GUIDANCE NOTE ON UNDESIRABLE BUSINESS PRACTICES TEMPORARY SUSPENSION OF ENFORCEMENT ACTION

Pursuant to the communique published on the 29th of September 2023 with regards to undesirable business practices, all property practitioners are hereby advised to take note the following:
 
The PPRA will temporarily suspend the enforcement of Regulations 35.1.1.2 to 35.1.1.7 of the Property Practitioners Regulations, 2022 in relation to arrangements between property practitioners and HOA’s /managing organisations
 
The interpretation and application of these regulations to estate access, accreditation and administrative fees is the subject of pending declaratory proceedings (RCC and ARC as applicants; Minister and PPRA as respondents). Until a final judicial determination is made, the legal position remains contested.
It has been decided to temporarily suspend the enforcement of these regulations in relation to arrangements between property practitioners and HOA’s /managing organisations for accreditation to allow practitioners to market, lease, or sell properties within private residential estates and other residential property developments.
 
In the interim, the applicants, RCC and ARC, have agreed that:
 
Properly practitioners will still have to undergo the necessary training and will remain responsible for payment of the costs thereof, but will not have to pay such costs until such a time as the matter has been decided by the court. Until the final decision by the court, property practitioners must provide Estates with security, in the form of a written undertaking, for the payment of the costs which will become immediately payable in the event that the court decides the matter in favour of the applicants. The PPRA and the applicants will communicate this agreement to all stakeholders.
 
The suspension shall be in effect from the date of this Notice until the date a final, non-appealable court order is handed down in RCC v Minister of Human Settlements and PPRA (case no. 2024 111832) clarifying the ambit of these regulations.
The PPRA remains committed to the eradication of these practices as it is prejudicial to new entrants to the market and has a decidedly negative impact on the transformation of the industry.
 
Yours faithfully,
 
Ms Thato Ramaili
Chief Executive Officer
For and on behalf of the PPRA
 
03 November 2025


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