Seller's Guide
Everything you need to know about selling your property privately in South Africa — without an estate agent. This guide covers the legal requirements, documents you'll need, and the full process from listing to transfer.
Important Disclaimer
This guide is for informational purposes only and does not constitute legal advice. Laws and regulations change — always consult a registered conveyancer or property attorney for advice specific to your situation. OwnersOnly is a listing platform, not a legal service or estate agency.
Seller's Checklist
Documents and certificates you need before selling:
Title Deed or Sectional Title Certificate
Required by law
Electrical Compliance Certificate (COC)
Required by law
Gas COC (if gas installation present)
Required by law
Electric Fence COC (if electric fence installed)
Required by law
Plumbing COC (required by some municipalities)
Recommended
Beetle/Pest Clearance (coastal provinces: WC, KZN, EC)
Recommended
Copy of your ID or passport
Required by law
Proof of address (for FICA)
Required by law
Municipal rates account (recent)
Required by law
Body corporate levy clearance (sectional title only)
Recommended
Homeowners insurance details
Recommended
Building plans (if available)
Recommended
1. Compliance Certificates (COCs)
South African law requires certain compliance certificates before a property can be transferred. These must be valid and current at the time of transfer.
Electrical COC (Mandatory)
Required for every property transfer in South Africa. A registered electrician inspects the electrical installation and issues the certificate. Valid for 2 years from the date of issue. The seller is responsible for obtaining this and paying for any repairs needed.
Gas COC
Required if the property has any gas installation (stove, heater, braai). Must be issued by a registered gas practitioner. This is the seller's responsibility.
Electric Fence COC
Required if the property has an electric fence. Must comply with SANS 10222-3. Issued by a registered electric fence installer. The seller pays for this.
Plumbing COC
Required by some municipalities (e.g., City of Cape Town, Johannesburg). Check with your local municipality. Issued by a registered plumber.
Beetle/Pest Clearance Certificate
Required in coastal provinces (Western Cape, KwaZulu-Natal, Eastern Cape) and some inland areas. A pest inspector checks for wood borer, dry rot, and rising damp. Valid for 6 months.
Tip: Get your COCs early — before listing. If repairs are needed, you'll have time to fix them without delaying the sale. On OwnersOnly, you can declare which COCs you have and buyers will see this on your listing.
2. Disclosure of Defects
Under the Consumer Protection Act (CPA), sellers must disclose all known defects — both patent (visible) and latent (hidden) defects.
The old "voetstoots" (as-is) clause has been significantly weakened by the CPA. You can no longer simply sell "as-is" and avoid liability. If you know about a defect and fail to disclose it, you can be held liable even after the sale.
What to disclose:
- Structural cracks or foundation issues
- Damp, water damage, or rising damp
- Roof leaks or damaged roofing
- Plumbing problems (blocked drains, leaking pipes)
- Electrical faults or non-compliant wiring
- Pest infestations (termites, wood borer)
- Boundary or servitude disputes
- Unapproved building work or structures
- Environmental issues (flooding risk, sinkholes)
On OwnersOnly, you have a "Known Defects" field when creating your listing. Be honest — transparency builds trust with buyers and protects you legally.
3. The Offer to Purchase (OTP)
The Offer to Purchase (OTP) is a legally binding contract between buyer and seller. Once both parties sign, it's a done deal — breaking it has legal consequences.
What the OTP must include:
- Full names and ID numbers of buyer and seller
- Full property description (erf number, township, municipality)
- Purchase price
- Payment method (cash or bond)
- Bond approval clause (if applicable) — typically 14-21 days
- Occupation date and conditions
- List of included fixtures and fittings
- Defects disclosure / voetstoots clause
- Compliance certificate conditions
- Nominated conveyancer
- Deposit amount and where it's held (trust account)
Do not use a generic template from the internet without having it reviewed by a conveyancer. A bad OTP can cost you more than the agent commission you're saving. Many conveyancers will draft or review an OTP for R2,000–R5,000.
4. FICA Compliance
The Financial Intelligence Centre Act (FICA) requires both the buyer and seller to provide identification documents to the conveyancer before the transfer can proceed.
FICA documents you'll need:
- Certified copy of your ID document or passport
- Proof of residential address (utility bill, bank statement — not older than 3 months)
- Proof of income or source of funds (for the buyer)
- Marriage certificate or ANC (if applicable)
Your conveyancer will request these documents. Have them ready to avoid delays in the transfer process.
