What do the attorneys do?

Rates Clearance certificate

Before a property can be transferred, any monies owing by the seller for rates and taxes to the municipality must be paid in full in advance. One of the first things the transfer attorney does is to write to the relevant municipality asking for a Rates Clearance Account stating how much is owed. Upon receipt of the account, the transfer attorney will apply to the relevant council for Rates clearance figures which includes any amount outstanding plus 4 months estimated rates water and lights amounts in advance The municipality will only issue a Rates Clearance Certificate once the rates clearance figures has been paid in full. The Rates Clearance Certificate is issued for approximately a month after the anticipated date of registration. After the date of registration the council will calculate a refund to the seller of the monies paid in advance for the clearance figures paid. However this refund can take up to 6 months.

Cancellation attorney and costs of any existing bond is for the sellers account

In most cases, a bond is still registered against the property and no property can be transferred without the existing bondholder being paid out. The transfer attorney writes to the bank concerned, asking for the title deeds to the property, and the amount required to cancel the bond ie cancellation figures which in turn become the guarantee requirements. In all probability you the purchaser will be asked by the transfer attorney to furnish a guarantee for this amount in favour of the bank concerned as part of your purchase price. Or, if the seller has no bond, then he usually has the title deeds to the property in his possession and he will be asked to produce them by the transfer attorney.

Deeds Office search of Title Deeds

Simultaneously with the procedures outlined above, the transfer attorney will conduct a search at the Deeds Office of the title deeds of the property. This is to ensure that there are no interdicts registered against it and to verify its’ correct description as well as the spelling of the name of the seller, his date of birth and ID Number.

Speed is of the essence

The onus is on you to act timorously and it will be in your interests to keep in touch with the transfer and bond attorneys in order to speed procedures to transfer. If you experience any problems, please keep us fully informed so that we can be of assistance where necessary. It is important to remember that the cancellation of the existing bond, the registration of the new bond, and registration of the transfer - are done simultaneously in the appropriate Deeds Office.

We trust all the information given here will be of interest and assistance to you. Every effort has been made to ensure that it is correct. If you need our advice, remember - we are only a telephone call away and we will be happy to assist. Please feel free to call us.