Should home owners be concerned over land expropriation without compensation?

As a property owner in Edenvale, or just about anywhere else in the country at the moment, the attention that the ANC government is drawing to its decades old agenda of land expropriation without compensation may have caught your attention. The media has spread a growing concern on the topic but according to the President, their only attention is on agricultural land in general, and unused agricultural land specifically.

Stuart Manning, CEO for the Seeff Property Group, says that the question of land expropriation without compensation is a hot political topic. He points out that SA has a very robust and progressive Constitution, regarded as one of the best in the world and all laws have to be in line with the Constitution. Property rights are currently protected by Section 25, but there are many other safeguards and such a law is expected to be subjected to vigorous litigious tests. It would also be necessary to change the Land Restitution Act and there are currently no proposed or draft amendments to either this act, or the Constitution.

Manning states that what is clear, is that the government is still a long way off from a workable solution and the need for economic growth will have to drive any land reform. It is therefore vital for property owners, buyers and investors to note that it remains business as usual for residential property ownership.

All of this already implies that the concern of property owners may be overstated but the strengthening of the residential property market is also further proof that there is little fear of citizens being turned out of their homes. Indeed, with the all the signals of returning foreign investment and development taking place this may be the best time to purchase residential property.