Conveyancing and Deeds registration
What is Conveyancing and Deeds registration?
The law of conveyancing in South Africa refers to the legal process whereby a person, company, close corporation or trust becomes the registered and legal owner of immovable property, including improved and unimproved land, houses, farms, flats and sectional titles, as well as the registration of bonds and other rights to fixed properties, including servitudes, usufructs and the like.
It entails the transfer process from the date the deed of sale is signed to the date of payment of finances and delivery of the deeds. It also covers the process of the registration of mortgages.
Conveyancing in South Africa may only be carried out by a licensed conveyancer: an attorney who has passed the National Conveyancing Examination.
Cancellation of bonds
What does Cancellation of bonds entail?
The law states that any person wishing to sell their home needs to give their bank or bond originator written notice of their intent to cancel a bond.
The notice period may differ from bank to bank but as a general rule, your bank will require 90 days’ notice.
The bank will advise your attorney to attend to the cancellation of the outstanding capital amount and interest, plus any other costs that are required to settle the account.
Cancelling a bond will incur a number of fees including homeowner's and life insurance, interest, retention amounts, legal and other fees. Failing to give notice will result in penalties being added to the cancellation fees. You will also pay penalty interest if you cancel a bond that is less than two years old.
There are some exceptions:
no notice period is necessary if the bond forms part of a deceased estate.
The notice period will also be waived in the case of sequestrated estates or if a new bond is being registered with the same bank.
Cancellation regulations do have some flexibility. If you notify your bank of your intent to cancel your bond as soon as you put your home on the market but then struggle to find a buyer, you are able to renew your bond.
Once again, it becomes important to notify your bank otherwise penalties will be incurred.
Here is a simplified look at the process:
You notify your bank of your intention to cancel, giving 90 days' notice
The bank advises your attorney to attend to the cancellation of the outstanding capital amount and interest, plus any other costs that are required to settle the account.
The title deed and bond documents will be sent to the bank’s attorney.
The attorney issues guarantees. Guarantees are issued to ensure that there are funds available to cover the bond on the date of cancellation.
Your bank will sign and give consent for the bond to be cancelled.
Refunds are paid after cancellation.
Mortgage and Participation Bonds Expertise
What is Mortgage and Participation Bonds?
A Mortgage Bond is a finance borrowed against immovable property, using that property as security for the loan. The Mortgagee is the Bank, other Financial Institution or Person who agrees to lend the money to the Mortgagor, and the Bond is thus registered in favour of the Mortgagee.
Participation bonds are investment products in underlying commercial property development assets. They are regulated under the Collective Investments Schemes Control Act.
Sectional Title Scheme Expertise
What is a Sectional Title Scheme?
Sectional title simply describes the separate ownership of a unit within a complex or development. The owner of the unit automatically becomes part of the body corporate, which is the legal entity that owns and controls the common property in the sectional-title scheme
Servitudes, subdivisions and consolidations of properties Expertise
What is Servitudes, subdivisions and consolidations of properties ?
A Servitude is described as a limited real right over immovable property. This right is registerable and allows the holder of the servitude to exercise some right over another person's property. The three most common property servitudes are personal servitudes, praedial servitudes and public servitudes.
The subdivision of land, where one property is divided into two or more portions, is often something that owners consider in order to benefit financially from selling off these divided portions, or perhaps building additional houses on each portion and selling these off at a profit.
Consolidation of properties refers to the joining together of portions of land to become one property. The owner of the portions can apply to the Registrar of Deeds to be issued with a Certificate of Consolidated Title.
Opening of Township Registers
What is Opening of Township Registers ?
The main purpose of the opening of a township register is to convert the land on which the township is to be established into streets and erven as depicted on a General Plan.
We will require the conditions of establishment, approved General Plan and approved small scale diagrams as well as the title deeds for the affected land portions to draft the conveyancing documents and present them for signature to the township applicant.
The signed conveyancing documents can only be lodged at the Deeds Office for registration if the relevant authority has issued a letter to the Registrar of Deeds confirming that the pre-proclamation/registration conditions of the establishment have been complied with
Deeds Office searches, CIPC searches
What is Deeds Office searches, CIPC searches?
The Deeds Office Property Search provides online information from the Department of Rural Development and Land Reform on registered properties at any of the 11 Deeds Offices in South Africa. Also included are the title deed document number, purchase price, purchase date and registration date.
With a CIPC search, you will be able to view if a company exist, and if so, what the Enterprise Name, Enterprise Number, Registration Date is and the status of the enterprise (if the enterprise is in business), as well as the Registered and Postal Address of the enterprise.
Drafting of commercial and residential leases
What is Drafting of commercial and residential leases?
A commercial lease is used by a tenant to rent space for a business while a residential lease is used by a tenant to rent a home or space to personally reside in. Commercial leases are typically viewed as contracts between knowledgeable business people.
Property sales and Acquisition Agreements
What is Property sales and Acquisition Agreements?
A sale and purchase agreement is a legally binding contract between you and the seller. It sets out all the details, terms and conditions of the sale — this includes things such as the price, any chattels (chooses in possession) being sold with the property, whether the buyer needs to sell another property first and the settlement date.