Weekend Argus (Saturday Edition)
BNG beneficiaries to be informed about implications
BREAKING New Ground Housing (BNG) homes are being sold for as little as R15 000 and it is for this reason that authorities are calling on education for beneficiaries who are unaware of the financial and personal implications.
The Western Cape standing committee on human settlements said that between 2021/2022, the Provincial Department of Human Settlements spent over R21 million on housing development and that homes were being sold for as little as R15 000.
According to BNG legislation, recipients must own the house for at least eight years before it can be sold. But many are unaware of this. Matlhodi Maseko, DA spokesperson on human settlements, said they would be engaging soon with MEC of Human Settlements Tertuis Simmers on the issue of education.
“Over the years, there have been numerous instances of some beneficiaries of government housing units having sold their homes soon after receiving them, resulting in their relocation to informal housing.
“These recipients are often unaware of the legislation and regulations around receiving BNG housing.
“A BNG recipient must reside in the home for at least eight years before it may be sold, according to existing legislation. Many beneficiaries who sell their homes are unaware of such laws and do not seek the Department of Human Settlements’ authorisation before doing so, which is needed by law before selling inside the 8-year window. While we are sensitive to the fact that some recipients are often desperate or feel pressured to sell their homes, the reality is that many may not be aware that they are automatically removed from the housing data system after receiving a house from the government, which precludes them from receiving free, government housing in future.
“I will engage Minister Simmers and propose the introduction of educational initiatives aimed at informing BNG beneficiaries about government housing.”
Maseko added: “The extremely low prices these homes are frequently sold for are also concerning.”
Mayco member for Human Settlements Malusi Booi explained that they constantly hosted educational workshops with beneficiaries in order to avoid catastrophe in the future, including encouraging them to draft wills in the event of their death.
He added that people who knew of homeowners selling their homes before the proposed period should anonymously inform their offices.
“The City regularly holds housing consumer education sessions for first-time homeowners of its housing projects,” said Booi.
“These sessions aim to inform the beneficiaries of housing projects, about the roles and responsibilities of being a property owner, about budgeting and personal finance, maintenance responsibilities, and even about drafting a will.
“According to legislation, a recipient of a BNG house (the old RDP houses) must keep the house for at least eight years before it can be sold. If it is sold after eight years, it is an acceptable free-market transaction.
“During the first eight years, permission to sell must be requested from the Department of Human Settlements. Permission may be granted based on the reasons for selling.
“Beneficiaries of projects, as is the case for all of the City’s housing projects, are selected in accordance with the City’s Housing Allocation Policy and Housing Needs Register to ensure opportunities are made available in a fair and transparent manner that prevents queue jumping and to those who qualify for housing as per the South African legislation.
Residents can give anonymous tipoffs of any illegal dealings by calling 112 from a cellphone (toll-free) and 107 from a landline or 021 480 7700 for emergencies.