What you pay on top of the price
When you buy a home with a bond there are three groups of costs, and most are due before the bond pays out:
- Transfer duty, which goes to SARS. There's none on homes up to R1,210,000. Above that it rises in steps, from 3% up to 13% of the part above each threshold.
- The transferring attorney's fee and the deeds office fee for registering the property in your name.
- The bond attorney's fee, the deeds office fee for registering the bond, and the bank's initiation fee (at most R6,037.50).
Some banks lend more than the price (up to 110% for first-time buyers) so these costs can go on the loan. Which banks do that.
Transfer duty table
| Price of the home | Transfer duty |
|---|---|
| Up to R1,210,000 | Nothing |
| R1,210,001 to R1,663,800 | 3% of the amount above R1,210,000 |
| R1,663,801 to R2,329,300 | R13,614 plus 6% above R1,663,800 |
| R2,329,301 to R2,994,800 | R53,544 plus 8% above R2,329,300 |
| R2,994,801 to R13,310,000 | R106,784 plus 11% above R2,994,800 |
| Above R13,310,000 | R1,241,456 plus 13% above R13,310,000 |
On a R1 500 000 home the duty is R8 700. A new home bought from a VAT-registered developer usually carries VAT in the price instead of transfer duty.
Questions people ask
Do I pay transfer duty on a R1.2 million house?
No. Homes up to R1,210,000 pay no transfer duty.
Who pays the transfer costs, buyer or seller?
The buyer pays transfer duty and the transfer attorney's fees. The seller usually pays the estate agent's commission.
Where this comes from
- SARS, transfer duty rates (read 11 Oct 2026)
- Law Society of South Africa, conveyancing fee guideline (effective 1 July 2026) (2026)
- Deeds Registries Act regulations, deeds office fees (GN R.7180, Government Gazette 54225) (27 Feb 2026)
- National Credit Act regulation 42, maximum initiation fee (GN 1080 of 2015)
- National Credit Act regulation 44, maximum service fee (GN 1080 of 2015)
- Standard Bank, home loans pricing guide 2026 (effective 1 Jan 2026)
Checked October 2026.