WHO PAYS FOR WHAT IN THE SALE AND TRANSFER PROCESS?
SELLER
AGENT’S COMMISSION PENALTY BOND INTEREST
If 3 months’ written notice not given to the bank to cancel seller’s bond
It equates to approximately one month’s bond installment for each completed month of notice not given (or pro rata thereof)
BOND CANCELLATION FEE (if property bonded)
Between R2300/ R3000
Note: still applies even if the bond has a nil balance
RATES AND SERVICES
Any arrears, current amounts owing and a 120-day advance collection amount.
LEVY AMOUNTS OWING TO BODY CORPORATE OR HOMEOWNERS ASSOCIATION
CERTIFICATES
Electrical (in order if issued under 2 years ago and no changes made to the installation)
Beetle (if applicable)
Plumbing (if applicable)
Gas (if applicable)
Electric fence installation (if applicable) Approximately R2500 for all 5 if no repairs necessary
CERTIFIED COPY OF TITLE DEED
If original misplaced – cost is R1000
ANY REPAIRS AGREED TO IN THE CONTRACT
OTHER
Financial undertakings for the seller
Bridging finance for the seller
Obtain directive from SARS (withholding tax scenario)
Repatriation of funds
Foreign investment abroad
PURCHASER
TRANSFER COSTS
Transfer duty – payable to the conveyancers approximately a month before the transfer
No transfer duty payable if the seller is VAT registered and the sale forms part of the seller’s VATable enterprise. The purchase price will either be recorded in the contract as inclusive or exclusive of VAT
The account to the purchaser may include the cost of obtaining a homeowners’ association consent to transfer
Rates clearance certificate
Levy clearance certificate (in sectional title transfers)
BOND COSTS (if registering a bond)
TRIPARTITE AGREEMENT (if applicable)
CONVEYANCER’S CERTIFICATE
RETITLE RESTRICTIONS
May be required if purchaser intends subdividing or renovating
OCCUPATIONAL RENTAL
If purchaser moves in before the transfer
Always try and provide for a figure in the agreement of Sale, even if the occupation is on transfer.
PLANS
If the agreement does not oblige Seller to deliver copies of approved plans, Purchaser has to incur costs.
Should you have any queries relating to Estates and Conveyancing, please contact Mrs. Ria Visagie who is at your service.