Property buyers and property sellers should be aware

Property buyers and property sellers should be aware about that their Property Practitioners must ask them for the FICA (Financial Intelligence Centre Act) comply documents.

The Act stipulates to that amount accountable institutions may no longer establish commercial enterprise relationships or put an end transactions together with customers except he/she hold demonstrated the identity concerning the clients. This applies after having agencies as like well namely banks yet ignoble monetary institutions.

Suppose property sellers or property buyers are acting on behalf of a third party. In that case, Property Practitioners also need to verify the identity of the third party and make sure the clients have the authority to establish the business relationship or to conclude a single transaction on behalf of the third party.

The ascertainment procedure must remain complete earlier than a property is online listed – or not simply now it is sold. This is within preserving together with the Property Practitioners’ Act’s necessities concerning professionalism then felony compliance.

Documents

To acquiesce along FICA, property sellers or property buyers want according to furnish Property Practitioners with copies concerning their identity archives yet proof of residence. For example, this could be a financial institution announcement confirmed through the bank of query yet should not remain older than 3 months.

If the seller of a property is a trust, a company or a close corporation, the Property Practitioners will need identity documents and proof of residence for all the members of the relevant entity.

Property sellers and buyers should also ask for copies of Property Practitioners FFCs – (fidelity fund certificates). These need to be renewed every year, and outdated FCs are not acceptable. We must remember that Property Practitioners without FCs are working outside the law and are not entitled to earn a commission on the sale of a property.

For further peace of mind, property sellers and buyers may also wish to ask whether Property Practitioners are members of the (IEASA) Institute of Estate Agents of South Africa or any other professional organisation representing the industry. Membership in the Institute of Estate Agents of South Africa – IEASA is not obligatory, but the institute has a code of conduct that members are bound to uphold.