Question 1

What is a private property sale in South Africa?

Accepted Answer

A private sale is a property transaction between a buyer and a seller without an estate agent acting as an intermediary. The parties negotiate price and terms directly and record their agreement in a written Offer to Purchase. A conveyancing attorney is still required to register the transfer at the Deeds Office.

Question 2

Is a private sale legally binding?

Accepted Answer

Yes. Once both the buyer and seller have signed a written Offer to Purchase and all conditions have been met, it is a legally binding contract. Neither party may withdraw without facing legal consequences, unless a valid suspensive condition (such as a bond approval clause) has not been met.

Question 3

What are the advantages of a private sale?

Accepted Answer

The primary advantage is saving on estate agent commission, which is typically 5–7% of the purchase price plus VAT — a significant saving on higher-value properties. Sellers also have greater control over the sales process and can negotiate directly with buyers. The trade-off is that the seller takes on marketing responsibilities and must ensure the OTP is correctly drafted.

Question 4

What is an Offer to Purchase (OTP)?

Accepted Answer

An Offer to Purchase is the written agreement signed by the buyer and accepted by the seller. It records the terms of the sale: the parties' details, the property description, the purchase price, payment method, suspensive conditions (such as bond approval), fixtures and fittings included, occupation date and rental, and the voetstoots clause. Once signed by both parties, it becomes a binding deed of sale.

Question 5

What must be in a valid Offer to Purchase?

Accepted Answer

A valid OTP must include: full names and ID numbers of buyer and seller; the property description including erf number and registered extent; the purchase price; whether the property is sold voetstoots; a suspensive condition if bond finance is required (with a lapse date); the occupation date and occupational rental if the buyer occupies before transfer; which fixtures and fittings are included; and the chosen conveyancing attorney. Without all material terms, the agreement may be unenforceable.

Question 6

Can I use the OTP Creator for sectional title properties?

Accepted Answer

Our OTP Creator is designed for standard freehold (full title) residential properties. Sectional title sales involve additional considerations — levy clearance certificates, body corporate rules, and the Sectional Titles Act — and require a more specialised document. Contact our attorneys directly for a sectional title OTP.

Question 7

What are transfer costs and who pays them?

Accepted Answer

Transfer costs are the once-off expenses incurred to register a property in the buyer's name at the Deeds Office. They include: transfer duty (a government tax paid to SARS), the conveyancing attorney's fees (plus 15% VAT), Deeds Office levies, and miscellaneous disbursements such as FICA verification and postage. By law, the buyer pays the transfer costs.

Question 8

How is transfer duty calculated?

Accepted Answer

Transfer duty is calculated on a sliding scale. Properties sold for R1 210 000 or less are exempt. Above that: 3% on the value between R1 210 001–R1 663 800; 6% on R1 663 801–R2 329 300; 8% on R2 329 301–R2 994 800; 11% on R2 994 801–R13 310 000; and 13% on the value above R13 310 000. These brackets apply from the 2025/2026 tax year (effective 1 April 2025). Note: transfer duty does not apply if the seller is VAT-registered.

Question 9

Are conveyancing fees regulated?

Accepted Answer

The Law Society of South Africa publishes guideline tariffs for conveyancing fees, based on the purchase price. Attorneys may charge above or below the guidelines, but most Pretoria conveyancers follow them closely. Our Transfer Cost Calculator uses these guideline tariffs to provide indicative estimates.

Question 10

What are bond registration costs?

Accepted Answer

If you finance your property purchase with a home loan, the bank's bond must be registered at the Deeds Office by a bond registration attorney (appointed by the bank). Bond registration costs include the bond attorney's fees (plus VAT) and Deeds Office bond levies. These are in addition to transfer costs and are also paid by the buyer.

Question 11

How long does a property transfer take in Pretoria?

Accepted Answer

A typical Pretoria transfer takes 6–10 weeks from the date all parties sign the OTP. The timeline depends on: how quickly the buyer receives bond approval; how long SARS takes to process transfer duty; the speed of the municipality in issuing rates clearance certificates; and the workload at the Pretoria Deeds Office at the time.

Question 12

Who appoints the conveyancing attorney?

Accepted Answer

In a private sale, the parties can agree in the OTP who appoints the transfer attorney. Convention holds that the seller nominates the conveyancer (because the seller needs to be protected in releasing the title deed), but this is negotiable. In developer sales, the developer appoints the transfer attorney. The bond attorney is always appointed by the bank that grants the home loan.

Question 13

Can I use any attorney for a property transfer?

Accepted Answer

No. The attorney must hold a conveyancing qualification — having passed the South African Law School's conveyancing board exams. Not all admitted attorneys are qualified conveyancers. All attorneys listed on the Pretoria Transfer Guide are qualified, admitted conveyancers.

Question 14

What documents will I need as a buyer?

Accepted Answer

The buyer typically needs to provide: a certified copy of their ID document; proof of residential address (not older than 3 months); FICA documents as required by the attorney; and, if purchasing through a legal entity (company or trust), the relevant entity documents. The conveyancer will advise on the complete FICA requirements for your transaction.

Question 15

How is my personal information protected?

Accepted Answer

The Protection of Personal Information Act (POPIA) requires that all personal information collected is processed lawfully, used only for the stated purpose, and protected from unauthorised access. We collect personal information only to respond to your enquiry and provide conveyancing services. We do not sell, share, or disclose your information to third parties, except as required by law. Please read our full Privacy Policy for details.

Question 16

Is a lease agreement legally required in South Africa?

Accepted Answer

A lease agreement is not strictly required by law — an oral lease is technically valid — but it is strongly advisable to have a written agreement. The Rental Housing Act and Consumer Protection Act impose various obligations on landlords. A written lease sets out the rights and obligations of both parties clearly, reducing disputes. Our Lease Agreement Creator generates a compliant written lease for standard residential tenancies.

Frequently Asked Questions

Frequently asked questions

Still have questions? Speak to a Pretoria conveyancer