While in the last seven years the demand for rental property in Secunda has far outweighed the supply, especially during Sasol’s annual shutdown period, the rental situation here has now turned dramatically.
Only people who are extremely clued up with the Rental Housing Act should clinch property deals. Landlords and tenants should be made aware of all their rights, says Flick.The strain on Sasol with the low oil price, project Phoenix, many people changing jobs, restructuring and far less opportunities, all contributes to fewer and fewer people looking for accommodation in the town.
This is according to Billy Fick, Managing Director for Seeff in Secunda, who says the effect this has had on the property market is palpable and, as a result, Secunda now has a major property surplus.
“There is a lot of uncertainty in the property market with regard to property sales and rentals. At the moment we have 70 vacant properties, where in the past a single vacant property was an exception.”
An oversupply of stock has motivated many property owners to cut out property agencies, but with this comes a whole new set of problems as most landlords and tenants are not familiar with the Rental Housing Act, he says.
Fick says that while it may seem like a good idea to privately advertise your property at a reduced rental rate, it could end up costing you dearly and impact on you negatively, whether you are the tenant or the landlord.
“Only people who are extremely clued up with the Rental Housing Act should clinch property deals. Landlords and tenants should be made aware of all their rights,” he says.
Fick says tenants who rent homes from landlords privately are more often than not unaware of their rights, and this could cause problems later on. According to the law, there are huge penalties for parties that do not comply with legislation.
This newly-built three bedroom, two bathroom unit is situated in a secure complex in Trichardt. It has a private garden at the back of the property, and pets are allowed. The unit is being rented out for R7 300 a month - click here to view.In addition to this, he says the Rental Housing Act Amendment Bill will soon be promulgated with some important changes and additions to take note of. These include, but are not limited to the following:
- Leases are to be put in writing, the onus is on the Landlord.
- Deposits must be invested by the Landlord in an interest bearing account, who must be able to provide written proof of interest accrued on the deposit paid.
- Landlords must be able to issue written receipts for all payments made by the tenant.
- Various time frames have been set out that must be adhered to by the landlord relating to joint inspections of the property and refund of the deposit.
- Landlords must respect the tenant’s right to privacy during the lease.
- The Rental Housing Tribunal in Mpumalanga is fully functional and efficient and is there to assist with any disputes between a landlord and a tenant. This process is affordable, fast and effective and the Tribunal has the same jurisdiction as a court of law.
Fick says he expects the market in Secunda to stabilise within the second quarter of 2015. “I would strongly recommend that prospective landlords and tenants speak to one of the professional agents to advise them on the law accordingly.”
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