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For many years, cold calling formed part of everyday business in the property industry. Estate agents built networks by phoning homeowners, sending WhatsApp messages, distributing marketing emails and working through contact databases in the hope of securing mandates. In practice, it became one of the most common ways to generate leads.
That position is now changing rapidly.
Recent developments in South African law have placed direct marketing under far greater scrutiny, particularly within industries that rely heavily on prospecting. Estate agencies are now expected to approach marketing far more carefully than before, especially when personal information and unsolicited communication are involved.
The introduction of the National Consumer Commission’s new National Opt-Out Registry marks a major shift in how businesses may contact consumers. Together with the Consumer Protection Act, POPIA and the Property Practitioners Act, the regulatory landscape has become significantly stricter and far more compliance driven.
At Van Deventers, we have seen increasing concern within the property industry around what these changes mean in practice and how agencies can continue marketing lawfully while protecting themselves against unnecessary risk.
A Shift Away From Traditional Prospecting
The law is steadily moving away from the old approach where businesses could market to consumers freely until somebody objected or asked to be removed from a database.
The position now leans far more heavily in favour of consumer control and privacy. In simple terms, consumers are being given stronger rights to decide who may contact them, how they may be contacted and whether their personal information may be used for marketing at all.
For estate agents, this has serious implications because many traditional prospecting methods involve direct communication with people who may never have interacted with the agency before.
Activities such as:
- cold calling homeowners;
- sending bulk WhatsApp campaigns;
- using purchased lead databases;
- farming residential areas; and
- mass email marketing
may all fall within the definition of direct marketing. What was previously viewed as standard industry practice may now expose agencies to legal and regulatory consequences if proper compliance procedures are not in place.
The National Opt-Out Registry
One of the most important developments is the introduction of the National Opt-Out Registry, which came into effect through amendments to the Consumer Protection Act regulations during April 2026.
The registry creates a central system through which consumers may block unwanted direct marketing communications before businesses ever contact them. Once a consumer has registered an opt-out, businesses are generally prohibited from sending direct marketing communications to that individual through electronic channels such as phone calls, SMSes, WhatsApp messages, or emails.
This changes the compliance burden entirely. Businesses are no longer simply reacting to complaints after marketing takes place. They are now expected to take proactive steps to ensure that consumers have not opted out before communication occurs.
For estate agencies that rely heavily on outbound prospecting, this creates an entirely new level of operational responsibility.
Why POPIA Also Matters
The situation becomes even more important when POPIA is considered alongside the Consumer Protection Act. While the CPA focuses on a consumer’s right to refuse marketing, POPIA deals with the use and processing of personal information itself.
In many circumstances, businesses need a lawful basis to use somebody’s personal information for marketing purposes. Depending on the nature of the communication and the relationship with the consumer, consent may become a critical factor.
This is why many agencies are now reconsidering practices such as:
- buying lead lists from third parties;
- using old databases without verification;
- sending bulk WhatsApp promotions; or
- contacting individuals who never directly engaged with the agency.
The legal trend is clearly moving toward stricter consent and stronger privacy protection.
Estate Agents Face More Than Just Fines
For property practitioners, the risks are not limited to financial penalties. Estate agents operate within a regulated profession and are expected to uphold certain professional standards. Non-compliance with marketing and privacy laws may affect not only the business itself, but also its professional standing and reputation.
Complaints relating to unlawful marketing practices may potentially trigger investigations, compliance notices, or disciplinary consequences. In an industry built heavily on trust and reputation, even reputational harm alone can become extremely damaging.
This is why agencies should avoid treating compliance as a technicality or a box-ticking exercise. It has become part of risk management and professional governance.
What Agencies Should Be Doing Now
Many agencies are only now beginning to realise how much their existing marketing systems may need to change.
A proper compliance approach should include reviewing every database currently being used, understanding where contact information came from, ensuring proper opt-out procedures exist and keeping accurate records of consent where required.
Agencies should also ensure that all marketing communications clearly identify the sender and provide consumers with a proper opportunity to opt out of future communication. Most importantly, businesses should avoid assuming that old industry habits remain legally safe simply because they were commonly accepted in the past.
The property industry is entering a far more regulated marketing environment and agencies that fail to adapt may find themselves exposed to unnecessary legal and professional risk.
A New Compliance Reality
Although certain practical questions around implementation are still being discussed within the industry, one thing is already clear, the regulatory direction is not becoming lighter, it is becoming stricter.
The era of informal, unchecked cold calling is steadily disappearing. Estate agencies that take proactive steps toward compliance now will place themselves in a far stronger position moving forward. Those that continue relying on outdated marketing methods without proper safeguards may face increasingly serious consequences as enforcement develops.
The safest approach is no longer simply asking whether a consumer objected after being contacted. The real question is whether the business had the right to make contact in the first place.
For guidance on direct marketing compliance, POPIA advisory services, internal compliance structures, or regulatory risk management, contact Van Deventer and Van Deventer Attorneys.