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5 Steps to Agency Compliance with the PPRA

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The Crackdown Starts Now: Property Developers Under the Scrutiny of the PPRA

“In the real estate world, property developers are innovators—giants of the industry who shape property trends and take risks where others dare not tread. These developers are the elite in a billion-rand industry in South Africa. However, when they step into the roles of estate agents by marketing, selling, renting, or managing their developments, they must adhere to the Property Practitioners Act No. 22 of 2019 and its accompanying regulations.” – says Janet Alexander from Principal Property Services.

Compliance with the PPRA (Property Practitioners Regulatory Authority) is mandatory for developers who take on these roles. While some developers have resisted these regulations, seeking legal opinions to bypass them, all paths eventually lead back to the same conclusion: Developers selling and renting their own properties are considered property practitioners and must register with the PPRA.

As of July 1st, 2024, all specialised property fields, including developers, must be registered with the PPRA. Compliance is crucial, and here are five steps to guide you:

  1. Register and Reserve Your Agency Name: Your chosen name needs to be available at both the PPRA and CIPC.
  2. Appoint Principal and Property Practitioners: Register these practitioners with the PPRA under your firm.
  3. Ensure Compliance with related authorities, including BEE and POPI.
  4. Maintain Agency Compliance: Adhere to ongoing PPRA regulations.
  5. Ensure Practitioner Compliance: All employed property practitioners must be registered and compliant with PPRA rules.

Property developers are not being singled out. This compliance is a sector-wide requirement, extending to estate agents, auctioneers, mortgage originators, and others within the property industry.

As of 1st July 2024, all specialised property fields must register with The Authority:

  • Estate Agents
  • Attorneys Employees
  • Auctioneers
  • Bridging Finance
  • Business Brokers
  • Developers
  • Electronic Property Platforms
  • Homeowners Associations
  • Managing Agents
  • Mortgage Originators
  • Property Facilitators
  • Timeshare and Fractional Ownership

The definition of a Property Practitioner as defined in the Act

(a) means any natural or juristic person who or which for the acquisition of gain on his, her or its own account or in partnership, in any manner holds himself, herself or itself out as a person who or which, directly or indirectly, on the instructions of or on behalf of any other person—

(i) by auction or otherwise sells, purchases, manages or publicly exhibits for sale property or any business undertaking or negotiates in connection therewith or canvasses or undertakes or offers to canvas a seller or purchaser in respect thereof;

(ii) lets or hires or publicly exhibits for hire property or any business undertaking by electronic or any other means or negotiates in connection therewith or canvasses or undertakes or offers to canvass a lessee or lessor in respect thereof;

(iii) collects or receives any monies payable on account of a lease of a property or a business undertaking;

(iv) provides, procures, facilitates, secures or otherwise obtains or markets financing for or in connection with the management, sale or lease of a property or a business undertaking, including a provider of bridging finance and a bond broker, but excluding any person contemplated in the definition of ‘‘financial institution’’ in section 1 of the Financial Services Board Act, 1990 (Act No. 97 of 1990);

(v) in any other way acts or provides services as intermediary or facilitator with the primary purpose to, or to attempt to effect the conclusion of an agreement to sell and purchase, or hire or let, as the case may be, a property or business undertaking, including, if performing the acts mentioned in this subparagraph, a home ownership association

Disclaimer: The information provided in this article is for general informational purposes only. While we strive to keep updates accurate, the Property Practitioners Regulatory Authority (PPRA) regulations are subject to change. PropAcademy is not responsible for any inaccuracies or decisions made based on this information. For the most current regulations, please consult the PPRA directly or visit their official website.

Understanding the New NQF4 Occupational Certificate

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Legacy Courses vs. Occupational Certificates

Previously, qualifications for Property Practitioners were based on qualifications that fell under the Further Education and Training Certificate (FETC) system, managed by the SERVICES SETA. As of 1 July 2024, these have been replaced by Occupational Certificates, which are overseen by The Quality Council for Trades and Occupations (QCTO).

What is an Occupational Certificate?

An Occupational Certificate is a nationally recognised qualification awarded to individuals who have demonstrated competence in a specific occupation or trade. This certificate is:

  • Industry-Standard: It aligns with the standards set by the industry to ensure relevance and applicability.
  • Skill-Focused: Designed to equip learners with both the theoretical knowledge and practical skills needed to excel in their chosen field.
  • Work-Integrated: Includes components that provide real-world work experience, ensuring that property practitioners are industry-ready.

