government of the Eastern Cape was attended by government officials, academics, traditional leaders, members of both houses of parliament, business community and different stakeholders in the housing sector.

Opening the indaba last week, Eastern Cape Premier Nosimo Balindlela said the integrated human settlement plan of government will restore the dignity of communities and give many South African's an opportunity to heal.

"The Comprehensive Human Settlement Plan, known as Breaking New Ground (BNG) require that we build rural homes with gardens, space for children to play and also build them with both social and economic amenities," she said.

This, Premier Balindlela explained, would give many of 'our people' an opportunity to enjoy parks and to have access to basic social and economic amenities that are not there in rural areas.

Delegates at the indaba further committed themselves to work towards eradicating of informal settlements by 2014, working with traditional leaders to build sustainable integrated human settlements in rural areas with access to basic services.

They also agreed to engage in a detailed proposal to have full cover insurance for government subsidised houses and called on the National Home Builders Registration Council (NHBRC) to ensure that traditional rural housing methods are researched and enhanced.

Local Government, Housing and Traditional Affairs, Thoko Xhasa said government should ensure that the use of a house as an asset in rural areas does not expose families to financial risks that can lead to evictions and other problems.

"We must find a balance to build sustainable rural communities with access to both social and economic amenities using financial models that will never expose rural people to unnecessary debts," she said.

The indaba also resolved that housing delivery will be supported by job opportunities and building of social infrastructure.

"If we build rural houses with all amenities in line with BNG, those who want to remain in rural areas will remain in rural areas as they will have access to all the things people in the city have" National Housing Director General, Itumeleng Kotsoane said.

Bongani Mlangeni
East London
BuaNews (Tshwane)

New rules to protect consumers from bad builders.

2007-04-20T12:41:00.000+02:00

Housing consumers now have much-needed protection against unscrupulous or incompetent builders thanks to significant and far reaching provisions embodied in a new Code of Conduct for Home Builders published by The National Home Builders Registration Council ("NHBRC")...

...Provisions of the Code
Warmback highlights some of the significant provisions in the new Code, which came into effect on 16 March 2007, as follows:

• home building contracts may now only be concluded once the housing consumer has had 30 calendar days to view the contract;
• restrictions on clauses in contracts which have the effect of taking away consumers common law or statutory rights;
• restricting deposits to no more than 10% of a contract price of a fixed cost building contract;
• minimum clauses that must be included in a building contract, and an obligation that a home builder must retain a copy of the contract and all records relating thereto, for a period of at least 6 years;
• a home builder may not accept final payment under a building contract unless the bank, NHBRC or competent person has certified in writing that the work has been completed according to NHBRC's prescribed minimum standards and guidelines.

In summary, the Code is intended to provide minimum standards to be maintained by all NHBRC home builders when contracting with consumers, says Warmback.

A home builder is defined in the Housing Consumer Protection Measures Act ("the Act") as a person who carries on the business of a home builder. Home builders are obliged to register with the NHBRC, must enroll a particular home or development with the Council, submit information relating to a development, and pay a prescribed fee.

"Banks are reminded that they are not allowed under the Act to lend money to consumers against the security of a mortgage bond registered over a home for the purchase of a home from a home builder," explains Warmback. "That is, unless the Bank is satisfied that the home builder is registered in terms of the Act, that the home is or will be enrolled with the NHBRC and that the prescribed fees have been paid." (Read More...)

Article privided by www.property24.com

MEC, contractors to discuss improving low cost houses

2007-04-12T16:30:00.000+02:00

A budget of R10 million has been set aside through the National Home Builders Registration Council (NHBRC) to develop a pool of housing entrepreneurs to build low cost houses.

The NHBRC has also committed R7 million to training up young builders through the National Youth Service (NYS) project.

The NHBRC will train 100 young people in Limpopo. (Read More...)

BuaNews, Compiled by the Government Communication and Information System

NHBRC ruk bouers wat laat registreer, se sakke

2007-04-11T12:21:00.000+02:00

Die nasionale huisbouersregistrasieraad (NHBRC) oorskry sy wetlike magte deur voor die voet waarborge te vereis van ontwikkelaars wat laat registreer, sê ’n Pretoriase konstruksieprokureur.

Antoinette Slabbert,

Die nasionale huisbouersregistrasieraad (NHBRC) oorskry sy wetlike magte deur voor die voet waarborge te vereis van ontwikkelaars wat laat registreer, sê ’n Pretoriase konstruksieprokureur.