5. Rates Clearance & Levy Clearance
Before the property can be transferred, the municipality must confirm that all rates and taxes are paid up. Your conveyancer applies for a rates clearance certificate on your behalf.
Rates Clearance
The municipality issues this once all outstanding rates, taxes, and service charges are settled. The seller typically needs to pre-pay rates for a period ahead (varies by municipality — often 4-6 months in advance).
Levy Clearance (Sectional Title)
If your property is in a sectional title scheme (complex, apartment, townhouse), the body corporate must confirm that all levies and special levies are paid up. They issue a levy clearance certificate.
6. The Transfer Process
Here's what happens after buyer and seller sign the OTP:
Bond Application (if applicable)
2-4 weeksThe buyer applies for a home loan. They typically have 14-21 days (as per the OTP). If declined, the OTP usually falls away.
Conveyancer Appointed
1 weekThe seller appoints a conveyancer (transfer attorney). The buyer's bank appoints a bond attorney. These can be the same firm.
FICA & Documents Collected
1-2 weeksBoth parties submit FICA documents. The conveyancer collects the title deed, rates accounts, and compliance certificates.
Rates & Levy Clearance
3-8 weeksThe conveyancer applies for rates clearance from the municipality and levy clearance from the body corporate (if sectional title).
Transfer Duty Paid
1 weekThe buyer pays transfer duty to SARS (0% on properties under R1.1M). The conveyancer handles this.
Documents Lodged at Deeds Office
2-3 weeksThe conveyancer lodges the transfer documents at the Deeds Office. This is reviewed and processed by the Registrar of Deeds.
Registration
Registration dayThe property is registered in the buyer's name. The seller receives the purchase price (minus any outstanding bond). Keys are handed over.
Total timeline: From signed OTP to registration typically takes 8-16 weeks, depending on the municipality, bond approval, and whether any issues arise.
7. What Does It Cost to Sell?
One of the biggest advantages of selling privately is saving on agent commission (typically 5-7.5% of the sale price). Here's what you will need to pay:
| Cost | Who Pays | Estimate |
|---|---|---|
| Compliance certificates (COCs) | Seller | R2,000 – R15,000 |
| Electrical repairs (if needed for COC) | Seller | Varies |
| Rates clearance advance payment | Seller | 4-6 months of rates |
| Bond cancellation fee (if applicable) | Seller | R3,000 – R5,000 |
| OwnersOnly listing fee | Seller | R499 |
| OTP drafting/review (conveyancer) | Seller or Buyer | R2,000 – R5,000 |
| Transfer duty (SARS) | Buyer | 0% – 13% of price |
| Transfer fees (conveyancer) | Buyer | R8,000 – R65,000 |
| Bond registration | Buyer | R8,000 – R50,000 |
| Deeds office fee | Buyer | R500 – R4,000 |
The big saving: On a R2M property, agent commission at 6% would be R120,000. Selling on OwnersOnly, your total costs (COCs + listing fee) are typically under R15,000. That's a saving of over R100,000.
Capital Gains Tax (CGT)
When you sell a property for more than you paid for it (including improvements), the profit is subject to Capital Gains Tax. However, there are important exclusions:
Primary Residence Exclusion
The first R2,000,000 of capital gain on your primary residence is excluded from CGT. This means most homeowners pay no CGT when selling the home they live in.
Above R2M Gain
Capital gains above R2M are included in your taxable income at an inclusion rate of 40% for individuals. This means 40% of the gain above R2M is added to your income and taxed at your marginal tax rate.
Example: Selling your primary residence
Purchase price (2018): R1,500,000
Improvements (documented): R200,000
Base cost: R1,700,000
Selling price: R3,200,000
Capital gain: R1,500,000
CGT payable: R0 (gain is below the R2M primary residence exclusion)
Investment properties: If the property is not your primary residence (e.g., a rental or holiday home), you only get the annual exclusion of R40,000 — not the R2M exclusion. Consult SARS or a tax professional for your specific situation.
Offer to Purchase (OTP) Guide
Selling without an agent means you need to understand the OTP. Our guide covers every clause, suspensive conditions, and common mistakes to avoid.
Read the OTP Guide