- Rates Clearance & Transfer
- Bond Cancellation
- Sellers Responsibilities
- Factors that could delay registration
The seller has the following responsibilities:
- To give their bank 90 days notice should they have a bond over the property that will need to be cancelled. If a seller fails to do this, an early termination penalty may be added to his bond cancellation fees by the bank. This may result in either a possible shortfall for the seller or a delay of up to 90 days, should the seller wish to wait our this period.
- To comply with any warranties or conditions stipulated in the offer to purchase.
- To obtain the statutory required Electrical Compliance Certificate for the property prior to lodgement of the transfer in the Deeds office, issued by a certified electrician.
- To sign the transfer documents on the request of the Conveyancer attending to the transfer of the property.
- If there is a bond registered over the property, to pay the bond cancellation costs to the Attorneys who are appointed by the bank to attend to the cancellation of the existing bond. The seller will be obliged to keep up his monthly bond installments pending transfer of the property. If any interest is overpaid to the bank, it will be refunded to the seller by the bank after registration.
- To continue payment of municipal rates on the property, inclusive of electricity, water, sewer, and refuse accounts. Even though a tenant might lease the property from a seller, outstanding municipal revenue service fees still remain the sellers responsibility. Transfer of ownership cannot be done unless all these accounts have been settled as per legal requirement. To obtain the necessary rates clearance certificate, the seller will have to pay the council six months in advance.
- To request the council to take final meter readings of the consumption figures for the property prior to vacating the property.
- To vacate the property prior to the date of occupation and to comply with any condition in the agreement.
- To arrange with Telkom and/or the purchaser to transfer or cancel the telephone line.
- To furnish the Attorneys with the following documentation in order to comply with FICA:
1. Copy of his Identity Document
2. Income Tax registration number
3. Copy of marriage certificate and Antenuptial agreement if applicable
4. Copy of divorce order if applicable
5. Documentation that confirms proof of residence (not older than 3 months)
- Failure by the seller and/or purchaser to provide information
- Failure by the seller to provide details of the bank holding the existing bond
- The existing bondholder delaying/not providing cancellation figures and Title Deeds to the transferring attorney
- Delay in receiving rates figures (from the municipality) and/or a clearance certificate
- Failure by the purchaser to pay a deposit (if required)
- Delay in the provision of guarantees
- Failure by the purchaser to pay bond and transfer costs on time
- Delay by the seller in signing the transfer documents
- Delay by the buyer in obtaining government capital subsidy approval/employee subsidy documents for new bondholders and failure to comply with other requirements of the bank
- Delay by the purchaser in signing the transfer and/or bond documents.
The above information was supplied by ooba