1. NATIONAL HOME BUILDERS
REGISTRATION COUNCIL
Presented by -
Phetola Makgathe
Chief Executive Officer
ANNUAL REPORT
2004/05
01 April March 2005

2. CONTENTS VISION MISSION OBJECTS OF THE COUNCIL GOVERNANCE STRUCTURE
FINANCIAL REVIEW
SOURCES OF INCOME
STRUCTURE OF INCOME
GROWTH
INVESTMENT FUND
VALUABLE FINAL PRODUCTS
CHALLENGES
FUTURE

3. Eldorado Park

4. Eldorado Park

5. VISION… To be a world-class Housing Consumers
Protection and Warranty Scheme
which strives to satisfy the needs
of South African Housing
Consumers and
Home Builders

6. Mission…

7. To represent the interests of housing consumers by providing
warranty protection against defects in new homes.
To regulate the home building industry.
To provide protection to housing consumers in respect of the failure of home builders to comply with their obligations in terms of the Act.
To establish and promote ethical and technical standards in the home building industry.
To improve structural quality in the interest of housing consumers and the home building industry.
To promote housing consumer rights and to provide housing consumer information.
To communicate with and to assist home builders to register in terms of the Act.
To assist home builders through training and inspections

8. OBJECTS OF THE COUNCIL
To represent the interests of housing consumers by providing warranty protection against defects in new homes.
To regulate the home building industry.
To provide protection to housing consumers in respect of the failure of home builders to comply with their obligations in terms of the Act.
To establish and promote ethical and technical standards in the home building industry.
To improve structural quality in the interest of housing consumers and the home building industry.
To promote housing consumer rights and to provide housing consumer information.
To communicate with and to assist home builders to register in terms of the Act.
To assist home builders through training and inspections

10. GOVERNANCE STRUCTURE

12. FINANCIAL REVIEW

13. Registration Fees Renewal Fees Administration Costs (Non refundable)
750.00
Membership
600.00
Builders Manual
100.00
Total
Renewal Fees

14. Enrolment costs 1.3% of total selling price of a unit · Land
Enrolment Fees
Enrolment costs 1.3% of total selling price of a unit
·       Land
·       Improvements
1.3% up to a maximum of R500, 000 selling price
Late Enrolment Fees
R per unit + 1.3% + traveling expenses.
AA rates + cost per inspection R per hour
Subsidy Enrolments
1,75%
Document Sales
Interest Received

15. STRUCTURE OF INCOME

16. GROWTH INDICATORS

17. Valuable Final Products

19. Registration for new homes

20. Renewals of registered home builders

21. Comparison of registrations and renewals

22. Enrolled Homes

23. Late Enrolments

24. Inspections

25. Complaints

27. Adequacy of the Current Enrolment Fees
AVERAGE COST PER ENROLLED HOME
Fee to cover initial enrolment costs
R 714
Fee to cover claim from
Warranty Fund
R 132
Fee to cover future costs of operation and complaint assessment
R 1 080
Variation margin
R 632
Total fee required (on average)
R 2 558
Fee currently charged (on average)
R 4 370
Reserve fee per enrolment
R 1 260

28. Inadequacy of the Current Enrolment Fees
AVERAGE COST PER ENROLLED HOME
461
4 370
Fee currently charged (on average)
(1 458)
1 260
Reserve fee per enrolment
1 919
2 558
Total fee required (on average) 81
632
Variation margin
1 080
Fee to cover future costs of operation and complaint assessment 44
132
Fee to cover claim from warranty fund
714
Fee to cover initial enrolment cost
Subsidy
Non-Subsidy

29. Enrolments VS Claims ANNUAL ENROLMENTS CLAIMS PERCENTAGE 2000/2001
2001/2002
2002/2003
2003/2004
1.24%
0.85%
2.52%
4.1%