Govt sets new regulations for property developers

Munyaradzi Musiiwa Midlands Correspondent
GOVERNMENT has set new regulations for property developers and estate agents to curb rampant cases of swindling and duping of desperate home seekers by bogus property developers, a senior Government official has said.Addressing party supporters recently in Gweru, Minister of Local Government, Public Works and National Housing, Dr Ignatius Chombo, said Cabinet had agreed to set new regulations for property developers following a spate of fraud, duping and swindling perpetrated against desperate home seekers most of whom were civil servants.

Dr Chombo said all property developers who would have been awarded tenders to develop stands and residential sites for civil servants were required to first construct primary and secondary schools, a clinic, a preschool or crèche, community hall, put tarmac on all roads, flea market stalls, connect water and electricity before selling the stands.

“We have cases of property developers who were duping and swindling desperate home seekers most of whom are civil servants. This has happened in Chitungwiza. It also happened here in Midlands and other parts of the country.

So following these cases, Cabinet agreed to set new rules for property developers and housing co-operatives that intend to develop residential stands for civil servants and other home seekers.

“We agreed that for one to start selling stands and allow the people to start constructing their houses, they should first build secondary and primary schools, a clinic, a preschool or crèche, community hall, put tarmac on all roads, flea market stalls, connect water and electricity,” he said.

Dr Chombo said most of the property developers and housing co-operatives were just collecting money from home seekers and use some of the money to develop the stands and sometimes swindle them.

“We have had cases of property developers who collect people’s money, and use it to service the stands. In most cases these people would not fully service the stands and would squander most of the money.

“Property developers must first invest their money and have a bank account in which the money must be deposited. This will be done to avoid a situation where people handle huge sums of hard cash which they might misuse or misappropriate. We have some cases of a similar nature in Gokwe here in Midlands,” he said.

Dr Chombo said Government would soon launch a nationwide housing project which would target 56 000 civil servants.

He said the housing project would be launched soon after the Zanu-PF congress which ended today in Harare.

Flamboyant Harare businessman-cum-singer Energy Mutodi was once arrested for allegedly swindling desperate home seekers in Mutare and Harare.

Many people have been having problems with property developers who would have either disappeared with their monies or failed to fulfil their obligations despite receiving full payment.

 

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