Renting, selling or making money out of low-cost housing is illegal and residents are warned against that.
Over the past months there has been problems at the Elandspoort and Danville low-cost houses with residents renting, selling or making money from their homes.
According to a DA leader (ward 3) Joey Botes, some residents have not been following the rules set out in the contract which they signed when they received their houses.
“There are several residents renting out their houses. Some are even using their homes as collateral and businesses,” Botes said.
She said there had been a few situations where she was called out to assist.
“There was an incident where tenants later became a problem for the owner of the house. I was called out and the tenant was thrown out,” Botes said.
She said the original resident used the rental money to pay for their water and electricity because he could not find a job.
“It seems to me the residents are renting out their houses to make money to survive and be able to pay their water and electricity because the government just gave them houses and did not have a plan to help them survive.”
Botes said in another incident a resident used his house as collateral to borrow money from someone.
In Danville Botes said one of the houses had been turned into a tavern where people go to buy and drink alcohol.
“It is wrong what these people are doing. These houses are to help them and this is the thanks they give back,” said Botes.
Residents are advised about the following:
• Read their contracts properly before signing to ensure they know what their rights are.
• Residents should not rent out or have a business running from their homes.
• They must not use their homes to enrich themselves.
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