Your bond has been approved. What happens now?
Category News
Buying a property is a significant financial investment and the transaction comes with many legislative requirements and processes before your new property is finally transferred into your name.
Once your bond is approved by a bank, the guidance of an expert estate agent is vital in the transaction process, according to the Seeff Property Group.
Aside from playing a role in securing your bond, the estate agent facilitates ongoing liaison with the seller, buyer and other parties involved in the process such as the transferring and bond registration and cancellation attorneys.
The seller chooses the transferring attorneys who takes responsibility for the transfer of the property into your name. This involves a host of activities, clearances and documents, from obtaining the title deed and bond cancellation figures to clearance certificates such as rates and taxes, levy clearance (for sectional title), Electrical Certificate of Compliance (ECOC), Electric Fence System Compliance Certificate (if applicable), Plumbing Certificate, Gas Certificate (if applicable) and in some cases, a Beetle Infestation Clearance.
The deposit may be paid to the mandated Estate Agency's Trust account or to the transferring attorney, Guarantees will then be issued to cover the outstanding loan (if applicable) as well as costs such as the estate agent's commission. There will also be an attorney taking care of registering the bond over the property and a third set, who will cancel the current loan on the property, if applicable.
Once all the documents are finalised, the full set of documents is lodged with the local deeds office in preparation for the transfer and simultaneous cancellation of any existing bond and registration of a new bond. Once transferred the proceeds are paid out to the seller. The process usually takes about three months.
Author: Gina Meintjes
Author: Gina Meintjes
