NHBRC enrolment: what new home owners should know

If you are building a new home in South Africa, you will hear about the NHBRC. Many people treat it as paperwork for the builder to sort out, but it matters to you as the owner, and banks take it seriously too. Here is a plain summary.

What the NHBRC is

The National Home Builders Registration Council is a statutory body set up under the Housing Consumers Protection Measures Act. It does two main things:

1. It registers home builders. Anyone who builds new homes as a business must be registered with the NHBRC.
2. It enrols new homes. Each new home must be enrolled with the NHBRC before construction starts, which brings it under the NHBRC’s inspection and warranty scheme.

When the home must be enrolled

A new home must be enrolled at least 15 days before construction begins. Enrolment is done by the registered builder and requires the approved plans, an engineer’s details and the enrolment fee, which is calculated on the value of the home.

Late enrolment is a common problem. If a house is not enrolled, banks are generally unwilling to grant a home loan on it, and selling it in the first five years can become difficult.

What the warranty covers

Once enrolled, the home is covered by the NHBRC warranty scheme:

• Minor defects reported within the first three months of occupation
• Roof leaks reported within the first year
• Major structural defects for five years from occupation

The builder is responsible for fixing defects in the first instance. The NHBRC scheme steps in if the builder fails to do so or is no longer trading.

Inspections

The NHBRC also inspects homes at key stages during construction, in addition to the City’s building inspectors. Inspections typically focus on foundations, structure and roofs.

Does it apply to renovations?

Enrolment applies to new homes. Most alterations and additions to an existing house do not need to be enrolled, though a large rebuild may. If you are unsure, ask your builder to confirm early.

What to check as an owner

• Ask for your builder’s NHBRC registration number and check it is current.
• Ask for proof of enrolment for your home before work starts.
• Keep the enrolment certificate with your house documents. You will need it if you sell.

How we handle it

We are registered with the NHBRC and enrol every new home we build before work starts. You will get a copy of the enrolment documents for your records, along with the other compliance certificates at handover. If you have questions about a new build, get in touch.