Question 1

Who appoints the conveyancer?

Accepted Answer

The seller typically appoints the transferring attorney, though this can be negotiated in the OTP. The buyer pays most transfer costs; the seller pays bond cancellation and usually compliance certificates.

Question 2

How long does property transfer take?

Accepted Answer

Most transfers take 8–12 weeks from signed OTP to registration. Bond approval, rates clearance, compliance certificates, Deeds Office volumes and missing documents can extend this.

Question 3

Who pays transfer costs?

Accepted Answer

The buyer typically pays transfer duty, conveyancing fees, Deeds Office fees and bond registration costs. The seller pays bond cancellation, compliance certificates and estate agent commission if applicable.

Question 4

What is transfer duty and when is it payable?

Accepted Answer

Transfer duty is a SARS tax on property transfers, calculated on a progressive scale based on purchase price. First-time buyers may qualify for exemption on properties up to R1.1 million. The conveyancer handles payment to SARS.

Question 5

What is rates clearance and who pays for it?

Accepted Answer

A rates clearance certificate confirms municipal rates and taxes are paid. The conveyancer applies; the buyer typically pays an advance amount (often 3–6 months) to obtain the certificate. Transfer cannot proceed without it.

Question 6

What is levy clearance for sectional title and estates?

Accepted Answer

Levy clearance confirms body corporate or HOA levies are up to date. Required for sectional title, townhouses and estate properties. Outstanding levies can delay or block transfer.

Question 7

What is FICA and why is it required for property transfer?

Accepted Answer

FICA (Financial Intelligence Centre Act) requires identity verification and proof of funds/source of funds for all parties in a property transaction. Conveyancers must collect FICA documents before transfer proceeds.

Question 8

What can delay property transfer?

Accepted Answer

Bond approval delays, missing compliance certificates, rates or levy clearance issues, Deeds Office backlogs, SARS transfer duty queries, HOA disputes, missing documents and disagreements between buyer and seller.

Question 9

What is a proceeds guarantee?

Accepted Answer

A bank guarantee or undertaking that sale proceeds will be applied to settle the seller's bond. Required when the purchase price is less than the outstanding bond or when simultaneous registration is needed.

Question 10

What is simultaneous registration?

Accepted Answer

When a buyer's bond registration and property transfer happen on the same day at the Deeds Office. Also used when a seller buys another property and both transfers must align. Requires careful coordination between transferring and bond attorneys.

Question 11

What is the difference between lodgement and registration?

Accepted Answer

Lodgement is when documents are submitted to the Deeds Office for processing. Registration is when ownership officially changes and the new title is issued. There is typically a gap of days to weeks between lodgement and registration depending on Deeds Office workload.

Question 12

What if an owner cannot sign transfer documents in person?

Accepted Answer

A special power of attorney can authorise someone to sign on their behalf. If the owner is overseas, documents may need notarisation and apostille. Plan early — this is a common delay for Midlands sellers emigrating or working abroad.

Conveyancing Questions