Costs of purchasing a house

The costs of purchasing a house in South Africa often surprise those new to the process. They can add a significant amount to the final price that you will pay and need to be taken into account when setting your initial budget.

The two main areas of costs of purchasing a house:

  1. Those costs of purchasing a house that are associated with the legal transfer of the property into your name.
  2. Secondly, those costs connected with your (mortgage) bond, should you require one.

You should also be aware that you will incur other sundry expenses and disbursements that should also be allowed for.

These can include items such as:

  • Postage and Petties
  • Rates/Levy Clearance
  • Pro-Rata Rates/Levies
  • Exclusive use
  • FICA
  • Deeds office search
  • Electronic document preparation fee

These additional costs can easily amount to R5000 upwards in addition to the main costs of purchasing a house that we list below.

SA HomeBuyers will be able to assist you fully at the appropriate time to make sure that you understand the cost implications, but below are some examples of the main costs involved so that you can get an idea of the impact they have on your budget.

Property price 1 mil 2 mil 3 mil
Transfer duty (Government tax) 12000 77000 317000
Transfer fees 14800 20600 38100
Bond costs for a 50% bond (ignore these if you are not using a bond for financing) 7500 12200 19500
Total fees 34300 109800 374600
Total amount required for property purchase (including other disbursements) 1,034,300 2,109,800 3,374,600


For you free and no obligation consultation, contact one of our Cape Town property consultants. We will be delighted to talk you through all the costs of purchasing a house in South Africa and explain our service to you email us here or phone + 27 (0) 83 265 8800.