The New Qualification: Occupational Certificate: Real Estate Agent (SAQA ID 118714)

The QCTO has introduced the Occupational Certificate: Real Estate Agent, identified by SAQA ID 118714. This new qualification is structured to offer comprehensive training that includes the following components:

  • Knowledge Modules: These modules provide the theoretical foundation necessary for understanding the principles and practices of real estate.
  • Simulated Practical Modules: These modules allow students to apply their theoretical knowledge in controlled, simulated environments that mimic real-world scenarios.
  • Work Experience Modules: These modules involve actual work experience under the supervision of a qualified mentor or principal, offering hands-on training in real estate activities.
  • External Integrated Summative Assessment (EISA): Ensure a uniform standard for the industry’s qualification.

Occupational Certificate: Real Estate Agent (SAQA ID 118714)

Benefits of the New Qualification

The shift to the Occupational Certificate system brings several benefits for aspiring and existing Property Practitioners:

  • Relevance: The curriculum is designed to meet current industry demands and standards, ensuring that graduates have the skills needed in today’s market.
  • Comprehensive Training: The combination of knowledge, simulated practice, and real-world experience provides a well-rounded education.

Final Thoughts

The introduction of the Occupational Certificate: Real Estate Agent represents a significant advancement in the training and certification of Property Practitioners in South Africa. By aligning education with industry standards and emphasizing practical skills and work experience, the QCTO ensures that new graduates are well-prepared to succeed in the dynamic field of real estate.

As the industry continues to evolve, these changes highlight the importance of continuous learning and adaptation. For aspiring Property Practitioners, this new qualification pathway offers a clear, structured route to achieving professional excellence and recognition.

Stay informed and embrace these changes to stay ahead in your real estate career!

Major Changes in the South African Real Estate Industry

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Are you considering becoming a registered property practitioner in South Africa?

On 1 July 2024, the South African real estate industry witnessed significant changes that have redefined the landscape for Property Practitioners. The transition from legacy courses to new Occupational Qualifications marks a new era in professional development and certification within the industry.

Whether you’re new to the field or already have some qualifications, this guide will help you navigate the process of becoming a Property Practitioner.

For those with no prior qualifications or Equivalency Exemptions from the PPRA, here is a step-by-step guide to becoming a registered Candidate Property Practitioner:

  1. Register for an FFC at the PPRA
    • Required documents: a letter of employment, a certified ID, and the agency pin (usually starting with an “F”).
    • Condition: Enroll in the occupational qualification within 180 days.
  2. Enroll with an Accredited Skills Development Provider
    • Choose a provider like PropAcademy to complete your Occupational Certificate: Real Estate Agent.
  3. Complete the Knowledge and Simulated Practical Modules
    • These modules can be completed independently. Together, they provide 75 credits and should take approximately 3 months to complete.
  4. Register for an FFC if Not Done Previously
    • Provide certified proof of completion of the Knowledge and Simulated Practical Modules.
    • You will then have 180 days to complete the Work Experience Modules.
  5. Complete the Work Experience Modules
    • This must be done under the supervision of a Mentor or Principal you will have 6 months to complete this.
  6. Write the EISA
    • After completing the Work Experience Modules, you are eligible to write the External Integrated Summative Assessment (EISA).
  7. Qualification Award
    • Upon passing the EISA, your qualification will be recorded by the PPRA, making you eligible to write the Professional Designation Exam (PDE) 4.
  8. Pass the PDE 4
    • After passing this exam, the PPRA will award you the professional designation PPRE.
    • Keep in mind you would have to write this exam before you can renew your FFC again.
  9. Upgrade to Non-Principal Property Practitioner
    • You will also be upgraded from a Candidate Property Practitioner to a non-principal Property Practitioner.

If you have formal qualifications or Equivalency Exemptions from the PPRA, follow these steps to register as a Candidate Property Practitioner and obtain a Fidelity Fund Certificate (FFC):

  1. Register for an FFC at the PPRA
    • Gather the necessary documents: a letter of employment, a certified ID, and the agency pin (typically starting with an “F”).
  2. Commence Practical Training
    • Start the 6 practical training modules in the workplace immediately after receiving your FFC.
    • Training must be conducted under the direct supervision of a Mentor or Principal.
  3. Complete Practical Training Modules
    • Finish the 6 practical modules within 180 days from the date your FFC is issued.
    • Submit a confirmation of completion of these modules to the PPRA.
  4. Submit Confirmation of Completion
    • The PPRA must receive and approve the confirmation letter of completion of the 6 practical modules.
  5. Write the PDE 4
    • Once the PPRA approves your completion of the practical modules, you are eligible to write the Professional Designation Exam (PDE) 4.
  6. Earn the PPRE Designation
    • After successfully passing the PDE 4, the PPRA will award you the professional designation PPRE.
  7. Upgrade to Non-Principal Property Practitioner
    • You will be upgraded from Candidate Property Practitioner to a non-principal Property Practitioner.

