Dear Members, Industry Stakeholders, & Practitioners,
As we enter the 2nd month of the year, it is significant to note that this month marks the 1 year Anniversary of the Property Practitioners Act as well as 3 years since the official formation of the NPPC.
February has also brought some good news with the recent appointment of the new Acting CEO at the PPRA, Ms Thato Ramaili, which we hope will bring some much needed stability to the regulator and momentum in the implementation of the PP Act.
The role of the NPPC, since its inception, has been to provide a more streamlined platform for engagement between the property sector and the broader stakeholder community (including government, regulators, other industry bodies etc.), as well as to promote greater levels of collaboration and knowledge transfer between industry bodies.
We have played the critical role of coordinating industry inputs to government and to the PPRA while also facilitating communication and enhanced collaboration and knowledge-sharing between industry representative bodies.
Through our members, the National Property Practitioners Council is proud to be the most representative voluntary industry body representing 9 of the largest, national organisations including: IEASA, REBOSA, SAIBPP, SAPOA, NPF, VOASA, SAIA, NAMA and SABBA.
Property Practitioners Act & Regulations
We have been engaging closely with the PPRA and providing guidance and input on the implementation of the Property Practitioners Act & Regulations in an effort to guide and fast-track the implementation thereof especially as it pertains to the more contentious education and transformation regulations.
The NPPC has had several meetings with the PPRA including meeting with the board and making submissions to the Education & Training department, in addition to consulting with SSETA and various subject matter experts in the education & training industry. To date the PPRA has yet to make a final decision on how the education & training requirements will be interpreted and implemented in light of the new PP regulations which seeks to streamline the current path to certification.
The Rental Housing Act, 1999 (Act No. 50 of 1999)
The Rental Housing Act, 1999 (Act No. 50 of 1999) as amended seeks to regulate the relationship between tenants and landlords by ensuring that there is an amicable dispute resolution mechanism in the rental housing sector. The Regulations under the RHA were published for public comment and the NPPC submitted commentary on behalf of its members.
Transformation continues be a high priority for the industry and an imperative for the NPPC. Economic transformation and inclusion are central to the growth, development and sustainability of our sector and the country in general. The revised Property Sector codes will hopefully be finalized and gazetted soon following a 2-year delay.
Undesirable Business Practices
Pursuant to the provisions of Section 63 (1) of the Act, the Minister of Human Settlements determined in Regulation 35 that certain business practices are undesirable and therefore prohibited. Some property practitioners are still party to restrictive agreements with Home Owners Associations (HOAs) and are therefore acting in contravention of the Regulations.
The NPPC has engaged the PPRA on this issue and has also issued communication to the various industry bodies to reiterate our view on this matter which is that: the NPPC does not support estate HOAs making money out of estate agents, while unfairly barring other agents from trading in the estate. Not only is this practice exclusionary, but it also penalises sellers who suddenly find themselves forced to work with ‘approved’ real estate agencies as defined by the HOA. We encourage practitioners to report such behaviour when it occurs via the PPRA complaints hotline or to write to their respective member organisations.
National Association of Realtors
The President and Executive Members of the National Association of Realtors, the largest professional trade association for Realtors in the USA, will be visiting South Africa this month and are scheduled to meet with the NPPC Council on the 17th February to discuss collaboration and partnership opportunities and exchange best practices. We look forward to this engagement.