Can You Inherit an RDP House? Key Rules and Guidelines You Should Know
In South Africa, RDP (Reconstruction and Development Programme) houses are part of the government’s effort to provide affordable housing to low-income citizens. These homes are allocated as part of a broader initiative to reduce the housing backlog and offer citizens a chance at homeownership. However, if you’re wondering whether you can inherit an RDP house, there are important rules and processes you should be aware of.
This article explains the rules, legal ownership, the inheritance process, and any restrictions on selling or transferring an inherited RDP house.
Who Owns the RDP House?
Understanding ownership is the first step in the inheritance process. The legal owner of the house is the person whose name appears on the title deed. This deed proves that the person owns the house. In some cases, the title deed may list co-owners, such as spouses or family members, but the primary owner remains the person named on the deed.
The house can be inherited only if the ownership is properly transferred following the owner’s death. It is the title deed that serves as proof of who legally owns the property.
How Does the Inheritance Process Work?
There are two main ways to inherit an RDP house: through a will or according to the rules of intestate succession.
1. Inheritance Through a Will
If the deceased person left a will, the house passes to the beneficiary named in it. The person designated as the beneficiary will inherit the property. The executor of the estate handles the estate’s administration, including transferring ownership of the house.
2. Inheritance Without a Will (Intestate Succession)
If the deceased did not leave a will, the house is inherited according to the Intestate Succession Act of 1987. In this case, the house typically goes to the surviving spouse and children. If there are no surviving spouse or children, more distant relatives, such as parents or siblings, may inherit the property.
The law prioritizes surviving spouses and children, ensuring that the property stays within the family. The exact distribution depends on the size of the estate and the relationships among family members.
Dependents and Beneficiaries: What You Need to Know
You might wonder if being listed as a dependent on the original RDP application automatically gives you ownership rights. The answer is no. Being a dependent does not give you automatic ownership of the house. Only the person listed on the title deed is the legal owner.
However, if you are a blood relative, you are more likely to inherit the house, as you will generally be considered a beneficiary under intestate succession laws or a will.
The Importance of the Title Deed
The title deed is crucial because it proves ownership. If the house was transferred to your name before the deceased’s passing, it’s legally yours. However, if the title deed is still in the deceased person’s name, you must follow the legal process to inherit the property.
How to Transfer the Property After Death
Once inheritance is established, you must legally transfer the house into the new owner’s name. The transfer process involves the following steps:
- Obtain a Letter of Authority: The Master of the High Court will issue this document. It authorizes the executor to manage and distribute the deceased’s estate.
- Hire a Conveyancing Attorney: You will need a conveyancing attorney to help with the legal transfer of the property. They will ensure that all necessary steps are followed, including registering the transfer at the Deeds Office.
- Register the Property: After completing the necessary steps, the attorney will ensure that the property is officially registered in the new owner’s name.
Once this process is complete, the new owner will have full legal ownership of the house.
Selling an Inherited RDP House
RDP houses come with restrictions. You cannot sell the house immediately after inheriting it. There is a law that states RDP houses cannot be sold within the first 8 years of ownership without permission from the Department of Housing. This regulation ensures that the houses stay with the families who need them.
Even after you inherit the property, you must follow the legal transfer process before you can sell. If the house is sold within the first 8 years, the property must first be offered back to the government, and no payment will be made to the seller.
What Happens If You Sell Within 8 Years?
If you sell the house within 8 years without government approval, the house must be returned to the state. This restriction prevents the rapid resale of RDP houses and helps keep these homes available for those who need them most.
Check also: Upgrading Your RDP House: What You Can and Can’t Do
Inheriting an RDP house involves several legal steps. From confirming ownership through the title deed to navigating the inheritance laws, it’s important to follow the correct procedures. While the government’s policies ensure that RDP houses remain within families, following legal processes is crucial for securing your rights to the property.
If you’re inheriting an RDP house, be sure to consult with legal professionals to ensure everything is handled properly.
