Knowing the steps of
THE TRANSFER PROCESS
The process of transferring immovable property can be daunting to the uninitiated. We seek to assist all our clients during this process by ensuring the transaction is dealt with expeditiously and in a professional manner. In this vain, we have summarized the process below in an attempt to explain the process from start to finish.
START OF THE PROCESS
1
1
STEP 1
Instruction Received
After the seller and purchaser have finished negotiations and concluded a valid and binding agreement for the sale of immovable property, the signed agreement is forwarded to the conveyancer to commence with the transfer process.
On receipt of the agreement, the appointed conveyancing typist will contact all the parties to confirm receipt of the instruction and request documentation and information required to draft the transfer documents and comply with the provisions of the Financial Intelligence Centre Act, 38 of 2001 and any other relevant legislation, regulations and circulars.
2
2
STEP 2
Receive figures from the local council, body corporate and bank
If the property is currently mortgaged with a financial institution, we request cancellation figures from them. These figures represent the amout due and payable by the seller from the procedes of the sale before the financial institution will agree to the cancellation of the mortgage bond.
3
3
STEP 3
Documents drafted and signed
4
4
STEP 4
Payment to respective institutions
As soon as the figures in Step 2 have been received and we have been placed in funds by the seller and purchaser, payment to the city council, body corporate and/or Homeowner’s Association (if applicable) as well as the South African Receiver of Revenue for transfer duty is made. Subsequent to these payments being made, the respective institutions issue the clearance- and/or levy certificates and transfer duty receipt.
5
5
STEP 5
Lodgment at the deed’s oficce
When all documents have been signed, certificates/ receipts received, finances are in order and the bond cancellation attorneys and bond registration attorneys are able to proceed, the documents are lodged at the relevant Deed’s Office.
6
6
STEP 6
Registation of transfer
Within 6-10 business days (depending on the Deed’s Office), barring any unforeseen circumstances, the deeds should come up for registration at the Deed’s Office (referred to as being “on prep”). If all parties to the transaction are ready, the transfer is registered.
7
7
STEP 7
Post-registration procedures
Subsequent to registration of the transfer in Step 6, the finances are finalised and local city council, body corporate and/or Homeowner’s Association (if applicable) advised of registration of the transfer of the property into the name of the purchaser.
It is incumbent on the purchaser and seller to ensure that the current rates, taxes, water and electricity accounts are closed and new accounts in the name of the purchaser is opened.
** NOTE: The above does not serve as an exhaustive explanation of all possible aspects related to the transfer process. Kindly contact our offices should you have any questions or more clarity pertaining to an aspect of the transfer process not covered herein.
WHO ARE INVOLVED
PARTIES TO THE transfer process
Bond cancellation attorneys
Attorneys appointed by a financial institution to attend to the cancellation of the mortgage bond registered over the property being sold by the seller.
Bond registration attorneys
Attorneys appointed by a financial institution to attend to the registration of the mortgage bond over the property bought from the seller.
Conveyancer
An attorney admitted as a conveyance by a High Court of South Africa with the prerequisite expertise and knowledge to attend to the transfer of immovable property.
Conveyancing typist
A trained typist with specialised knowledge in the administration pertaining to the transfer process.
Transferring attorneys
The attorneys appointed by the seller to attend to the transfer of immovable property.
