The NHBRC – 5 elements
1. The NHBRC gives protection against shoddy workmanship
The NHBRC was established in terms of the Housing Consumers Protection Measures Act, 1998 to regulate the building industry and protect home buyers against shoddy workmanship.
Motivation at the time was largely charged by fly-by-night-builders who were conning people all over the country. There was undoubtedly a huge need to regulate the home building industry and improve building standards in this part of the construction industry.
The National Home Builders Registration Council (The NHBRC) – which is a Section 21, non-profit organisation – states that it has the vision to be “a world-class organisation that ensures home builders deliver sustainable quality homes”. The way it set out to do this, was to establish a registration process for all home builders and contractors working in the domestic market, together with an NHBRC Defects Warranty Scheme for all new homes built by their registered members.
2. Registration with the NHBRC
Since December 1999, all home builders have been required, by law, to register with the NHBRC, and no financial institution is permitted to lend money against the security of a mortgage bond unless the builder is registered. As a further safeguard, conveyancers are not permitted to register bonds unless these requirements have been met.
However, to register with the Council, builders must have not only the appropriate technical and construction skills, but also sufficient financial resources and management abilities to carry on a business without exposing “housing consumers” to unacceptable risks.
The NHBRC has a register of home builders who are members and they are in the process of establishing a grading system so that potential clients will get an idea of the quality of work to expect. Members will be able to use this information when they advertise their services.
In addition, the NHBRC keeps a database of any previous members who have been suspended or deregistered.
3. NHBRC Warranty Scheme
The primary concern of the NHBRC is “major structural defects” caused by poor workmanship. The warranty scheme was established to counter this problem, and because of it, the NHBRC is able to provide warranty protection against defects for all new homes: five years for the structure itself (foundations and walls), and a minimum of a year for roof leaks. Noncompliance and deviation from plans and specifications are also covered.
However, funding of the warranty scheme has historically been the most controversial issue relating to this organisation. Apart from the registration fees and annual levies, “enrolment” fees are charged for every building that is constructed. From the start fees were based on 1,3 percent of the price in the deed of sale or offer to purchase document, or the sum of the prices on the building contract and land sale agreement up to R500 000; thereafter a percentage scale is used.
4. NHBRC Manuals
One of the most valuable contributions the NHBRC has made is the publication of comprehensive home building manuals (which was a requirement of the founding Act). These are available directly from them at a very reasonable price.
Simple reference documents based on normal construction procedures and recommended practices, the manuals cover every aspect of building, including planning, design and construction. They contain numerous tables, definitions, diagrams and specifications, all of which encourage good building practice. Even though drainage installations and other belowground work is excluded from the NHBRC’s warranty scheme, relevant construction methods have been included in the manuals as a guide. Interestingly, some non-standardised construction methods not covered by the National Building Regulations are also included in the NHBRC manuals.
Comprehensive as they are, the NHBRC building manuals are not intended to replace existing building regulations and/or codes of practice determined by the South African Bureau of Standards (SABS). The National Building Regulations and Building Standards Act remains in force and must be adhered to.
5. The NHBRC and Owner Builders
While the Housing Consumers Protection Measures Act was promulgated to protect consumers, unscrupulous builders found a loophole in the Act. By claiming to be “owner builders”, they were able to get away with certain construction projects without registering with the NHBRC and paying the necessary fees.
In 2007 the Act was amended, defining an Owner Builder as”
“a) a person who builds a home for occupation by himself or herself; or
b) a person who is not a registered home builder and who assists a person contemplated in paragraph (a) in the building of his or her own home”.
The Act also introduced People’s Housing Process projects, or PHP Projects which are approved in terms of the National Housing Code: Housing Subsidy Scheme, and which are exempt from the Act if they use their own labour to build a home.
The updated legislation also gives owner builders the right to apply for exemption from being forced to register as a “home builder” if they wanted to build owner build their home.
You can connect to their website: nhbrc.org
You can search their database for registered builders on their website: builder-search
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You need to take this up with the NHRBC. Are you sure he really is registered? If they have not done inspections, maybe he isn’t. It would also be a good idea to contact your local newspaper and suggest they do a story about the builder. This will ensure that other people don’t get ripped off by him. It sounds to me that you have been badly ripped off.
Yes, you are correct. You simply need local authority approval. Only people/businesses building houses for a living need to apply to the NHBRC. And even this is not enforceable unless their clients are needing a loan.
I bought the manuals years ago and tried recently to find out what they cost now. Nobody was able to advise me. Perhaps you will have more luck if you contact the NHBRC. You can only buy them directly from the NHBRC.
Could someone please tell me how much +- the NHBRC Manuals cost?
Thanks
So am i correct in saying that it is not compulsory to enroll a new house with NHBRC if i am going to be building it with my own Money and will be occupying it for more than 5 years? If so do i need to apply for exemption or can i just go ahead and start building once i have Local authority approval?