Final Thoughts

Navigating the process to become a registered property practitioner may seem daunting, but with the right steps and timely actions, you can achieve your career goals. Stay organized, keep track of deadlines, and take advantage of resources like accredited Skills Development Providers to support your journey.

Good luck on your path to becoming a certified Property Practitioner in South Africa!

Required Logbook Confirmation Letter for Candidates

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The Property Practitioners Regulatory Authority (PPRA) has ceased accepting logbook submissions, both online and in-person at their offices.

Candidates are now required to provide a co-signed letter from their Principal or Mentor to the (PPRA).

This letter must confirm that they have completed one of the following:

  • The Logbook
  • The compulsory practical training course
  • The work experience modules of the OC: Real Estate Agent SAQA 118714 qualification

The necessary letter can be downloaded from this link.

EISA – Occupational Certificate: NQF Level 4: Real Estate: SAQA ID 118714

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With the replacement of the NQF4 qualification taking effect on 1 July 2024, there is now a requirement to complete an EISA. Many of you are wondering what this means for you as PropAcademy learners.

What is an EISA?

The External Integrated Summative Assessment [EISA] is the crucial final exam that learners must pass to earn their accreditation in their NQF4 118714.

Managed and conducted by the Assessment Quality Partner (AQP) specific to each qualification, the EISA evaluates learners on the essential skills and knowledge required for their chosen field, such as real estate.

When do you need to complete this exam?

Here are the steps you need to follow:

  • Enrol and complete the OC: NQF4 SAQA ID 118714.
  • Once you have completed the Knowledge and Practical modules, submit valid and certified proof of completion and/or statement of results to the PPRA.
  • Then register and receive your FFC as a candidate and immediately commence with the Workplace module. Which must be completed within 180 days of being issued an FFC.
  • Upon completion, submit a valid and certified proof of completion and statement of results.
  • Once the EISA is completed and the qualification awarded, a candidate becomes eligible to write PDE4.
  • Upon passing PDE4, they become non-principal property practitioners.

Why is EISA Important?

The EISA plays a critical role in ensuring that learners are truly competent in the skills they have studied, much like Grade 12 exams. By standardising the final assessment, it promotes integrity and reduces the risk of unethical practices among training providers. Furthermore, the EISA focuses on relevant skills that are directly applicable to the job market, rather than testing generic and less applicable knowledge.

It’s not yet clear how the Quality Council for Trades and Occupations (QCTO) and the PPRA will manage the EISA on a national level. Additionally, we need more information on how the EISA will be scheduled and coordinated to accommodate all learners across various accredited providers. Finally, ensuring the security of the question papers to prevent leaks before the assessment is a crucial concern. Stay tuned for updates from the QCTO as we learn more about the practical implementation of the EISA.

Embrace Continued Growth: PropAcademy Highlights the 2024 CPD Program

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PropAcademy, in alignment with the Property Practitioners Regulatory Authority (PPRA), is thrilled to announce the commencement of the Continuing Professional Development (CPD) program for the year 2024. This initiative underscores our commitment to uphold the highest standards in the real estate sector and to support the continuous professional growth of property practitioners.

Enhancing Professional Skills

The CPD program is designed as a crucial platform for real estate professionals to sharpen their skills, stay current with evolving industry trends, and meet ongoing educational mandates. It’s an opportunity for practitioners to not only enhance their capabilities but also to ensure they remain at the forefront of the real estate profession.

Important Updates to the CPD Policy

The PPRA has made significant updates to the CPD policy for 2024:

  • Immediate Participation: Property practitioners who have successfully passed the PDE4 between February and June 2024 can now enroll in the CPD program within the same calendar year.
  • Subsequent Year Participation: Those passing the PDE4 from July to November will be eligible to join the CPD program in the subsequent calendar year, as they are upgraded to non-principal property practitioner status.

