The short answer: transfer duty is a tax the buyer pays to SARS when property changes hands. For properties bought from 1 April 2026, there’s no transfer duty up to R1,210,000. Above that, it’s charged on a sliding scale — a R1,500,000 home attracts R8,700. The rates are unchanged from the previous year. You don’t pay transfer duty when you buy a new property from a VAT-registered developer, because VAT is included in the price instead.
🧮 Work out your total: the free transfer costs calculator adds transfer duty, attorney fees (2026 guideline, incl. VAT) and Deeds Office fees.
Transfer duty rates in South Africa (from 1 April 2026)
| Property value | Transfer duty |
|---|---|
| Up to R1,210,000 | 0% |
| R1,210,001 – R1,663,800 | 3% of the value above R1,210,000 |
| R1,663,801 – R2,329,300 | R13,614 + 6% of the value above R1,663,800 |
| R2,329,301 – R2,994,800 | R53,544 + 8% of the value above R2,329,300 |
| R2,994,801 – R13,310,000 | R106,784 + 11% of the value above R2,994,800 |
| Above R13,310,000 | R1,241,456 + 13% of the value above R13,310,000 |
Worked examples
- R1,000,000 home: below R1,210,000, so R0
- R1,500,000 home: 3% × (R1,500,000 − R1,210,000) = R8,700
- R1,800,000 home: R13,614 + 6% × (R1,800,000 − R1,663,800) = R21,786
🧮 Work out yours: the home loan calculator shows the transfer duty on any price alongside your monthly bond repayment.
Who pays and when
- The buyer pays, not the seller
- It’s paid to SARS through the transferring conveyancer, before the property is registered in your name
- It’s usually paid in cash — most banks don’t add it to the bond, so plan for it separately
Transfer duty or VAT?
If you buy from a VAT-registered seller — usually a developer selling a new unit — VAT is included in the price and you don’t pay transfer duty. Buying from a private owner, you pay transfer duty. Ask the agent or conveyancer which applies before you sign.
Other costs to budget for
Transfer duty isn’t the only cost. Conveyancing (transfer) fees, bond registration fees and bank initiation fees are separate. Ask the conveyancer for a written quote of every cost before you sign the offer to purchase. See how much home loan you can afford.
⚠️ Scam warning
Fraudsters send fake emails “from the conveyancer” with changed banking details for transfer costs. Always phone the conveyancing firm on a number you find yourself — not one in the email — to confirm the account before paying.
FAQ
Do first-time buyers get a transfer duty exemption?
There’s no separate first-time buyer exemption. The R1,210,000 threshold applies to everyone buying from a private seller.
Can transfer duty be added to my bond?
Usually not. Plan to pay it in cash. Ask your bank directly whether it will finance transfer costs in your case.
Next step
Saving for transfer costs on top of a deposit takes a plan. The Money Reset Pack (R99) includes the SA budget system and a savings planner. 🛒 Get the Money Reset Pack →
Educational content, not tax or legal advice. Last verified 9 October 2026 · Source: SARS transfer duty rates (unchanged for properties acquired from 1 April 2026) · Report an error
How To South Africa is an independent guide and is not affiliated with SARS.