Paper short abstract:

The South African state has constructed myriad uncertainties concerning tenure and alienation of state-provided housing.However there is a thriving market in these units. Using data from over 200 online sales and key interviews we investigate how state-housing beneficiaries transact in this context.

Paper long abstract:

The South African housing programme has produced over 3 million housing opportunities, with many hundreds of thousands of households now having access to state provided 'RDP' units. Although the vast majority are structured as beneficiary-owned properties with freehold tenure almost half of the housing beneficiaries currently live in units without title deeds having been issued, confusing the nature and type of "ownership". Uncertainty is also constructed and produced through the "restrictive clause" in the title deed, which legislates that beneficiaries cannot sell their units within 8 years of receipt. However, sanction of sale and enforcement of the rules also remain unclear. There is further opacity, uncertainty and lack of clarity concerning the construction, and renting of backyard units, since state legislation and policy on these has gone through multiple incarnations and differs between and within municipalities. The paradox is that despite these uncertainties, there is a thriving property market in RDP units, and backyard rental. A review of on-line data between October 2018 and February 2019, has looked at the various modes of sale, the prices, terms and dynamics of over 200 state-subsidised units in 8 settlements across Gauteng. Complemented by qualitative interviews with property-owners, estate-agents, and buyers, the paper considers the myriad ways in which this market operates within a situation of state constructed uncertainty.