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5.1 State FOUR requirements to qualify for a government housing subsidy - NSC Consumer Studies - Question 5 - 2016 - Paper 1

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5.1 State FOUR requirements to qualify for a government housing subsidy. 5.2 Name THREE factors an eco-conscious consumer should consider when shopping for househol... show full transcript

Worked Solution & Example Answer:5.1 State FOUR requirements to qualify for a government housing subsidy - NSC Consumer Studies - Question 5 - 2016 - Paper 1

Step 1

Identify the type of contract referred to in paragraph 1 and give TWO legal implications of signing this contract for Deon.

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Answer

The type of contract referred to in paragraph 1 is a lease/rental agreement.

Legal Implications:

  1. Deon is legally bound to adhere to the terms and conditions stipulated in the lease, including paying rent on time and maintaining the property.
  2. The landlord must fulfill their obligations, such as providing a habitable living environment and addressing any maintenance issues.

Step 2

Name the Act that protects Deon.

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Answer

The Act that protects Deon is the Rental Housing Act.

Step 3

Discuss FOUR advantages of the type of ownership for the landlord of the unit.

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Answer

  1. Financial Security: The property can serve as collateral for loans, providing financial backing for the landlord.
  2. Income Generation: Renting out the unit allows the landlord to earn a steady income from rental payments.
  3. Property Value Appreciation: Over time, the value of the property may increase, contributing to the landlord's overall wealth.
  4. Less Administrative Burden: If managed by a body corporate, landlords can delegate much of the management responsibilities, reducing their workload.

Step 4

Explain what Deon should have done to protect himself legally, before he signed the contract and moved into the unit.

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Answer

Deon should have conducted a thorough inspection of the property before signing the contract. He should have documented any existing issues and sought written assurances from the landlord regarding repairs. Additionally, reviewing the contract terms with a legal advisor could help clarify his rights and responsibilities.

Step 5

Give FIVE reasons why Deon's water and electricity account could have been higher than those of other units in the complex.

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Answer

  1. Number of Occupants: Deon had a friend living with him, which increased overall consumption.
  2. Social Activities: Hosting parties may have led to increased usage of water and electricity.
  3. Faulty Appliances: Broken fittings and appliances could have led to leaks and higher operational costs.
  4. Misuse of Utilities: Leaving lights on and water running may contribute to excess charges.
  5. Differences in Usage Habits: Deon and his roommate might have higher consumption habits compared to other tenants.

Step 6

Discuss why Deon should be entitled to get his deposit back when he moves out.

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Answer

Deon should be entitled to his deposit back because he documented the existing problems in the unit upon moving in. His proof, such as videos and condition reports, shows that the issues existed prior to his tenancy, which means he should not be held responsible for normal wear and tear or damages that were already present.

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