For many young professionals, renting a house or apartment is one of the first big steps in their lives. Of course, this can be a long and complicated process: from searching and displaying real estate to signing leases and other documents. It is always best to conduct extensive research and ensure that all legal boxes are checked. For the sale of real estate, a written contract is a legal obligation under the Land Disposal Act (68 of 1981). It is not difficult to understand why this requirement exists for such high-quality transactions. An offer to purchase representing the sales contract signed by the buyer and seller contains all the information ranging from the sale price and the date of the crew to the fittings and devices that are part of the sale, as well as certain conditions that must be met for the sale to be valid. Regular leases (234.7 KB PDF) do not have a date when the lease expires. They will continue until the tenant or landlord announces in writing the termination of the lease. Although oral agreements are legally binding, it is always preferable to obtain a written lease agreement, which will then be signed by all parties involved. It is recommended that a written agreement be required specifying all the terms and conditions and rights and obligations of the tenant and landlord. Among the things to agree on are rent, rent, extra fees, increases, payment dates, payment method, etc. Soon, this advice will not be relevant.
The Rental Housing Amendment Act 2014 requires landlords to subject tenants to a written rental agreement. Oral agreements are no longer binding. The Rental Housing Amendment Act will apply immediately to new leases and landlords have six months to bring existing contracts into compliance with the new legislation. At the time of the letter, the legislation has not yet been labeled and no effective date has been announced. We will keep readers of this blog informed. It is also a good practice to have a disclosure document as part of the sales contract that explains the condition of the property in order to eliminate any disputes concerning the maintenance required by the seller after the sale. It would simply be far too complicated to verbally manage such an agreement and would allow endless opportunities for disagreement on a very valuable asset. If the potential tenant does not sign the contract, the lessor can keep all or part of the payment. When they sign the lease, the lessor must place the consideration on the rent described in the contract. The law states that when a tenant asks for a written tenancy agreement, the lessor must provide one.
A tenancy agreement usually contains standard clauses, and although the law protects the tenant from unfair or illegal conditions in the agreement, it is wise to read the document carefully before it is signed. But what often happens is that an oral lease is entered into, but a written agreement is not established until later. In this context, some important points need to be taken into account. Many people mistakenly think that an oral lease is not a binding contract. An oral tenancy agreement is in fact a valid legal contract, but it is always recommended that all leases become contracts between the landlord and the tenant. This is a reasonable solution because it eliminates any future confusion that could affect rents, maintenance of rental property and/or owners and tenants of the respective obligations.