Ask your conveyancer for a quote on transfer and bond registration fees.
Ask your conveyancer for a quote on transfer and bond registration fees.
How transfer duty is worked out
Transfer duty is a tax the buyer pays to SARS when a property changes hands. It is charged on a sliding scale, so each part of the price is taxed at its own rate.
- Property value. The purchase price, or the fair market value if that is higher.
- Duty from the table. The first R1 210 000 is free of duty. Above that, the rate rises in steps from 3% to 13%, as shown in the table.
- VAT instead of duty. If you buy from a developer or seller who is registered for VAT, the price includes VAT and you pay no transfer duty.
- Other costs. Your conveyancer charges fees to register the transfer, and your bond attorney charges fees to register the bond. These differ between firms, so enter the quotes you receive.
Transfer duty rates from 1 March 2026
| Property value | Transfer duty |
|---|---|
| R1 to R1 210 000 | 0% |
| R1 210 001 to R1 663 800 | 3% of the value above R1 210 000 |
| R1 663 801 to R2 329 300 | R13 614 + 6% of the value above R1 663 800 |
| R2 329 301 to R2 994 800 | R53 544 + 8% of the value above R2 329 300 |
| R2 994 801 to R13 310 000 | R106 784 + 11% of the value above R2 994 800 |
| R13 310 001 and above | R1 241 456 + 13% of the value above R13 310 000 |
Source: SARS, transfer duty rates
Example: three purchase prices
A home bought for R1 100 000 attracts no transfer duty, because the price is below R1 210 000.
For a home bought for R1 500 000, the first R1 210 000 is duty-free and the remaining R290 000 is taxed at 3%. The transfer duty is R8 700.
For a home bought for R2 500 000, the duty is R53 544 on the first R2 329 300, plus 8% of the R170 700 above that. The transfer duty is R67 200.
Common questions
Who pays transfer duty?
The buyer. It must be paid to SARS before the Deeds Office will register the property in your name, and your conveyancer usually handles the payment.
Can I add transfer duty to my bond?
Banks usually expect you to pay transfer duty and the registration fees in cash. Ask your bank, as some offer home loans that cover part of these costs.
What other costs should I plan for?
Conveyancing fees for the transfer, bond registration fees if you take out a home loan, and Deeds Office fees. Ask your conveyancer for a written quote on all of these before you sign the offer to purchase.