Lake Properties Lake Properties
If you’re buying a new-build house on a housing development, you want to go in with your eyes wide open — because you’re not just buying a home, you’re also buying into the builder’s reputation, the quality of the build, and the future of the entire neighbourhood.
Here’s a thorough checklist of the key information to get before signing anything:
1. The Developer & Builder
- Reputation & Track Record – Research previous projects. Were there delays, poor workmanship, or complaints?
- Financial Stability – A struggling developer could abandon the project midway.
- NHBRC Registration – In South Africa, the builder must be registered with the National Home Builders Registration Council.
- Snag Policy – How do they handle defects after handover? What’s their response time?
2. The Property Itself
- Exact Plans & Specifications – Ensure you have the final signed floor plan, finishes list, and materials specification in writing.
- Warranties & Guarantees – NHBRC cover (5 years structural), appliance warranties, and roof/paint guarantees.
- Customisation Options – Can you choose finishes, fittings, or layout changes, and at what cost?
- Defect Liability Period – The time you have to report snags (usually 3 months for minor defects, longer for structural issues).
- Inclusions vs Extras – Things like landscaping, fencing, light fittings, and built-in cupboards are often not included unless specified.
3. The Development
- Phasing & Completion Timeline – Will you be moving into a construction site for the next 3 years?
- Amenities & Infrastructure – Schools, shops, parks, transport links, and promised facilities (check if they’re actually planned or just “conceptual”).
- Levies & Rates – Monthly costs for security, maintenance, HOA fees; check if they are fixed or subject to increases.
- Rules & Restrictions – Building guidelines, pet policies, parking rules, home business limitations.
- Future Density – Will the developer add high-rise blocks, low-cost housing, or other buildings that change the character/value of the estate?
4. Location & Surroundings
- Neighbourhood Growth Plans – Any planned highways, malls, factories, or rezoning nearby?
- Environmental Factors – Drainage, flood risk, soil quality, noise levels.
- Traffic Flow – Will access roads cope once all homes are occupied?
5. Financial & Legal
- Purchase Price vs Market Value – Check with an independent property valuer.
- Transfer & Bond Registration Costs – Some developers cover these, but only if you use their attorneys.
- Payment Schedule – Is it a deposit + final payment, or staged payments linked to build progress?
- VAT & Fees – New builds usually include VAT (no transfer duty), but always confirm.
- Completion Date & Penalties – What happens if they run late? Do you get compensated?
- Resale Restrictions – Can you sell before the development is complete? Any penalties?
💡 Tip: Always get everything in writing — verbal promises in showhouses often vanish faster than fresh paint smell.