Mnr. Hendrik Markram ondersoek die grondwetlikheid van dié praktyk nadat kliënte aangedui het dat die NHBRC se werkwyse hul sakke knou en hulle só uit die boubedryf dwing.

Volgens wet moet alle huisbouers by die NHBRC geregistreer wees en moet alle huise 15 dae voordat bouwerk begin, ook geregistreer word.

Die NHBRC is in die lewe geroep om huiseienaars te beskerm teen swak bouwerk, maar word gereeld gekritiseer omdat sy waarborgfonds propvol geld is, terwyl hy traag is om eise uit te betaal.

Volgens Markram gebeur dit soms dat ontwikkelaars weens administratiewe nalatigheid projekte laat registreer.

Die wet maak egter voorsiening vir boetes volgens ’n voorgeskrewe formule. As die bouwerk reeds aan die gang is, moet die bouer boonop inspeksiegeld betaal en sertifikate van kundiges verskaf wat bevestig dat die ontwerp en vakmanskap aan die NHBRC se standaarde voldoen.

As die bouwerk oopgegrawe moet word of oorgedoen moet word, is dit alles vir die bouer se rekening. Die laat registrasie word eers aanvaar nadat sulke stappe afgehandel is.

Volgens die regulasies “mag die raad enige waarborg of vrywaring vereis wat hy redelik nodig ag” om die risiko van sy bedrywighede te dek en te sorg dat hy genoeg geld het om moontlike eise te dek.

Volgens Markram vra die NHBRC nou voor die voet waarborge van laat registreerders, al het hulle die boetes betaal en bewys dat niks skort met hul vakmanskap nie. Daar is ook nie sprake daarvan dat die NHBRC te min geld het nie.

Vir een van sy kliënte beteken dit dat hy R800 000 vyf jaar lank in ’n bankrekening moet laat lê omdat sy ontwikkeling van R8 miljoen laat geregistreer is.

Hy sê in ’n ander geval het die bouer nagelaat om een eenheid in ’n groot ontwikkeling te registreer. “Daar is geen verskil in die kwaliteit van bouwerk by dié eenheid teenoor die ander nie, maar tog moet die bouer ’n waarborg daarvoor gee.”

Volgens Markram antwoord die NHBRC nie navrae oor die basis waarop die waarborgbedrag bereken word nie.

Hy sê ontwikkelaars kan nie op gelyke voet met die NHBRC beding nie, want as hulle hul rug styf maak, kan die NHBRC weier om registrasiesertifikate uit te reik.

Ontwikkelaars kan nie hul eenhede van die hand sit sonder dié sertifikate nie, omdat banke dit vereis voordat hulle ’n verband op die eiendom toestaan.

Groot ontwikkelaars gee glo maar die waarborg net om die projekte te kan afhandel. Kleiner ontwikkelaars kan dit egter nie bekostig om geld jare lank so onproduktief te laat lê nie en een van Markram se kliënte het al sy personeel van 50 tot tien verminder. Hy oorweeg dit om heeltemal op te hou huise bou.

Me. Beatrice Motsitsi, woordvoerder van die NHBRC, het bevestig dat waarborge vereis word vir alle laat registrasies en dat die raad meen hy tree binne sy regte op. Sy sê die formule waarvolgens die waarborgbedrag uitgewerk word, is “baie ingewikkeld”, maar die persoon wat dit kan verduidelik, was nie beskikbaar nie.

'Shoddy work' on Cape housing

2007-04-11T08:46:00.000+02:00

Cape Town - Poor workmanship on the part of inexperienced building contractors has been blamed for the widespread incidence of structural defects on about 2 500 low cost houses across the Cape Peninsula, the Local Government Research Centre has reported.

The centre - in its SA Local Government Briefing - reported that an investigation by the National Homes Builders Registration Council (NHBRC) had revealed widespread evidence of shoddy brick laying work, poor quality of bricks, damp ceilings, and cracks on the walls as well as bad plumbing.

The registration council's executive technical services director,Jeffrey Mahachi, said most of the 2 473 houses inspected late last year - after numerous complaints from homeowners - had structural defects which, if not addressed soon, may pose a serious threat to the lives of thousands of low-income homeowners.

The audit covered nine areas, including Gugulethu, Manenberg, Mitchell's Plain and Philippi, where houses were checked individually and it was found that 98% of them had defects. (Read More...)

Fin24.co.za, By: Donwald Pressly - Cape Town

Is your developer legit?

2007-03-25T08:53:00.000+02:00

Question:
How can one find out if a development company is reputable?

