South Africa's First Lady Zanele Mbeki has agreed to resell a Summerstrand, Port Elizabeth home to the state for R440 000, the same price at which she bought it, according to Public Works Minister Stella Sigcau.

The minister said in a written reply to a parliamentary question from Donald Lee (DA), that the home, bought by Zanele Mbeki in November 2001, would revert to the department once all the transfer procedures were concluded.

The agreement of sale had been signed on November 13 last year.

It was reported in September last year that President Thabo Mbeki's wife bought the public works house for R440 000, and had put it on the market a few months later for R875 000.

No tender process was apparently followed in the sale of the house.

Sigcau said the home was bought by Zanele Mbeki following the death of Govan Mbeki, and in order to secure the continued occupation at the residence of his widow, Epainette.

It was agreed the home would be resold to the state as Epainette Mbeki wanted to move from the home.

"The state shall pay an amount of R440 000 to repurchase the house... a maximum amount of R400 shall be expended in respect of deeds registration."

No transfer duties would be charged to the state, Sigcau said.

With acknowledgements to Sapa.