A warranty, in the context of buying a property, is a legal assurance given by the seller or developer regarding the property's condition. It essentially means the party selling or constructing the property guarantees certain aspects will be free from defects or problems for a specific time.

1. Types of Property Warranties

a) Implied Warranty (Voetstoots Clause)

• Many property sales in South Africa include a voetstoots clause, meaning the property is sold “as is”, with all its defects (visible or hidden).
• However, in 2025, the Consumer Protection Act (CPA) and case law continue to limit the seller’s ability to escape liability if:

- The seller knew about a latent (hidden) defect and did not disclose it.

- The seller misrepresented the condition of the property.

b) Statutory Warranty (NHBRC) – New Homes

• For newly built homes, a statutory warranty is governed by:

- Housing Consumers Protection Measures Act (amended up to 2025),

- And administered by the National Home Builders Registration Council (NHBRC).

Developer’s Responsibilities:

- 5-year warranty for major structural defects.

- 1-year warranty for roof leaks caused by poor design or workmanship.

- 3-month warranty for minor snag list items (like cracked tiles, paint issues, etc.).

This only applies if:

- The builder is registered with NHBRC.

- The property is a new home built after October 1999 (still in force in 2025).

2. Contractual Warranty

Some property developers or private sellers may offer additional warranties or guarantees in the offer-to-purchase agreement, such as:

• Guarantees against plumbing or electrical faults.
• Appliance warranties (for stoves, geysers, solar panels).
• Termite or damp-proofing warranties.
• Always ensure these warranties are:

- Clearly stated in writing,

- Included in the sale agreement, and

- Backed by reputable suppliers or insurers.

3. What Is Covered Under a Property Warranty?

Warranty Type                                      Coverage Example                                         Duration

NHBRC Structural Warranty         Foundation cracks, roof collapse                       5 years

NHBRC Workmanship Warranty Leaking pipes, window seals                              1 year

Appliance Warranty                         Oven, geyser, aircon faults                            1–2 years (varies)

Roof Leak Warranty                      Rainwater leakage due to poor work               1 year

Damp/Tiling Warranty                     Moisture damage, cracked tiles                 Varies (contractual)

4. Legal Protections for Buyers (2025 Updates)

a) Consumer Protection Act (CPA)

Applies if:

• The seller is a developer or property is sold as part of a business transaction.
• Buyers are “consumers”, and sellers are “suppliers.”

CPA Protections Include:

• Right to receive a property that is reasonably suitable for the purpose intended.
• Right to fair and honest dealing, and full disclosure.
• Right to return within 5 days if sold through direct marketing.

b) Latent Defect Disclosure

Even with voetstoots, if a seller knew about a latent defect and didn’t disclose it, they can be held liable for damages.

c) Property Practitioners Act (2022–2025)

• The mandatory property defects disclosure form must be completed by sellers.
• If the disclosure form isn’t attached to the mandate or sale agreement, the agreement is invalid.

5. Snag List (New Developments Only)

When buying off-plan or new developments, you typically get:

• A 90-day window post-handover to report all minor defects or finishing issues.
• The developer is legally obliged to fix these at no cost.

Always do a pre-occupation inspection with a checklist.

6. What to Do if There Are Problems

a) Private Sale with Voetstoots:

• If defects arise, and the seller did not disclose them, get a lawyer.
• If misrepresentation occurred, you may claim damages.

b) New Home via Developer:

• Report issues to NHBRC or through the developer’s complaints channel.
• If unresolved, escalate to the Housing Tribunal.

c) General Advice:

• Always have a qualified property inspector check the home before transfer.
• Ensure you read and understand the sale agreement and any attached warranties.

Summary: Buyer Checklist for Warranties

• Ask for NHBRC enrolment proof (for new homes)
• Ensure the defects disclosure form is signed
• Understand the voetstoots clause (ask legal advice)
• Keep all written warranties (electrical, structural, roof)
• Do a snag list inspection and document issues
• Know your rights under the CPA (if applicable)