Faheema Sheikh · SA Property & Investment Analyst · 15 Years Experience · Updated July 2026
🕐 Last Updated: July 2026  ·  Transfer duty threshold R1,210,000  ·  VAT 15% (SARS, 2026)

Quick Answer

Buying property in South Africa costs three things beyond the purchase price: transfer duty (SARS, on a sliding scale, nil below R1,210,000), transfer (conveyancing) fees paid to the transferring attorney on a sliding scale linked to price, and bond registration fees paid to the bond attorney on a sliding scale linked to the bond amount. All three are paid in cash before the Deeds Office will register the transfer.

Every property buyer in South Africa hears the phrase "transfer costs" long before anyone explains what it actually contains — and the confusion is understandable, because it bundles three entirely separate charges from three different parties, each calculated on its own sliding scale. This guide breaks each one down individually: how SARS calculates transfer duty, how attorneys calculate their conveyancing and bond registration fees, what VAT applies where, and a full worked example so you can see exactly where every rand goes. Get the exact total for your own purchase price on the Bond & Transfer Cost Calculator.

📈 Tools for this guide
💰
Bond & Transfer Cost Calculator
Your exact total for transfer duty, fees and costs.
Use Calculator →
🏦
Bond Affordability Calculator
What bond your income qualifies for before costs.
Use Calculator →
📊
Bond Repayment Calculator
Your monthly repayment once the bond is registered.
Use Calculator →

Transfer Duty: The SARS Sliding Scale

Transfer duty is a once-off tax paid to SARS by the buyer on any property purchase, calculated on a sliding scale against the purchase price (or the property's market value, if higher). Properties at or below R1,210,000 attract no transfer duty at all — a threshold set specifically to protect first-time and lower-value buyers. Above that threshold, the rate increases progressively through several brackets, meaning higher-value purchases pay a higher marginal rate on the portion of the price within each bracket, similar in structure to how income tax brackets work.

Transfer duty must be paid to SARS and a receipt obtained before the transferring attorney can lodge the transfer at the Deeds Office — it is one of the first costs due, typically weeks before registration. Get your exact liability, not an estimate, from the Bond & Transfer Cost Calculator before budgeting your cash requirement.

Get your exact transfer duty and total cash requirement for your purchase price.

Calculate My Transfer Costs →

Conveyancing (Transfer) Fees: How Attorneys Charge

The transferring attorney — usually appointed by the seller, but paid by the buyer — charges a conveyancing fee for preparing and lodging the transfer documents, on a sliding scale linked to the purchase price. Higher-value transfers pay progressively higher fees in absolute rand terms, though the fee as a percentage of price typically declines at higher price points. These fees are not fixed by law; attorneys are free to charge below the guideline scale, so it is reasonable to ask for a quote upfront and, where the transaction is straightforward, to negotiate.

On top of the base conveyancing fee, expect VAT at 15%, plus smaller disbursements: a Deeds Office search fee, a document-drafting fee, and postage/petty costs. Ask your attorney for an itemised quote before instructing them, so you know exactly what the final invoice will include.

Bond Registration Fees: A Separate Attorney, A Separate Scale

Registering your bond over the property is a distinct legal process from transferring ownership, handled by a different attorney — the bond attorney, appointed by your bank, though again paid by you. Their fee runs on its own sliding scale, this time linked to the size of your bond rather than the purchase price. If you put down a large deposit, your bond registration fee is correspondingly smaller, since it is calculated on the loan amount, not the property value.

If the seller has an existing bond that needs to be cancelled before your bond can register, a third attorney — the cancellation attorney, usually appointed by the seller's bank — handles that process, typically at the seller's cost. All three sets of attorneys work in parallel once the sale is unconditional, which is why the process from unconditional sale to registration typically takes 8–12 weeks rather than proceeding as three sequential steps.

See your bond registration fee alongside every other transfer cost, all in one number.

Run the Full Calculation →

VAT vs Transfer Duty: New Builds Are Different

A critical distinction that catches many first-time buyers off guard: if you buy directly from a VAT-registered developer (a new-build unit, off-plan or newly completed), the purchase price already includes 15% VAT, and no transfer duty is payable — VAT and transfer duty are mutually exclusive on the same transaction. If you buy an existing (resale) property from a private seller who is not VAT-registered, transfer duty applies instead, on the sliding scale described above.

This means a new-build purchase and a resale purchase at the identical price can have very different additional-cost profiles: the new-build's VAT is baked into the advertised price, while the resale's transfer duty is an extra cost on top. Always confirm with the seller or developer's sales team which regime applies before comparing two properties on price alone.

