THE MORE EXPERIENCE AN AGENT HAS IN HELPING CLIENTS BUY HOMES, THE MORE VALUE THEY BRING TO THE TABLE – FOR BOTH CLIENT AND DEVELOPER
1. KNOW THE PROCESS
Developments take time; time is money. Good agents understand this and fulfill their roles within this context. By paying attention to detail when completing an offer to purchase, an agent can significantly shorten the sales process, which in turn simplifies the subsequent phases, from initiation of conveyancing procedures to obtaining development finance, construction and eventually transfer.
2. UNDERSTAND THE LAW
Two pieces of legislation are of particular importance. These are the Alienation of Land Act (68 of 1981) and the Financial Intelligence Centre Act (38 of 2001) or FICA.
- The Alienation of Land Act sets out the formal requirements for a legally valid and binding contract of sale. These requirements are essentially that every contract must be (a) reduced to writing and (b) signed by all the parties.
- FICA, which is intended to prevent financial crimes such as money laundering, places an obligation on attorneys to verify the identity and other information of the parties to a transaction. This is done by collecting identity documents, proof of residence and proof of income tax details. The documents and information required vary depending on the nature of the purchaser. We recommend that agents undergo training to familiarise themselves with the act.
When agents understand these requirements, it significantly simplifies and expedites the transfer process, because then the developer receives contracts that are not only legally valid but are also accompanied by the necessary supporting documents.
3. KNOW YOUR ROLE IN THE PROCESS
As an agent you act as a representative of your principal. Understand that while you and your agency are technically distinct from your developer client, you will more often than not be the public face of the developer, and therefore of the development you are marketing. Your actions, both positive and negative, go a long way towards shaping public perception of the product.
4. BE FAMILIAR WITH THE PRODUCT
It’s important for agents to place themselves in the shoes of every potential purchaser. From the first-time homebuyer to the seasoned investor, the agent should anticipate their respective wants and needs.
Information is readily available and a modern potential buyer has access to every bit of information they need regarding the market, the area in which they’re interested and the development plans for surrounding areas. As an agent you have to up your game if you want to remain relevant.
Agents should know every detail and be able to answer any question relevant to the development they are marketing. Agents should also keep abreast of any proposed or current developments in the surrounding areas, and stay informed of any changes in their profession.
5. OPEN THE COMMUNICATION LINES
We want our agents to know they are as much a part of our development team as our marketers, attorneys, builders, bankers and designers. We encourage regular and open communication between all parties, since our agents have the critical task of selling our developments. We value their ideas and suggestions in making that task easier.
Werner Smit is an attorney, notary and conveyancer. He heads up the internal conveyancing department at the Amdec Group. The company has been responsible for developments including Melrose Arch, Val de Vie Estate, Westbrook and Pearl Valley Golf & Country Estate.
Words: Werner Smit
