Transfer Duty Calculator
Calculate transfer duty on South African property purchases.
Last reviewed: Tax year: 2026/2027Source: SARS — Transfer duty
What transfer duty is
Transfer duty is a tax you pay to SARS when buying immovable property in South Africa — house, flat, vacant land, or a share in a company that owns property. It’s calculated on the purchase price (or the fair market value if higher), and it’s paid by the buyer, not the seller.
Transfer duty is separate from the conveyancer’s fees, bond registration costs, and deeds office levies you’ll also see on your transfer cost statement. It goes to SARS via the conveyancer — you don’t pay SARS directly.
If the seller is a VAT-registered vendor selling the property as part of their enterprise (think a developer selling new build, or a landlord selling an income-producing commercial building), the sale is subject to VAT at 15% instead of transfer duty — they can’t both apply. The conveyancer will confirm which regime applies before registration.
2026/2027 transfer duty brackets
The first R1,210,000 is exempt — you pay zero transfer duty below that threshold. Above it, transfer duty runs on a progressive scale similar to income tax: only the portion of the price within each bracket is taxed at that rate. These rates have been unchanged since 1 April 2025 (no adjustment in Budget 2026).
| Purchase price | Transfer duty |
|---|---|
| R0 – R1,210,000 | 0 (exempt) |
| R1,210,001 – R1,663,800 | 3% of amount above R1,210,000 |
| R1,663,801 – R2,329,300 | R13,614 + 6% of amount above R1,663,800 |
| R2,329,301 – R2,994,800 | R53,544 + 8% of amount above R2,329,300 |
| R2,994,801 – R13,310,000 | R106,784 + 11% of amount above R2,994,800 |
| R13,310,001 and above | R1,241,456 + 13% of amount above R13,310,000 |
Worked examples
First-time buyer: R1,000,000 flat
Purchase price below the R1.21M threshold.
- Purchase price
- R1,000,000
- Bracket
- 0% (exempt)
Mid-market: R1,500,000 house
Purchase price partially above the exemption, within the 3% bracket.
- Purchase price
- R1,500,000
- Amount above R1,210,000
- R290,000
- Duty at 3%
- R8,700
Family home: R2,000,000
Crosses into the 6% bracket at R1,663,800.
- Purchase price
- R2,000,000
- Base (at R1,663,800)
- R13,614
- Amount above R1,663,800
- R336,200
- Duty at 6% on excess
- R20,172
Upper-market: R3,000,000
Just crosses into the 11% bracket at R2,994,800.
- Purchase price
- R3,000,000
- Base (at R2,994,800)
- R106,784
- Amount above R2,994,800
- R5,200
- Duty at 11% on excess
- R572
Luxury: R5,000,000
Well into the 11% bracket.
- Purchase price
- R5,000,000
- Base (at R2,994,800)
- R106,784
- Amount above R2,994,800
- R2,005,200
- Duty at 11% on excess
- R220,572
VAT vs transfer duty: which applies?
The two taxes are mutually exclusive. In almost every case you’ll see one or the other on your transfer statement — never both.
- Transfer duty applies when the seller is an individual, an estate, or a non-VAT vendor. This covers most second-hand residential sales between private parties.
- VAT at 15% applies when the seller is a VAT-registered vendor selling in the course of their enterprise. Typical cases: a developer selling new build stands or off-plan units; a company selling a commercial building it was using.
- When VAT applies, it’s almost always included in the purchase price (check the offer to purchase) — the seller accounts for the output VAT to SARS and the buyer doesn’t pay transfer duty on top.
Property developers sometimes structure contracts to shift VAT handling — read the clause carefully and let your conveyancer confirm before signing.
Transfer duty exemptions and special cases
- Divorce or dissolution of a marriage — transfers between spouses under a settlement agreement are exempt from transfer duty.
- Inheritance — property inherited from a deceased estate under a will or intestate succession is exempt.
- Public benefit organisations (PBOs) — qualifying PBOs are exempt on acquisitions for approved purposes.
- Section 9(15) farming land — narrow exemption for working farms transferred between family members in specific circumstances.
Transfer duty is not payable on the erection value of a new building on vacant land — only the land price counts at transfer. VAT may apply to the construction phase separately.
How this calculator works
Enter the purchase price. The calculator applies the SARS transfer duty brackets progressively using the 2026/2027 schedule (unchanged from April 2025) and returns the duty owed. Switch the tax year on the calculator UI to see historical rates if you’re reviewing an older transaction.
The number returned is the transfer duty only. Your total property transfer cost will also include conveyancer’s fees, bond registration (if financing), deeds office fees, FICA admin, and rates clearance — typically another 1–3% of the purchase price depending on whether you take a bond.
Sources
Frequently Asked Questions
Transfer duty is a tax paid when acquiring property in South Africa. It is calculated on the value of the property using a progressive bracket system.
The buyer (purchaser) of the property pays transfer duty. It must be paid within 6 months of acquiring the property.
Yes. For the 2025/2026 year, properties valued at R1,210,000 or below are exempt from transfer duty. When a property sale is subject to VAT (e.g., from a VAT-registered developer), transfer duty does not apply.
Transfer duty must be paid before the property can be registered in the buyer's name at the Deeds Office. Your conveyancing attorney typically handles this.