Enrollment and Compliance Details

  • CPD Fee: The fee for the 2024/2025 financial year has been set at R1,700 per participant. Ensure to use your seven-digit reference number when making payments and retain all payment records for verification purposes.
  • Personal Development Plan (PDP): Each practitioner is required to complete their Personal Development Plan, aligning it with their professional objectives before enrolling in the CPD e-Learning program.
  • Module Completion: Participants must complete four CPD modules annually, as stipulated by the relevant regulations. This year, a wider selection of modules is available, allowing you to tailor your learning to your specific professional needs.

Seeking Further Information?

Should you have any inquiries or require assistance regarding the CPD program, please feel free to reach out to the PPRA’s Education, Professionalisation, and CPD Department or contact PropAcademy for guidance tailored to your professional journey.

This initiative is part of our ongoing effort to ensure that property practitioners are well-equipped with the knowledge and skills necessary to excel in an ever-changing market. At PropAcademy, we are dedicated to your continued success and professional development.

Disclaimer: This article is based on information provided by the PPRA. PropAcademy is not responsible for any changes to the regulations or guidelines that may occur after the date of this publication.

Navigating the 2024 FFC & RC Renewal Process: Essential Insights from PPRA

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PPRA S47, S78 and S49: issuing of FFCs and RCs:

PropAcademy is committed to keeping our community of property practitioners well-informed about the latest regulatory requirements and processes. A recent webinar hosted by the Property Practitioners Regulatory Authority (PPRA) shed light on the essential steps and documentation required for the renewal of Fidelity Fund Certificates (FFCs) and Registration Certificates (RCs) for 2024. Here’s everything you need to know to ensure a smooth renewal process.

Key Updates and Requirements:

  1. Renewal Notifications and Timeline:
  • The PPRA has identified all property practitioners due for FFC renewal in 2024. Notifications will be sent via bulk email, and it is crucial to ensure your contact details, especially your email address, are current in the PPRA records.
  • Invoices for renewal will be dispatched starting July 2024, marking the commencement of the renewal season which will run until October 31, 2024.
  1. Required Documentation for Firms:
  • For Juristic Persons (CC’s or Private Companies): You will need to submit an Application Form, a Tax Clearance Certificate, and a BBBEE Certificate or Sworn Affidavit.
  • For Sole Proprietors: An Application Form and a Tax Clearance showing compliant status are required.
  1. Understanding BEE Compliance:
  • The BEE compliance level accepted is 40 points or more (BEE Level 8). Entities not meeting these standards have the option to apply for an exemption as per Section 4.
  1. Payment and Processing Details:
  • Payments should be made using the specific seven-digit reference number as the payment reference.
  • Once payments are reconciled, compliant property practitioners will receive their FFC or RC valid for three years.
  1. Non-Compliance and Penalties:
  • Practitioners with non-compliance issues will be contacted, and any penalties must be cleared before a certificate can be issued.
  • Non-compliance might include criminal convictions, lack of tax and BEE certifications, or previous claims against the Fidelity Fund.
  1. Ensuring Accurate Contact Information:
  • Verify your contact details with the PPRA to prevent any issues with the issuance of certificates and to ensure you receive all pertinent communications from the PPRA.

How PropAcademy Can Assist:

PropAcademy offers guidance and support to ensure our practitioners navigate these processes seamlessly. Our team can help you understand the documentation requirements, assist in ensuring your compliance with BEE and tax regulations, and provide resources for any queries you might have during the renewal process.

Conclusion:

Staying informed and prepared is key to ensuring that your practice continues without interruption. We encourage all property practitioners to begin preparing for the renewal process early to avoid last-minute hassles and ensure compliance with all regulatory requirements.

Disclaimer: This article is based on information provided by the PPRA during their latest webinar. While we strive to provide accurate and up-to-date information, practitioners are encouraged to verify details with the PPRA directly as policies and regulations may change.

Important Update on Fidelity Fund Certificate Renewal for Property Practitioners

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The Property Practitioners Regulatory Authority (PPRA) has announced a significant update regarding the renewal of Fidelity Fund Certificates (FFCs) and the handling of historical penalties: As stipulated in Regulation 15.4 of the Property Practitioners Act, it remains mandatory for all property practitioners to formally notify the PPRA in writing if they decide not to renew their FFCs.

