Finally, I would like to say that a time-catching purchase contract is definitely considered an option for potential homeowners who are unable to obtain the necessary financing. However, it is important that both parties consider the procedures and costs associated with them. The seller must also take into account the fact that he cannot collect a fee or interest on the purchase price or increase the purchase price inappropriately. If the seller wishes to collect a fee or interest, he must register as a lender and verify the buyer financially correctly. If the seller is not registered as a lender, the sale may be considered undyed. The law on the disposal of the property obliges the seller to note the purchase contract in temperament against the declaration of ownership within 90 days of the conclusion of the contract of sale with the competent registrar. If the seller does not handle the registration within 90 days, the buyer has the option to terminate the purchase contract to temper or register the registration. The corresponding title deeds are then confirmed either by the seller or by the buyer. This insulates the buyer, as the seller is excluded from the disposal of the property to a third party. No transfers are allowed except for the buyer. In the case of Amardian e.a./Registrar of Deeds and Others (Women`s Legal Trust Amicas Curiae) 2019 (2) BLCR 193 (CC), the court found that the buyer`s staggered payment obligation is not due and payable before the agreement is entered into the deeds register. It can be inferred that the payments are due and payable from the date of registration of the purchase contract to temper. If a temperature sales contract provides for a purchase price of more than R 500,000, the creditor (the seller within the meaning of a temperature sales contract) should register as a lender within the meaning of the law.
Apart from these provisions, a seller should agree to provide a buyer with goods or services within the meaning of an agreement in which the buyer must pay the cost of the commodity, and any charge must be paid to the seller a tax or interest in relation to the deferred costs, then the buyer and seller have entered into a « credit contract ». A credit contract is defined as a contract by which a credit provider agrees to provide goods or services or to pay an amount and the consumer`s obligation to pay is deferred. In the context of a temperature purchase agreement, as provided above, the following questions are relevant: – the seller must consider the buyer`s ability to repay the « debts », i.e. it can afford the payments, otherwise the seller may be considered involved in reckless loans if he does not and if, subsequently, the buyer is not in a position to repay the debt or pay the payments. the purchaser may have access to the remedies made available to over-indebted individuals under the National Credit Act 2005, such as. B debt verification, if it cannot keep payments staggered.