The sale of immovable property?

Agreement of Sale – a written agreement, in which the Purchaser, the Seller and the immovable property as well as the purchase price are specified, is essential to constitute a binding agreement of sale. A Deed of Sale must be signed by both the Purchaser and the Seller or a person who is authorized by such party in terms of a written Power of Attorney. A verbal contract for the sale of immovable property is unenforceable.

Transfer of the property – on receipt of the Agreement of Sale the conveyancer takes the necessary steps to effect registration of transfer of the immovable property in the relevant Deeds Office. The Purchaser and the Seller will be required to call at the offices of the Conveyancer to sign the transfer documents which have been prepared by the Conveyancer and which will enable him to do the transfer

The Conveyancer requires the following:

A.    From the Seller

• Particulars in respect of marital and solvency status
• Particulars of bond holder
• Valid electrical wiring certificate (ECC)
• Rates and/or Levy Account Details
• FICA documents – see section on FICA for more information
• Income tax reference number

B.    From the Purchaser

• Particulars in respect of marital and solvency status
• Particulars concerning the identity of the attorney transferring the Purchasers Property (if applicable)
• Particulars of the bond granted (if any) and the attorney attending to the bond registration
• FICA documents – see section on FICA for more information
• Income tax reference number

C.   From the existing Bondholder

• Cancellation figures and Title Deed
• Particulars of 2nd or further bond holders
• Particulars of attorneys attending to the bond cancellation

D.    From the Purchaser’s transferring attorney in the event of a “subject to” offer

• Confirmation that the transaction is proceeding
• Particulars of estimated amount available
• Feasibility of linking matters in the Deeds Office for simultaneous registration
• Guarantees

E.    From the Estate Agent

• Confirmation of payment of the deposit, the bond grant and relevant information.

F.    Upon receipt of the documents referred to above

• Transfer and / or bond documents are drawn
• Accounts prepared for both Seller and Purchaser
• Both Seller and Purchaser telephoned to arrange appointment for signature
• The Purchaser is requested to pay the balance of the purchase price, costs and disbursements.
• Guarantees are requested from the bond attorney

G.    After signature of documents by both Seller and Purchaser and payment made of disbursements by Purchaser

• Obtain transfer duty receipt from SARS
• Obtain rates clearance certificate from local government
• Obtain levy certificate from Body Corporate or Homeowners Association if applicable

H.   Forward guarantees plus payment of bond cancellation costs to the existing bondholder’s attorneys

• After receipt of guarantees
• After receipt of clearance certificate and transfer duty receipt
• Liaise with the relevant parties to arrange lodgement in the Deeds Office

I.     Deeds Office

• Transfer is lodged and registered in the Deeds Office

J.   After Registration

• Advise all parties of registration
• Present guarantees for payment
• Finalise the accounts of the Seller and Purchaser
• Effect payment to parties

K.   Upon receipt of documents from Deeds Office

• Forward Title Deeds to bondholders for safekeeping, or if no bond, arrange with Purchaser to collect documents

‍

Written by Wessel de Kock