Historically, failing to notify the PPRA and discontinuing practice without formal communication resulted in penalties for those returning to the industry. However, effective from June 20, 2024, the PPRA will no longer impose penalties on practitioners who did not engage in property dealings during their period of non-renewal.

Practitioners wishing to return to the industry will need to submit an affidavit, available through this link, confirming their absence from the sector along with supporting documentation.

This policy revision is designed to alleviate undue burdens on professionals re-entering the market, ensuring a smoother transition and compliance with regulatory standards. Property practitioners still operating without renewed FFCs by the annual deadline of 31 October will continue to face penalties, maintaining the integrity and professional standards of the industry.

For more details on the process and to access the necessary forms, please refer to the PPRA’s official guidelines. This change reflects the PPRA’s commitment to fair regulatory practices and supports property practitioners in maintaining compliance with ease.

This article is provided for informative purposes only and does not constitute legal advice. Property practitioners are advised to consult the PPRA directly or seek legal counsel to understand how these changes may specifically affect their business operations. PropAcademy is not responsible for any errors or omissions, or for the results obtained from the use of this information.

New Standards and Pathways of Education and Training for the Real Estate Sub-sector

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In terms of Regulation 33 of the Property Practitioners Act

The PPA (Property Practitioners Act) in South Africa introduces significant changes to the regulation of the real estate industry. While the PPA aims to enhance professionalism and consumer protection in South Africa’s real estate industry, its implementation may bring about both opportunities and challenges for practitioners and stakeholders alike. Adapting to these changes will be crucial for navigating the evolving regulatory landscape effectively.

NQF4 Real Estate

Further education and training: NQF Level 4: Real Estate: SAQA ID 59097 is replaced by

Occupational Certificate: NQF Level 4: Real Estate: SAQA ID 118714.

NQF5 Real Estate

Occupational Certificate: NQF Level 5: Real Estate: SAQA ID 20188 is replaced by

Occupational Certificate: NQF Level 5: Real Estate: SAQA ID 121691.

If you currently have an FFC [before the end of June 2024]:

  • If you hold candidate status you must comply with the 2008 regulations.

The PPRA will no longer accept logbooks after 30 June 2024.

If your logbook is due after 30 June 2024, then your principal will need to co-sign a letter to submit to the PPRA. This letter will be released by the PPRA shortly.

  • If you hold principal, non-principal or candidate status without having your qualifications, then you are urged by the PPRA to register for the NQF4, RPL4, NQF5 or RPL5 (whichever course is applicable) before the end of June 2024. If you do not do this by the end of June 2024, you will need to register for the new qualifications, which means that in the case of NQF4 and RPL4, you will not be able to earn commission during the Knowledge and Practical components of your course.

How the PPRA will be implementing the new standards of education and training for the real estate sub-sector with effect from 1 July 2024 for:

  • Existing Principals property practitioners;
  • Principal property practitioners wishing to downgrade to non-principal property practitioner status;
  • Aspirant principal property practitioners;
  • Existing candidate property practitioners; and
  • Aspirants or new entrants wishing to joining the real estate sub-sector as candidate property practitioners for the first time.

Who is affected and how should this be handled?

Practical application to the various categories of property practitioners affected:

The table below will indicate the requirements to be met by 30 June 2024 and from 1 July 2024. The consequences for non-compliance are listed.

1.     Existing Principal, who has no formal qualifications, NQF5 and PDE5 have not been acquired:
Requirements to be met:Enrol in the NQF5 SAQA ID 20188 no later than 30 June 2024.
Then write and pass the PDE5.
Consequences:Enrol in the OC: Principal Real Estate Agent SAQA ID 121691.
You will not be allowed to renew your FFC when it expires.
 
2.     Existing Principal, already acquired the NQF5 SAQA 20188, or has been exempted against this, but has failed to write and pass the PDE5:
Requirements to be met:Write and pass the PDE5.
Consequences:You will not be allowed to renew your FFC when it expires.
 
3.     Principal, who wants to downgrade to non-principal, but has no formal qualifications:
Requirements to be met:Enrol in the NQF4 SAQA ID 59097 by no later than 30 June 2024.
Upon qualifying, write and pass the PDE4.
Consequences:You will not be allowed to renew your FFC when it expires.
 
4.     Principal, who wants to downgrade to non-principal, and has the NQF4 SAQA ID 59097 and NQF5 SAQA ID 20188, or has been exempted against this.
Requirements to be met:Write and pass the PDE4, unless completed before.
Consequences:You will not be allowed to renew your FFC when it expires.
 
