Whether you are looking at selling or buying property in Boksburg, the Financial Intelligence Centre (FIC) Amendment Act could have an impact on how the deal is done.
On the Private Property website, you can get fast access to updated information regarding the property market, and in a recent article experts had warned that the changes ahead could further complicate transactions.
This is causing some concern amongst estate agents, many of which have said that they have not received any guidance in regard to implementation, while clarity is also not provided.
Jill Lloyd, who is an agent for Lew Geffen Sotheby’s International Realty in the southern suburbs of the Western Cape, says that the broad scope of stipulations and mechanisms is sure to have a significant impact on the time and expense when it comes to transactions.
“At the moment we have more questions than answers and smaller or low-commission agencies especially could really struggle to achieve compliance by 1 April 2019. We urgently need more information if we are to abide by the law as well as service our clients to the proper standard.”
The reason behind the changes is to put a little more responsibility on the institutions so that they will get to know their clients better, as well as ensure that continuous due diligence is done in regard to finding out where and how the client is providing the fund.
There is hope that these changes will also stamp out the likes of money laundering, corruption and terrorist financing, with nobody being exempt to the procedures. However, it is likely to add more pressure on a strained market.
For smaller agencies, this increase in collection of data and taking on the responsibility of due diligence could prove a little much, so it remains to be seen how much of an impact it will have when April rolls around.
