Here are some pointers & tips when finalizing / negotiating an Offer to Purchase. From our own experience as well as from speaking to many buyers and sellers over the years, it is clear that there are often unhappiness in both camps after the Offer to Purchase has been concluded due to issues that were not clearly specified at the time that the offer was presented and accepted.
Although some of these issues might seem insignificant, a lot of unhappiness and unnecessary stress can be avoided by making sure these issues are covered, in writing, and accepted by all parties involved.
Fixtures and Fittings
The Offer to Purchase has a “fixtures & fittings” clause, and even though this is standard practice, often this clause is quickly brushed over and not clearly explained. Sellers should know that purchasers are buying the property, as they saw it, voetstoots, with all fixtures of a permanent nature included … if not specifically excluded.
Items such as, curtain rails, blinds, shower heads, towel rails / hooks, toilet seats etc. may not be removed. Anything that is bolted to the walls, shelves, handrails, light fittings, motion / light sensors, security systems are seen as fixtures. Bathroom vanities and mirrors that are hanging on bolts or nails are also seen as fixtures and cannot be removed unless specified. Even if you intend to replace the item with something similar, this needs to be disclosed and agreed upon by all parties.
We recently had a case where a light-fitting with 3 similar bulbs was working during the time that the property was advertised and viewed by the purchasers. The photos also confirmed that there were three similar bulbs (the kind that stays on for a while during loadshedding). At the time that the electrical compliance certificate was done, the one bulb was faulty and was then replaced with a different, normal bulb without notifying anyone … needless to say, the purchaser was very unhappy when they took occupation and saw that the lights were not the same as when they came to look at the property. Several items (fixtures) were also removed from the property without notifying anyone.
When negotiating an offer, make sure that everything is mentioned, agents need to make sure that their sellers understand the definition of a “fixture” and the importance of specifying which fixtures (if any) will be removed and or replaced.
DSTV Dishes, Fibre ONT boxes, brackets, cables / power supplies are seen as fixtures and are sold with the property unless otherwise specified and excluded, even the little fitting on the end of a DSTV cable is part of the fixture, but often removed by sellers.
Walls and Painting
What happens to all the nails and plugs for paintings, pictures & mirrors? This also needs to be clarified in writing. Did the purchasers confirm that they will be repainting / renovating the property?
Consider that if the interior of the property hasn’t been painted recently then the affected walls won’t be able to be “touched up” and will probably need to be painted in full. Should the specific paint color / name not match the existing paint 100%, then the whole inside of the property will probably need to be painted … possible options to consider taking into account that the property is bought “voetstoots”.
A: Sellers need to remove all items and leave the nails in the walls “as is”.
B: Sellers need to remove all nails, touch up and sand down the areas but do not need to paint.
C: Sellers need to remove all nails, touch up, sand down and re-paint or touch up with paint.
Plumbing, Gas and Electrical
Although sellers need to present purchasers with a mandatory disclosure form outlining any known defects, purchasers need to confirm the following:
- That there are no water leaks in the kitchen and bathrooms. This is quite easy to inspect.
- That all toilets are flushing correctly.
- No obvious water leaks in the garden or around the property.
When it comes to the Electrical COC, the COC confirms that the property is safe. It doesn’t confirm that all electrical appliances are in a working condition. The offer should have a clause where sellers confirm that all electrical appliances will be in a good working condition at time of transfer. This will cover everything from light-fittings & switches, gate & garage door motors, pool & jacuzzi pumps, ovens, stoves etc.
Although geysers are covered under the insurance, nothing prevents a purchaser from requesting (at the purchaser’s cost) that a plumber do an inspection on the geyser to make sure that it is compliant and that there are no leaks. Sellers should also consider doing this so that they have peace of mind and can provide purchasers with a report stating that all is in order with the geyser.
Any permanent gas installations also need compliance certificates. Purchasers need to confirm if and how many gas bottles are included in the sale as fixtures. If not, the gas bottles need to be excluded.
Last pointers
Apart from the mandatory disclosure form and the fact that the property is bought Voetstoots, the more information about the condition of the property you have the better. Putting your concerns in writing even on a separate addendum when buying a property will assist so that you don’t get any nasty surprises when the keys are handed to you once transfer has taken place.
Happy house hunting. For all our rental and sales stock, please visit www.steynrealty.co.za
Marnus Steyn 