5.     Existing non-principal, who has no formal qualifications, NQF4 and PDE4 have not been acquired:
Requirements to be met:Enrol in the NQF4 SAQA ID 59097 by 30 June 2024.
Upon qualifying, write and pass the PDE4.
Consequences:Enrol and complete the OC: NQF4 SAQA ID 118714.
You will not be allowed to renew your FFC when it expires.
 
6.     Existing non-principal, already required the NQF4 SAQA 59097 or has been exempted against this but has failed to write and pass the PDE4:
Requirements to be met:Write and pass the PDE4.
Consequences:You will not be allowed to renew your FFC when it expires.
 
7.     Non-principal, aspiring to become principal, from 1 July 2024, in possession of NQF4, PDE4, and NQF5 or exemption thereof.
Requirements to be met:Write and complete the PDE5, then you may become a Principal.
 
8.     Existing candidates, who failed to comply with 2008 regulations, did not complete the intern logbook, NQF4, and PDE4
Requirements to be met:Enrol in the NQF4 SAQA ID 59097 by 30 June 2024.
Submit a compliant intern logbook by no later than June 2024.
Failing which, to submit a letter co-signed by their principals and/or mentor confirming completion of the logbook and 12-month internship.
Upon qualifying for NQF4, write and pass the PDE4.
Consequences:You will not be allowed to renew your FFC when it expires.
 
9.     Existing candidates, who already acquired NQF4, or exempted against this, but failed to complete PDE4
Requirements to be met:Write and complete the PDE4.
Consequences:You will not be allowed to renew your FFC when it expires.
 
10. Aspirant candidate property practitioner with no formal qualifications and with no FFC from 1 July 2024.
Requirements to be met:
  • You can apply for an FFC and enroll in the new OC: NQF4 SAQA ID 118714 at the same time. This requirement also applies to candidates who applied for their FFCs before June 30, 2024, but are issued from July 1, 2024.
  • Enrol and complete the OC: NQF4 SAQA ID 118714.
  • Once you have completed the Knowledge and Practical modules, submit valid and certified proof of completion and/or statement of results to the PPRA.
  • Then register and receive your FFC as a candidate and immediately commence with the Workplace module. Which must be completed within 180 days of being issued an FFC.
  • Upon completion, submit a valid and certified proof of completion and statement of results.
  • Once the EISA is completed and the qualification awarded, a candidate becomes eligible to write PDE4.
  • Upon passing PDE4, they become non-principal property practitioners.
 

Information extracted from the Property Practitioners Regulatory Authority communique dated 14 June 2024 found here.

Disclaimer:

The information provided in this article is intended for general informational purposes only. While we strive to keep all updates accurate and up-to-date, the Property Practitioners Regulatory Authority (PPRA) regulations are subject to change, and may do so without prior notice. PropAcademy is not responsible for any inaccuracies that may occur, nor for any decisions made based on this information. We encourage readers to consult the PPRA directly or visit their official website for the most current information regarding educational regulations and compliance requirements.

FIC Compliance Notice for Estate Agency Firms

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Recently, the Financial Intelligence Centre (FIC) issued a notice to all estate agency firms, instructing them to complete and submit their Risk & Compliance returns by the 31st of May 2023.

All firms, branches, and franchises that have been issued a goAML Org ID number by the FIC, which serves as your FIC registration number, are required to submit these returns. This FIC registration number is essential for estate agency firms, branches, and franchises to register with the PPRA and obtain a Fidelity Fund Certificate (FFC).

The required document is known as Directive 6 of 2023. Firms registered from the 1st of April 2022 to the 31st of March 2023 are obligated to complete this directive. The link to this document was emailed to all estate agency firms last year and can be accessed through the provided link.

The urgency of submitting this form stems from the South African government’s efforts to remove the country from the Financial Action Task Force (FATF) grey list. South Africa was grey-listed in February 2023.

For South Africa to exit the FATF grey list, the FIC must ensure that its administration is current.

It is important to note that the majority of estate agency firms have neglected the request to complete this document.

Firms that continue to disregard this directive will be marked as non-compliant. It is highly likely that the FIC will share this information with the PPRA, which will then be compelled to prevent your agency from operating until Directive 6 has been submitted.

Directive 6 must be completed online using the following link.

For any queries, please contact the FIC’s compliance centre on 012 641 6000 or email [email protected]. For further information, visit www.fic.gov.za.