Worked Example: A R1,800,000 Purchase

To make the sliding scales concrete, here is how the costs stack up on a typical resale purchase at R1,800,000, financed with a R1,600,000 bond (a R200,000 deposit):

Cost itemCalculated onPaid to
Transfer dutyR1,800,000 purchase price, SARS sliding scaleSARS
Conveyancing (transfer) fee + VATR1,800,000 purchase price, attorney sliding scaleTransferring attorney
Bond registration fee + VATR1,600,000 bond amount, attorney sliding scaleBond attorney
Bank initiation feeFixed once-off fee, usually added to the bondYour bank
Deeds Office feesFixed schedule of small statutory feesDeeds Office
Exact total for R1,800,000 / R1,600,000 bondRun the numbers on the calculator below

Note how the transfer duty and conveyancing fee are both driven by the R1,800,000 purchase price, while the bond registration fee is driven by the smaller R1,600,000 bond amount — which is exactly why a bigger deposit reduces your bond costs specifically, even though it does nothing to reduce transfer duty or conveyancing fees.

Who Pays What, and When

As the buyer, you are responsible for transfer duty, the transferring attorney's conveyancing fee, and the bond attorney's registration fee — all three, even though the transferring attorney is typically the seller's choice of firm. The seller is usually responsible for their own estate agent's commission and any bond cancellation costs on their existing bond.

All of these costs are due in cash before the Deeds Office will register the transfer — they generally cannot be added to your bond, so budget for them entirely separately from your deposit. Your conveyancing attorney will issue a statement of account listing every cost with an amount and a due date; pay promptly, since lodgement is delayed until every cost is settled and every certificate is in hand.

Free Download

Transfer Costs & Bond Registration Guide 2026 (PDF)

Keep the full guide on hand — print it, save it, or share it with your family.

📥 Download PDF Guide
⚠️ Disclaimer: Transfer duty brackets, attorney fee scales and VAT rates are set by SARS, the Deeds Office and individual conveyancing firms, and change periodically. Figures in this guide are current as at July 2026 — confirm exact amounts with your conveyancing attorney and the calculator below before budgeting a specific transaction. This content is provided for general information only and does not constitute financial, legal or tax advice. Always consult a qualified professional before making property decisions.

Frequently Asked Questions

Transfer duty is calculated on a sliding scale set by SARS against the purchase price or market value of the property, whichever is higher. Properties at or below R1,210,000 attract no transfer duty at all. Above that threshold, the rate increases progressively through several brackets, so higher-value purchases pay a higher marginal rate on the portion of the price that falls within each higher bracket, similar to how income tax brackets work.

Transfer duty is a tax paid to SARS, calculated on the purchase price. Conveyancing (transfer) fees are a separate charge paid to the transferring attorney for legally preparing and lodging the transfer, also calculated on the purchase price but on the attorney's own sliding scale, plus 15% VAT. They are entirely different costs paid to entirely different parties, though both fall on the buyer in a standard sale.

No. If you buy directly from a VAT-registered developer, the purchase price already includes 15% VAT, and no transfer duty applies — VAT and transfer duty are mutually exclusive on the same transaction. Transfer duty applies instead when you buy an existing (resale) property from a private seller who is not VAT-registered. Always confirm which regime applies to your specific purchase before budgeting costs.

Bond registration fees are charged by the bond attorney (appointed by your bank) on a sliding scale linked to your bond amount, not the purchase price — plus 15% VAT. Because the fee is driven by the loan amount, a larger deposit reduces your bond registration fee specifically, even though it does not reduce transfer duty or conveyancing fees, both of which are driven by the purchase price.

Transfer duty, conveyancing fees and bond registration fees are all due in cash before the Deeds Office will register your transfer — typically requested by your attorneys in the weeks leading up to lodgement, once the sale is unconditional. These costs generally cannot be added to your bond, so they must be budgeted separately from, and in addition to, your deposit.

📖 Related Reading

F
Faheema Sheikh
Property and investment analyst with 15 years of South African real estate experience across residential buy-to-let, development and sectional title. Holds a SAI Global Data Protection & Privacy Diploma and studied Law at UNISA. All content is fact-checked against SARS, SARB and NHFC official sources before publication.
✓ SAI Global Data Protection & Privacy Diploma ✓ UNISA Law Studies ✓ 15 Years SA Property Experience
← Back to all guides
Stay Informed

Get Monthly SA Property Insights

Rate changes, tax updates, and new tools — straight to your inbox. No spam, unsubscribe anytime.