The Property Practitioners Act of 2019 (“Act”) (commencement date still to be announced), repeals the 43-year-old Estate Agency Affairs Act of 1976 (Act 112 of 1976).
It is a substantial piece of legislation, comprising 77 sections dealing with all aspects of the real estate profession.
The stated objectives of the Act go far beyond those of the old legislation. The new Act also governs more of the role players in the property industry due to the wide definition given to “Property Practitioners”. The legislature has created an Act that intends, not only to regulate the real estate industry, but also to promote transformation whilst fulfilling a consumer protection function as well. The stated objects of the Act can be summarised as follows:
The effect that the Act will ultimately have on the industry remains to be seen and will depend on how this ambitious piece of legislation will be implemented by the Regulatory Authority it establishes, and the interpretation of the courts of the wording of the Act.
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