I have a problem the builder who builded my fiances house is registered by nhbrc, there are so many proplems with him and the nhbrc didnt even to their final inspection yet. the builder got all they money he was supposed to get, but couldnt finish due to the fact he used the money for personal reasons he used as an excusse so in the end now he ows us R19000 extra cause there were work that needed to be finished and he said that he needed money to pay the ppl other wise the work would stand still, he was supposed to be finished by the house in June already, although we have move in already, there is still roof tiles that is not fixed up and the rain season is comming. We had to double pay also for some kitchen cubbords to be fixed by other ppl cause the ppl he use refused cause he only gave them a deposit and are still waiting for there money. We would like a formal investigation in to this man and his actions. He is the NHBRC builder for Fochville!!!
thanks
How do I know if the builder of a property is registered or not?
Hi. My builder is building a studio for us and we decided to build a store room above it. It is going to be a double storey. He has built up to roof height with a single layer of bricks. Is that accepted? I was told that should you go double storey, after 2.1m you need double layer of bricks. Rather concerned. please advise. He says he is registered with the NHBRC, cannot finance it on his own, has taken more money from us than what has been built and has every excuse in the book. Was supposed to take one month to build, we are in the 3rd month. Thanks.Basil
This comment comes with a web link which we have allowed. However http://www.buildingregulations.co.za has no knowledge of the people involved or the quality of their workmanship. In principle though, their advice is good.
For all the home buyers out there insist on a property inspection to be done on the property before signing a sales agreement this will help you to make an informed decision and also make sure that the inspection is done by registered professional independent company.You can contact us for assistance on 074 606 7344 or E-mail: inspections.chic@gmail.com.
Henri, the NHBRC provides warranty protection against defects for houses build by builders that belong to the NHBRC – to provide protection to people who are building new homes (i.e. those who employ NHBRC builder members). Do you know who built the house? If you do, and they are members, you might have some sort of recourse – though it is unlikely to be a monetary one. If the builder is registered with the NHBRC and this has happened, they MIGHT be prepared to investigate – and may take action against the builder. But chances are the builder isn’t registered!
The main problem is that you probably bought the house Voetstoots (i.e. as is), and because you have been there for four years you are likely to be the one who is stuck with the problems. It’s a tough one because insurance policies generally don’t provide insurance on this type of thing.
hi I purchased my house four years ago and the boulding is aptouxmly 7 years old.one side of my boulding have big cracks,ingeneur told us that the house was badly cinstructed and that the foundation was sinking in one area. Is our house covered by nhbrc? The insurance told us that they will not pay out.
What can we do?
Erf 4438 milnerton capetown 7441
10 lolas place parklands
Regards
Henri
Andrew, you do not need to be SACAP registered to be able to draw up building plans. Architects need to be registered with SACAP, and so it is true that if you use an architect, that person will need to be registered. The building regs state that when plans are submitted to the local authority, they must be accompanied by a declaration made by a person who is “registered in terms of a built environment professions council”. Draughtsmen/women, architectural designers who are not qualified architects, and engineers fit this category. If you are able to draw plans to the standard required, you could ask a registered person (also referred to in the Act as a ‘competent person’) to supply you with a declaration. They would need to be sure your work was up to standard and would undoubtedly charge a fee – which you could pass on to your client – or build into your fee. Builders do this all the time with electricians, who by law must approve electrical installations. (This is presuming your local authority accepts this approach – which I think most do.)
As far as building is concerned, the NHBRC was established by Government in 1995 to try and stop what you call “weekend builders” – also known as bakkie builders. Financial institutions are not permitted to grant bonds to houses that are NOT built by registered builders. One problem that they hadn’t foreseen was that a lot of these people saw a loophole in the legislation and claimed to be “owner builders” who were not bound by the legislation. An amendment to the legislation in 2007 requires a genuine owner builder to apply for exemption from enrolling with the NHBRC (and paying their fees).
If a property owner has the cash to build, and has the exemption, he or she may use anyone to build PROVIDED the workmanship is up to scratch and in keeping with the building regs. The onus then is on the local authority to make sure that this is done. They can order a building be demolished if it is not.
An even bigger problem is illegal building, especially in more remote and rural areas. There are many people who don’t even bother with plans and because of a lock of policing by local authorities, they get away with shoddy, substandard building. I will be adding a case study to this site soon, that relates to this, so keep checking in.
Your comments are always welcome.
Hi, we all know if a building plan are to be drawn up you will need to be SACAP REG.
But why is it when plans are approved you can phone your uncle, grandmother, niece etc.. and tell them to come and build.
Why are they so hard on ‘US’ and yes i also draw plans, why do we need to go and reg. @ Sacap but not builders?
I think goverment must look into that also and stop all weekend builders!!!