The transfer process

Make sure you understand the sale agreement before you sign!
July 4, 2018
Some helpful advice
July 4, 2018

If no transfer date is specified in the agreement of sale, registration of transfer of property into the purchaser’s name can usually take place within 2-3 months after the fulfilment of any suspensive conditions (assuming that both parties perform timeously).

The seller’s conveyancer usually performs the transfer, and oversees the process. As a purchaser, you are entitled to request that your attorney also assist you in overseeing the transfer process to keep you informed along the way, even though the seller’s conveyancer will do the actual registration of transfer. Usually this will result in an extra cost for you.

The following are the usual steps in an ordinary transfer:

  1. Agreement of sale is signed.
  2. The conveyancer establishes contact with the parties and collects important information such as FICA.
  3. The conveyancer requests guarantees and/or payment of the purchase price from the purchaser to secure the purchase price.
  4. The conveyancer requests advance municipal rates clearance figures from the municipality in order to obtain a rates clearance certificate.
  5. The conveyancer prepares the transfer documentation for signature, which both parties must sign.
  6. The conveyancer requests a transfer duty receipt/ a transfer duty exemption receipt (in the event that the sale is subject to VAT) from the South African Revenue Services, which the purchaser must pay.
  7. The conveyancer requests a levy clearance certificate from the home owners association and/or body corporate (where applicable).
  8. The conveyancer prepares all documents to be lodged at the deeds office and subsequently lodges the transfer at the deeds office for registration.
  9. The deeds office examines whether all documents are in order, and if everything is in order, registration can be effected within 5-15 working days (depending on whether the deeds office is experiencing a backlog).
  10. Registration of transfer is registered, and the seller is paid.

In the event that a mortgage bond is registered over the property it will need to be cancelled on registration of transfer. If the purchaser is financing the purchase via a mortgage bond, additional steps will need to be followed and the mortgage bond will be registered simultaneously with the registration of the transfer into the purchaser’s name.

 

Robert Ferrandi | Managing Partner

E: r.ferrandi@bissets.com

Areas of Expertise: Property Law & Conveyancing

 

 

Carl Burger | Partner

E: c.burger@bissets.com

Areas of Expertise: Property Law & Conveyancing

 

 

Michelle van Wyk | Partner

E: m.vanwyk@bissets.com

Areas of Expertise: Property Law & Conveyancing

 

 

Lisa Visagie | Partner

E: l.visagie@bissets.com

Areas of Expertise: Property Law & Conveyancing

 

 

Ronél Els | Partner

E: r.els@bissets.com

Areas of Expertise: Property Law & Conveyancing