COSTS - PROPERTY

Buying a property is so exciting, specially when it will be your first investment, but do know to have cash available or alternatively bridging finance to be arranged.  In addition to the normal cost of transfer, allowance should be made for the following:

• In case of Sectional Title, the cost of obtaining a levy clearance certificate - approximately R550-00, and the insurance certificate - approximately R550-00.
• To obtain a municipal clearnace certificaate, rates need to be paid in advance until 30 June.
• Mortgage bond costs, e.g. inspection, valuation and administration fees as well as house hold insurance.
• Arrear rates and service charges - check the Seller's position with the Municipality.  If in arrears, same needs to be paid to prevent delay in transfer.
• Levies need to be paid in advance until year end, ( Agent will have to find out from the Management Agency what the year end will be for the Estate you want to buy in)