Is transfer duty payable on new developments?

No. When you purchase a property directly from a developer and VAT is charged on the transaction, transfer duty is not payable. VAT and transfer duty are mutually exclusive. If the seller is a VAT vendor and the sale is a VAT transaction, you pay VAT instead. Always confirm with your conveyancer whether VAT or transfer duty applies to your specific purchase.

When must transfer duty be paid to SARS?

Transfer duty must be paid to SARS within six months of the date of the sale agreement, not the date of registration. If payment is late, SARS charges interest at the prescribed rate. In practice, the conveyancing attorney handles this on behalf of the buyer, paying SARS and lodging the transfer duty receipt with the Deeds Office as part of the registration process.

Transfer Duty Calculator (South Africa) South Africa

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When to use this calculator

Before buying, renting, refinancing or reviewing a property investment.
When you want to compare cash flow, tax, yield or ownership costs.
When you need a fast estimate before speaking to an agent, lender or adviser.
When you want to see how a rate or price change moves the result.

A realistic South Africa planning example

Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.

A realistic South Africa planning example
Input	Value
Purchase Price (R)	R2,000,000
Buyer Type	Natural person (standard rates)

After entering these figures, review transfer duty, effective rate and est. conveyancing fees together rather than in isolation. Then rerun the tool with one input adjusted.

How to read your results

Transfer Duty

The figure produced by this output for the inputs you entered. Change one variable at a time if you want to see what drives it.

Effective Rate

The effective rate lets you compare options on a like-for-like basis rather than being misled by different compounding periods or fee structures.

Est. Conveyancing Fees

The figure produced by this output for the inputs you entered. Change one variable at a time if you want to see what drives it.

Total Upfront Costs

The headline outcome of this calculation. It is most useful when read alongside the supporting metrics rather than in isolation.

Common mistakes

!Using an assumption that is not supported by a current local quote, bill, statement or official source.
!Treating a generic estimate as a lender, provider, payroll or tax authority decision.
!Mixing monthly and annual inputs without converting them consistently.
!Testing only one scenario instead of checking how a cautious assumption changes the result.

What to do next

Run a second scenario with a cautious assumption so you can see the downside clearly.
Compare the result with the related calculators below before making a decision.
Check current local rules, eligibility and provider terms before applying or committing money.
Keep a record of the assumptions so you can update the estimate when a quote, bill or pay figure changes.

Frequently asked

Transfer duty is a tax levied by SARS on the acquisition of property in South Africa. It is payable by the buyer within six months of the date of the sale agreement. The rate is progressive for natural persons, with properties below R1,100,000 fully exempt. Companies, trusts, and close corporations pay a flat 10% on the full purchase price regardless of value.

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