IMPORTANT DOCUMENTS TO BE RETAINED WHEN BUYING INTO A NEW COMPLEX

When buying into a sectional title development, you will receive a large amount of building documentation on registration of the apartment into your name. Some of the documentation is more important than others and may create a delay down the line when you are wanting to either sell or bond your apartment, should you need to provide certain of the documentation.

We would suggest that you create a folder for your Apartment and file all of the building documentation for your future reference and use. Here is a list of the building documentation -

Occupancy Certificate

Your Apartment Number will be reflected. Sometimes there is a different between what the legal number of your apartment is as opposed to your door number. There will always be a correlation sheet reflecting both numbers should they differ, which is generally signed off by the Land Surveyor. This Certificate is issued on completion of the construction of the entire building or in phases and to the satisfaction of the Municipality, who sends out Inspectors to ensure compliance of the building plans.

You will not receive a copy of the building plans for the entire building.

Engineer's Structural Report

This report is issued by an Engineer verifying the structure of the building.

Electrical Certificate

This Certificate is only valid for 2 years from date of issue, but does not have to be re-issued until the re-sale of your Apartment. Should your apartment be re-sold within 2 years, the new certificate does not have to be issued, providing that no alterations have been made to the existing electrical installation, which will save you money in not having to employ an Electrician to examine the electrical installation and issue you with a new electrical certificate.

Gas Certificate

Only if there is gas installation in the Apartment, would this certificate be required.

Fencing Compliance Certificate

Only if installed around the building, would this certificate be required.

NHBRC Registration Certificate

Issued in the name of the Developer, who is the Seller, alternatively the Contractor if not the Developer isn't responsible for the Building. The Contractor will then be a party to the Agreement of Sale. The Registration Certificate is renewable annually, thus the Certificate cannot lapse or expire before the Occupancy Certificate has been issued by the Municipality. Must also be issued before commencement of construction of the development.

NHBRC Enrolment Certificate (Original Certificate is required. This is one of the most important certificates to keep for the next 5 years)

Must reflect the Purchase Price

Issued in the name of the Developer / Seller / Contractor

Should you wish to re-sell your Apartment or register a bond within 5 years from the registration of the development, you will need to provide this certificate.

After 5 years this certificate is not required, but it is recommended that you retain same until sale of your apartment.

Copy of Approved Sectional Title Plans

The building is measured by a Land Surveyor and these plans are then approved by the office of the Surveyor General and registered in the Deeds Office, which will reflect your unit number and the size thereof in square metres and also reflects what your participation quota is in order to determine your levies.

"Happy Letter" -

This is something which you will sign after inspection of your completed Apartment.

This document reflects what defects and snags still need to be done by the Developer and any warranties issued to effect and complete same.

Any other Certificates or Warranties available such as Waterproofing, Drainage, Roofing, Fireproofing, Glazing etc which may be issued.

Copy of the list of Exclusive Use Areas, if in terms of the Rules are allocated to specific units, together with a Parking Layout Plan & Correlation Sheet, to prove which is your parking bay as you will not receive a separate title.

Sectional Insurance Certificate for your Unit and Exclusive Use Area if being bonded

Copy of your Agreement of Sale, together with all the Annexures for capital gains purposes, if applicable.

Contact Bev I'Ons-Raeburn who is a specialist property development consultant at BKR Inc for further information.