Everything you need to know about buying property in South Africa
The Buying Process
1
Get Pre-Approved for a Bond
Before you start house hunting, get pre-approved for a home loan. This helps you understand your budget and shows sellers you're a serious buyer.
2
Find Your Property
Browse listings, attend viewings, and work with a registered estate agent to find properties that meet your needs and budget.
3
Make an Offer
Submit an offer to purchase through your estate agent. This is a legally binding document once accepted by the seller.
4
Secure Your Bond
Once your offer is accepted, you typically have 14 days to secure bond approval from your chosen financial institution.
5
Appoint Attorneys
The seller's attorney will handle the transfer process. You may also appoint your own attorney to review documents.
6
Pay Transfer Costs
Transfer costs include transfer duty, bond registration fees, and attorney fees. These are typically paid before transfer.
7
Transfer & Registration
The property is transferred to your name at the Deeds Office. This process typically takes 2-3 months from offer acceptance.
8
Take Occupation
Once transfer is complete and you've received the keys, you can move into your new property!
Legal & Compliance Requirements
Transfer Duty
Transfer duty is a tax payable to SARS when purchasing property in South Africa. The rates are:
R0 - R1,100,000: 0% (first-time buyers exempt up to this amount)
R1,100,001 - R1,512,500: 3% of value above R1,100,000
R1,512,501 - R2,117,500: R12,375 + 6% of value above R1,512,500
R2,117,501 - R2,722,500: R48,675 + 8% of value above R2,117,500
R2,722,501 - R12,100,000: R97,075 + 11% of value above R2,722,500
Above R12,100,000: R1,128,600 + 13% of value above R12,100,000
FICA Compliance
The Financial Intelligence Centre Act (FICA) requires all property transactions to comply with anti-money laundering regulations. You'll need to provide:
Certified copy of your ID or passport
Proof of residence (not older than 3 months)
Proof of income (payslips, bank statements, or tax returns)
Source of funds declaration
Estate Agency Affairs Act (EAAA)
All estate agents in South Africa must be registered with the Estate Agency Affairs Board (EAAB). Always verify your agent's registration before working with them.
What to check:
Valid Fidelity Fund Certificate (FFC)
Professional Indemnity Insurance
EAAB registration number
Consumer Protection Act (CPA)
The CPA protects property buyers by requiring sellers to disclose all material defects and ensuring fair contract terms.
Sellers must disclose all known defects in writing
You have a 5-day cooling-off period for certain transactions
Contract terms must be fair and transparent
Sectional Titles Act
If you're buying a sectional title property (apartment, townhouse, etc.), additional regulations apply:
Review the body corporate rules and financial statements
Check for outstanding levies or special levies
Understand your rights and obligations as a unit owner
Obtain a clearance certificate from the body corporate
Important Notice
This guide provides general information only and should not be considered legal advice. Always consult with qualified professionals including attorneys, bond originators, and registered estate agents before making property decisions.
Frequently Asked Questions
Ready to Start Your Property Journey?
Use our bond calculator to estimate your monthly repayments or browse our verified listings