Answer:
A track record means a lot in this business. Find out how long they have been operating for. Do a Google search on the company name and go and check out completed developments. Get hold of the chairperson of the body corporate and ask him or her a couple of probing questions. They should be registered with the NHBRC (National Home Builders Registration Council) and the Master Builders Association.

Be cautious; pay as little up front as possible. Do not sign any blank release forms and ensure that the correct money gets paid over to the developer as the project proceeds. Check out their PC lists (personal choice) to make sure that the values they have attached to fittings represents fair value.

For example, they might tell you that they have allocated R70 per square metre for carpeting but it is impossible to get carpet for less than R110 per square metre.

iafrica.com, Iona Minton (Article...)

NHBRC Question: Can I use a mix of new and second hand bricks?

2007-02-19T09:46:00.000+02:00

There is nothing wrong with the mix provided the builder is using the same type of bricks. For example, you cannot mix concrete and clay bricks because they have different performance properties, which may result in cracks.

Residential property shock

2007-02-12T15:47:00.000+02:00

Johannesburg - South Africans planning to buy units in new housing developments are going to be forced to accept the poor as neighbours in terms of a draft government policy.

This is the purpose of the new policy of "inclusive" housing which is being discussed with players in the building industry.

The new policy, which is still only in proposal form and was presented for the first time to the South African Property Owners Association (Sapoa) a month ago, has sent shockwaves through the developers sector.

Developers said the proposed policy regulations were not only unachievable and ill-considered, but would bring the residential building industry to its knees.

Jo Pelser, chief executive of Sable Homes, one of South Africa's biggest developers, said: "Nobody would be willing to buy units in such developments."

R50 000 houses

This would lead in turn to a shortage of houses in established areas, which could cause a price explosion for existing houses.

In terms of the policy, developers would have to put aside 30% of the value of each development for low-cost housing (Read More...)

By: David van Rooyen
www.fin24.co.za

Property News - Growth Potential for Township Housing

2007-01-19T09:56:00.000+02:00

PAM Golding Property's Empowerment Division believes that by the end of last year approximately 15% of new buyers that entered the market were from the emerging market. CE Andrew Golding says: "With the residential real estate industry estimated to be worth about R200bn a year, we anticipate R25bn-R30bn worth of new buyers will have entered the market during the course of this year."

While the township market is experiencing a shortage of existing houses, he says that in catering for new entrants to the housing market a high level of development is occurring both in the township market and in peripheral areas, which provide easy access to cities and are within easy reach of commuter nodes. (Read More...)

Business Day - Johannesburg (Friday, January 19, 2007)

About the NHBRC: Offences

2007-01-09T15:27:00.000+02:00

1. Section 10: Failure to register with the NHBRC
2. Section 14: Failure to enroll the new home 15 days prior to construction.
3. Section 19: Obstructing the NHBRC inspectors from executing their duties.
4. Section 18: To finance or register a bond on a new home without ensuring the builder is registered with NHBRC and the home are enrolled.
5. Section 18.(2) Failure by conveyancer to ensure that the builder is registered and that the home is enrolled.
6. Section 18.(3) Failure by subsidy provider to ensure builder is registered with NHBRC and the home is enrolled.
7. Section 21.(a) Withholding information or giving false or misleading information.
8. R 20658 Sect. 15: Failure to declare late enrolments.

For more information on how The Facilitators can assist you with the NHBRC, please visit our website or contact us on 0861 2 36765

About the NHBRC: The NHBRC Warranty

2006-12-22T08:44:00.000+02:00

The NHBRC warranty covers the super structure, floor slabs and roof up to a maximum amount of R500,000 which may include:

* Any professional fee
* Necessary costs for rectification
* Reasonable accommodation costs.

The period covered by the warranty is 5 (five) years maximum, from occupation date.

Defects and poor workmanship must be recorded formally (in writing) to the Developer or Contractor as well as the NHBRC within 3 (three) months from date of occupation.

Roof leaks attributable to poor workmanship and materials must be recorded, formally (in writing) the Developer, Contractor as well as to the NHBRC within 12 (twelve) months from date of occupations.

The NHBRC warranty takes effect from date of occupation by the Home Owner of the newly built dwelling providing that the dwelling was formally enrolled with the NHBRC and that the NHBRC didn't issue a formal letter of non-compliance in accordance with the NHBRC Technical Requirements.

For more information on how The Facilitators can assist you with the NHBRC, please visit our website or contact us on 0861 2 36765

NHBRC obtains order to stop building contractor

2006-12-20T16:50:00.000+02:00

Lawyers representing the National Home Builders Registration Council (NHBRC) have obtained a high court order to prevent a contractor and his partners from continuing with construction in Durban.

