In terms of Government Notice R291 published on 16 April 2010 the current prescribed form for the Sectional Bond has been substituted with a new form which makes provision for compliance with Regulation 41(1) of the Deeds Registries Act. Should the immovable property being mortgaged be subject to conditions, as well as restrictive conditions, the bond must refer thereto, and more specifically to the restrictive condition. The new form must be used for all sectional bonds executed before the conveyancer on or after 16 April 2010.
The form has not changed much from the current form and the only change to it is basically the inclusion of one line of text after the property description. There are two possible scenarios namely:
- Where the property is subject to conditions; and
- Where the property is subject to special restrictive conditions
1. Where the property is only subject to normal title deed conditions, the property description should read as follows (In the Bond examples below the text shown in red is the new text that should be added in terms of Government Notice R291):
- Property Subject to Conditions - English Download ...
- Property Subject to Conditions - Afrikaans Download ...
2. Where the property is only subject to normal title deed conditions, the property description should read as follows (In the Bond examples below the text shown in red is the new text that should be added in terms of Government Notice R291):
- Property is subject to special restrictive conditions - English Download ...
- Property is subject to special restrictive conditions - Afrikaans Download ...
The new Form Z is not available in GhostConvey yet, but the following work-around can be used in the mean time:
In the Property tab, next to the field 'Held under...', the user can insert the necessary wording to comply with the new Sectional title changes, see example below:
With regards to the Unit:
With regards to the Exclusive Use area:
The new forms will be available in GhostConvey soon, but the above work-around can be followed in the mean time.
Nadia de Kock.
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