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5.1 State FOUR requirements to qualify for a government housing subsidy - NSC Consumer Studies - Question 5 - 2016 - Paper 1
Question 5
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.
Answer
The type of contract referred to is a lease/rental agreement.
Legal Implications:
- Deon is legally bound to adhere to the terms outlined in the contract, including the payment of rent and maintaining the condition of the unit.
- The landlord is obligated to provide a habitable living space and attend to necessary repairs as stipulated in the agreement.
Step 2
Step 3
Discuss FOUR advantages of the type of ownership for the landlord of the unit.
Answer
- The landlord retains a sense of security and independence, as property ownership allows for long-term financial gains.
- The property can serve as collateral for bank loans, enabling further investments.
- It is a sound investment; property values typically increase over time, allowing future resale for profit.
- The landlord benefits from rental income without significant administrative responsibilities, as the body corporate manages communal areas.
Step 4
Explain what Deon should have done to protect himself legally, before he signed the contract and moved into the unit.
Answer
Before signing the contract, Deon should have conducted a thorough inspection of the property in the presence of the landlord. He should have documented any existing damages and reviewed the terms of the contract carefully to identify potential issues, such as maintenance responsibilities and the refund policy for the deposit.
Step 5
Give FIVE reasons why Deon's water and electricity could have been higher than those of other units in the complex.
Answer
- Deon may have had additional occupants (his friend) which could increase overall consumption.
- Frequent parties might contribute to heightened electricity usage due to music and lighting.
- The malfunctioning electrical fittings and broken appliances could lead to worse efficiency and higher bills.
- If Deon used more water than average for activities like washing and cleaning, this would also spike costs.
- The faulty equipment (e.g., running toilet or leaking taps) could lead to unnecessary water wastage, increasing bills.
Step 6
Discuss why Deon should either be repaid his deposit back when he moves out.
Answer
Deon should be repaid his deposit because he documented all existing damages upon moving in with video evidence, clearly showing that he was not responsible for the pre-existing issues. Additionally, the landlord had a duty to maintain the property and resolve complaints; the lack of response jeopardizes the validity of withholding the deposit.
Step 7
Suggest how an employer could assist his/her employees to improve their housing conditions.
Answer
Employers can assist their employees by:
- Providing housing allowances to help with monthly rent payments.
- Offering low-interest loans for home improvements or purchases.
- Establishing programs for financial education regarding property investments.
- Facilitating partnerships with housing agencies to aid in securing affordable accommodation.
- Creating agreements that provide housing support based on employees' income.