Buyers beware: Understand your property’s title deed and zoning regulations before purchasing

Buying a home can ignite a whirlwind of excitement and dreams for the future, but there lurks an essential step that can't be overlooked: understanding the property’s restrictions.

For many, the thrill of ownership can quickly morph into disappointment if regulations prevent cherished plans, such as building a dream deck or opening a boutique coffee shop.

To avoid such scenarios, industry experts like Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, emphasise the importance of being proactive in this regard.

“Knowing this upfront ensures that your purchase remains exciting without any unwanted surprises that could throw your plans off course,” advises Goslett.

Before getting too attached to a property, potential buyers need to delve into two critical aspects—the title deed conditions and local zoning regulations.

Understanding title deed conditions

The first step toward a wise investment is reviewing the title deed for any restrictions that may come with the property. Common conditions include:

• Prohibitions on subdividing the land
• Limitations on building heights (for example, no more than two storeys)
• Specific architectural styles or roof types mandated
• Requirements for certain exterior colours and materials, especially in complexes governed by a Body Corporate or Homeowners Associations (HOAs)
• Coverage limits, stipulating that only a certain percentage of the stand may be built upon

Not being aware of these stipulations can lead to expensive alterations or, worse, hinder the realisation of a home's full potential.

Deciphering zoning regulations

In addition to title deed conditions, zoning laws dictate the permissible use of land, categorising properties into zones such as residential, commercial, industrial, agricultural, and open space. Each zone comes with a unique set of regulations concerning building types, land use, and density.

Understanding the zoning applicable to a property becomes particularly crucial if buyers plan to transform their new home into a business establishment or subdivide land into sectional titles.

Municipalities keep zoning maps and schemes that lay out these frameworks, and consulting with local authorities or a town planner is advisable for clarity on the implications of zoning laws.

Recognising servitudes

Another aspect to consider is the existence of servitudes—legal rights granted to third parties that may impinge on property use. These can include:

• Rights of way for vehicular access
• Installation and maintenance of utility lines
• Water extraction rights

Awareness of such servitudes is essential as they can dramatically affect what can be done with the property.

Possibilities for change

While restrictions may seem daunting, there are avenues to explore if alterations are desired. Buyers can apply to the High Court to modify or remove restrictive title deed conditions, provided they can prove that the changes will not adversely affect the wider community. Similarly, zoning changes can be requested through the local municipality, though this invariably involves public participation and does not guarantee approval.

“When purchasing a property, you can include a clause in the Offer to Purchase that makes the sale contingent upon the successful removal or amendment of specific restrictions,” advises Goslett.

This contingency can offer buyers much-needed peace of mind.

Avoiding buyer’s remorse

Whether you proceed with your purchase or not, the key takeaway is to avoid entering into a property transaction blindly. “Understanding the various restrictions that may apply to a property is crucial for any buyer," stresses Goslett.

He urges potential homeowners to consult with legal professionals, town planners, and local RE/MAX agents for expert guidance and reassurance, ultimately steering clear of regrets in the home-buying journey.