LPL4804
ASSIGNMENT 1
DUE DATE: 17 MARCH 2026
, LPL4804- Conveyancing.
Assignment 1 2026 MEMO
Due date: 17 March 2026
Question 1.
1. Zanele Khumalo owns erven 3 and 4 of Kruger Township and wishes to
consolidate the properties. Erf 3 has been hypothecated with a mortgage bond in
favour of Blue bank. How should she deal with the mortgage bond over Erf 3?
Discuss fully.
In terms of South African property law and the Deeds Registries Act 47 of 1937,
The consolidation of immovable properties is a registrable transaction that has direct
consequences for existing real rights registered against the affected land. A mortgage
bond constitutes a limited real right in favour of a mortgagee and, as such, enjoys
constitutional and statutory protection. Where one of the erven intended to be
consolidated is encumbered by a mortgage bond, special care must be taken to ensure
that the rights of the mortgagee are not prejudiced.
In the present scenario, Zanele Khumalo is the registered owner of Erf 3 and Erf 4 of
Kruger Township and wishes to consolidate the two erven. Erf 3 is subject to a
registered mortgage bond in favour of Blue Bank. The legal question is how the existing
mortgage bond over Erf 3 should be dealt with in order to lawfully effect the
consolidation.
ASSIGNMENT 1
DUE DATE: 17 MARCH 2026
, LPL4804- Conveyancing.
Assignment 1 2026 MEMO
Due date: 17 March 2026
Question 1.
1. Zanele Khumalo owns erven 3 and 4 of Kruger Township and wishes to
consolidate the properties. Erf 3 has been hypothecated with a mortgage bond in
favour of Blue bank. How should she deal with the mortgage bond over Erf 3?
Discuss fully.
In terms of South African property law and the Deeds Registries Act 47 of 1937,
The consolidation of immovable properties is a registrable transaction that has direct
consequences for existing real rights registered against the affected land. A mortgage
bond constitutes a limited real right in favour of a mortgagee and, as such, enjoys
constitutional and statutory protection. Where one of the erven intended to be
consolidated is encumbered by a mortgage bond, special care must be taken to ensure
that the rights of the mortgagee are not prejudiced.
In the present scenario, Zanele Khumalo is the registered owner of Erf 3 and Erf 4 of
Kruger Township and wishes to consolidate the two erven. Erf 3 is subject to a
registered mortgage bond in favour of Blue Bank. The legal question is how the existing
mortgage bond over Erf 3 should be dealt with in order to lawfully effect the
consolidation.
