The Complete Cost of Buying Property in South Africa
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Buying property in South Africa costs significantly more than just the purchase price. Transfer duty, attorney fees, deeds office fees, and bond registration can add 5–8% to the total. On a R2 million property, expect R100,000–R160,000 in once-off costs above your deposit.
The Four Cost Components
Transfer duty is a SARS tax on property acquisition. Properties under R1,210,000 are exempt. Above that, rates range from 3% to 13% on a progressive scale.
Transfer attorney fees are set by the Legal Practice Council tariff. The seller typically appoints the transfer attorney. Fees range from ~R5,500 for sub-R100K properties to ~R72,000 for properties over R10 million, plus VAT.
Deeds office fees are government fees for registering the transfer at the Deeds Office. They range from R300 to R2,100 depending on property value.
Bond registration costs apply if you are financing the purchase. A separate attorney (appointed by the bank) registers the mortgage bond. Fees follow a similar tariff structure to transfer fees.
Cash vs Financed Purchase
A cash buyer avoids bond registration costs entirely, saving R15,000–R25,000 on a typical transaction. However, the transfer duty and transfer attorney fees are the same regardless of how you pay.