| (a) |
If a dwelling is registered in the names of two or more persons none of whom are married to each other, the following shall be applicable in respect of each person who participates in the scheme: |
| (i) |
If all the persons in whose names the dwelling is registered are educators or other persons who may take part in the scheme, the real loan amount is divided in the proportion to which the educators concerned obtained ownership in the property, thereby to determine the recognised loan amount of each educator. |
| (ii) |
If not all of the persons in whose names the dwelling is registered are educators or other persons who may take part in the scheme, the real loan amount — |
| (aa) |
is divided in the proportion to which the persons concerned have ownership in the property, thereby to determine the recognised loan amount for each person; or |
| (bb) |
is divided by the number of persons concerned to determine the loan amount for each person, |
and whichever recognised loan amount is the smaller is used for allowances purposes.
| (iii) |
The allowance is paid for the normal allowance payment period, subject to the provisions of regulation 77. |
| (iv) |
When the dwelling is sold the gross return is divided in the proportion as used in subparagraph (a)(i) or (ii), in order to determine the gross return and furthermore the usable net return in each case for purposes of the application of regulation 75. |
| (b) |
The total of the monthly allowances payable in the case of educators as contemplated in paragraph (a)(i), or in the case of educators and those other persons as contemplated in paragraph (a)(ii) shall not be more than that payable if the dwelling was registered in only one person's name. |
| (a) |
No allowance shall be payable to an educator who occupies a dwelling that is registered in the name of a company, partnership or trust. |
| (b) |
When a dwelling that was registered in the name of a deceased husband is kept in the last mentioned estate or in trust and it is clear from the testamentary directions that the widow who is employed as an educator will shortly acquire ownership of the dwelling (for example as soon as the estate has been administered) and she maintains the monthly instalments with regard to the mortgage of the dwelling concerned— |
| (i) |
it shall be deemed that she complies with the ownership requirement and an allowance shall be paid to her if she complies with all the other requirements; and |
| (ii) |
her allowance period expiry date is that date when the registered redemption period to which the loan is subject will expire. |
| (3) |
Loans that do not comply with the provisions of regulation 73(9) shall not be acknowledged for allowance purposes: Provided that if such a loan is redeemed by an acknowledged mortgage, such mortgage may be recognised for allowance purposes to the extent which the private loan was used for recognised purposes as contemplated in regulation 79(1)(a). |
| (4) |
Regulation 75 shall mutatis mutandis be applicable to an educator who divides his or her property on which an allowance is paid to him or her, and sells part of it on the basis that it is expected of an educator to pay off an amount equal to the difference between the full purchase price of the sold part and the total sum of his or her divisioning and sale costs, as well as any amount for the said return that it used by him or her for immovable improvements or alternations to or on the premises of the dwelling which he or she occupies: Provided that if the said return is not used accordingly, the provisions of regulation 75(2) shall be applicable. |
| (a) |
As mortgagees in general imposed interest on registered mortgages for the period from the date of registration of the mortgage loan to the date before that on which the first obligatory capital and interest redemption (instalment) is payable, an educator who complies with the occupancy requirement as referred to in regulation 73(7) during the period that interest is imposed, may be payed an allowance on the interest paid directly by an educator to his or her mortgagee, in respect of the true period that interest was imposed or 30 days, whichever is the shorter period. |
| (b) |
The allowance that is payable in accordance with the paragraph (a), is calculated as follows: |
where —
| A |
represents the allowance that is payable in accordance with regulation 73 in respect of the recognised loan amount of the educator concerned; and |
| B |
represents the true number of days (maximum 30) in respect of which interest was imposed. |
| (c) |
The provision in paragraph (a) shall only be applicable to the first or main mortgage loan on a dwelling, and an allowance is therefore not payable on the interim interest of a second or further mortgage loan on the dwelling that an educator occupies. |
| (6) |
If an educator divorces his or her spouse and as a result thereof the dwelling in respect of which he or she or his or her spouse previously for any period of time received an allowance (or subsidy) on the basis set out in these regulations or on a similar basis on the grounds of his or her or his or her spouse's service in the Public Service, the Department of Posts and Telecommunications, a provincial administration or with a council, institution or body established by or under a legal provision as meant in section 15(1) of the Public Service Act, 1994— |
| (a) |
is sold so that the proceeds can be awarded to his or her spouse or that the proceeds can be divided between himself or herself and his or her spouse, his or her case should be dealt with in terms of the provisions of regulation 75 and for such purpose only 50% of the net proceeds from the sale of the dwelling as contemplated in the said regulation shall be taken into account if he or she obtains a further dwelling and applies for an allowance; |
| (b) |
is granted to his or her spouse (where, for example, the dwelling is transferred in his or her spouse's name or usufruct is granted to her or him), his or her case should be dealt with in terms of the provisions of regulation 75 as if he or she had sold the dwelling and for such purpose and in order to determine the net proceeds and realistic valuation of the dwelling's market value at the time that it is awarded to the spouse must be obtained: Provided that only 50% of the net proceeds as contemplated in the said regulation shall be taken into account when he or she obtains a further dwelling and applies for an allowance; or |
| (c) |
is retained by him or her but is encumbered by further debt by obtaining a higher or further registered mortgage loan to reimburse his or her spouse for her or his part in the joint estate, his or her case is to be dealt with in terms of the provisions of regulation 75 as if he or she had sold the dwelling and bought another one and for such purpose and in order to determine the net proceeds, a realistic valuation of the dwelling's market value at the time of his or her divorce, must be obtained: Provided that an allowance based on an amount of not more than 50% of the net proceeds may be paid on the higher or further mortgage loan. |
Housing Development Agency Act, 2008
