If you’ve been involved in a property transaction in South Africa, chances are you may have heard the phrase “Huur gaat voor koop” which is directly translated from Dutch to English as “Hire comes before purchase”.
It sounds like jargon - and it often gets tossed around without much explanation. But make no mistake: this principle has major real-world consequences. It determines who has the right to occupy a property, how leases are treated during a sale, and who’s responsible for what after transfer.
Here’s what it really means - and why every buyer, seller, and tenant should understand it before signing anything.
What Does “Huur Gaat Voor Koop” Mean?
The phrase “Huur gaat voor koop” is a Roman-Dutch legal principle still recognized in South African property law. Translated, it means “lease goes before sale.” In modern terms: a lease agreement takes precedence over a later sale of the property.
In practice, this means:
If a property is sold while it’s still under a valid lease, the tenant’s right to stay comes first - before the buyer’s right to take occupation.
It doesn’t matter that ownership has changed. As long as the lease is valid and lawful, the tenant has the right to remain on the property for the remainder of the lease term.
Why It Matters
Let’s break it down with a real-world scenario:
- A landlord signs a 12-month lease with a tenant.
- Six months later, the landlord sells the property to a new owner.
- The buyer wants to move in immediately after registration.
Under “Huur gaat voor koop,” the buyer cannot evict the tenant just because they now own the property. The buyer inherits the lease and steps into the shoes of the seller and become the new landlord until the lease ends.
Implications for Each Party
Here’s what it means for each of the key players: the buyer, the seller, and the tenant.
1. The Buyer
What You Need to Know:
- You inherit the lease when you buy a property with tenants.
- You cannot override or cancel a valid lease unilaterally, unless the lease agreement specifically allows early termination.
- The tenant doesn’t need to agree to the sale or sign a new lease.
What You Should Do:
- Ask upfront whether the property is tenanted.
- Get a copy of the lease agreement and understand its terms.
- Factor the remaining lease duration into your decision - especially if you intend to move in yourself.
If you're not prepared to wait out the lease or take on the role of landlord, the property may not be the right fit.
2. The Seller
What You Need to Know:
- You can sell a tenanted property, but the lease travels with the sale.
- The buyer becomes the new landlord - but on your terms.
- If you don’t disclose an existing lease, you risk legal claims for misrepresentation.
What You Should Do:
- Be transparent - disclose any leases in the Offer to Purchase.
- Provide the lease agreement to your agent and conveyancer.
- Inform your tenant about the sale and their rights. Keeping them in the loop avoids future conflict.
3. The Tenant
What You Need to Know:
- A valid lease remains in force even after the property is sold.
- The new owner becomes your landlord and must honor the lease.
- You’re not obligated to move out early, accept new terms, or renegotiate - unless the lease allows it.
What You Should Do:
- Keep a signed copy of your lease and proof of payments.
- Confirm new landlord details and where rent should be paid after transfer.
- Stay informed - but rest assured: “Huur gaat voor koop” protects you.
Common Misconceptions
Let’s clear up a few myths:
❌ “A new owner can evict a tenant after transfer.”
✅ False. Not if there’s a valid lease.
❌ “Tenants need to renegotiate with the new owner.”
✅ Not required. The existing lease stands until it expires or is lawfully terminated.
The Financial Implications
For buyers: if you’re financing a property and planning to live in it, but discover post-sale that you can't move in until the lease expires, you may be stuck paying a bond and rent elsewhere.
For sellers: if you don’t disclose a lease, the deal can fall apart - or you may face legal claims.
For tenants: your right to remain is protected, but keep your documents in order to defend your position if challenged.
The Bottom Line
“Huur gaat voor koop” isn’t just legal jargon - it’s a practical rule that affects thousands of property deals every year. Whether you’re buying, selling, or renting, the takeaway is simple:
- Buyers: Do your homework. Always ask about leases.
- Sellers: Disclose everything. No surprises.
- Tenants: Know your rights. Keep everything in writing.
This principle ensures that leases are respected, even during ownership changes. With the right advice and clear communication, everyone’s interests can be protected - and transactions can go smoothly.
Need professional guidance? Whether you're navigating a sale, managing a lease, or buying to occupy, work with a qualified estate agent and property attorney who knows how to protect your interests under South African law.