The council made the application to the Durban High Court against the developers N. Singh, Ndunlall Singh and Dhunpathee Singh. The council alleged that a retaining wall built by the developers in the suburb of Effingham Heights collapsed and damaged several properties.

The developers have until the 22nd of February to file answering affidavits against the interdict.

SABC News, South Africa

About the NHBRC: Implication of the Act

2006-12-20T09:52:00.000+02:00

As for the NHBRC to warrant any residential dwelling against poor workmanship resulting into structural defects all newly build residential dwellings are to be enrolled by any Developer, Contractor or Prospective Home Owner with the NHBRC whether being built cash or through finance assistance by any legal bond holder.

The following are the types of dwellings covered by "the Act".

Houses
Flats
Town housed
Employee/Corporate Housing
Maisonnettes
Rented Homes

Additions and alterations are not covered by "the Act. Owner Builders must apply through the NHBRC for exemption.

All Developers and Contractors that are in the business of building residential dwellings, must Register with the NHBRC as such.

For more information on how The Facilitators can assist you with the NHBRC, please visit our website or contact us on 0861 2 36765

About the NHBRC: The Act

2006-12-19T15:14:00.000+02:00

The Act Means the Housing Consumers Protection Measures Act, 1998 (Act No 95 of 1998) which makes provision for the protection of housing consumers and provides also for the establishment of the National Home Builders Registration Council (NHBRC) which is mandated to apply the "Act" through prescribed regulations and procedures as per Government Gazette 1 December 1999 and Home Building Manuals Parts 1,2 & 3 February 1999.

For more information on how The Facilitators can assist you with the NHBRC, please visit our website or contact us on 0861 2 36765

All Housing Customers Must Ensure their Homes are enrolled with the NHBRC

2006-06-22T15:33:00.000+02:00

What happens if you fail to enrol a home?

This article is produced as a result of a visit that occurred on 2nd March 2006 in the areas of Langebaan on West Coast, approximately 100km outside Cape Town.

The outsourced inspector D van Hansen issued a Non Technical Non-Compliant to a builder. Mr Siebrits. It was later discovered that Mr. Siebrits was in fact the home owner who resides in Cape Town and builds primarily over weekends.

At the time of issuing the non compliance only the foundations and foundation walls were built. At a later site visit it was discovered that the owner/builder carried on with the construction without any intention to register or enrol the home with the NHBRC. The owner made use of local labour without any supervision on site.

As a regulatory body mandated to protect the rights and interests of the housing consumers, the role of the NHBRC has been significant in curbing the continued abuse of home owners and their exposure to poor workmanship, by those builders who do not comply with their obligations in the terms of the Housing Consumers Protection act, Act 95 of 1998

In its endeavour to protect the housing consumers against defaulting and fraudulent builders, the NHBRC, with its formidable force of qualified staff, does issue orders to builders who fail to comply with the set technical standards and have a right to demolish, not only a poorly constructed house, nut a non compliance house. This includes non compliance and builders failure to register with the NHBRC or enrol the project with the NHBRC.

The sight of cracking walls, water leak roofs and obvious cracked foundations were sufficient exhibition of the so called builder, Mr Siebrits’s incompetence. His poor workmanship, according to the NHBRC’s technical report, is a danger to the unsuspected new homeowners and prospective homebuyers who are continuously tricked or robbed their lifetime savings by such builders.

As a matter of fact, housing consumers are once again reminded to report such acts by homebuilders in their respective communities as well as through our toll free hotline so that such matters could be resolved. In cases where a housing consumer wishes to employ the serves of any builder, he or she must ensure that the homebuilder is registered with the NHBRC and the property is registered and enrolled with the NHBRC.

The Purpose of these requirements and processes is to protect the housing consumers against builders of Mr Siebrits’s character, whereby through the payments of enrolment fees on the property, the NHBRC would cover such a property in the 5 year Warranty Scheme, and in the case of structural defects the organisation, as a protector would be at liberty to use funds to rectify the house.

To date the NHBRC has spent more than R25.6 million on remedial works across the country, while the amount of R4 261 941 has been spent in the last financial year. The remedial works were undertaken as a result of housing structures which demonstrated poor workmanship and non compliance to the Act.

The NHBRC will continue to live to its promise of protecting the rights and interests of housing consumers and thereby ensure that the dream of delivering quality housing becomes reality!

NHBRC (22 June, 2006)