There are many things to consider. For example, remember to give notice to your
bank where the existing bond is held of your intentions (which will on registration
have the effect of cancellation of that bond), so that you don’t incur penalty interest.
Consider what improvements will be cost effective. Take into account all your costs:
3) Rates clearance – monthly amount multiplied by three
Remember, you may choose your own conveyance. You don’t have to follow the recommendation
of the estate agent. In fact, it is advisable to involve your conveyance right from
That leads to the question, should you use an estate agent, and if so, which one?
Should you give a sole mandate or an open mandate? An open mandate will bring more
agents to the table, but an estate agent with sole mandate may focus more on your
property. You need to be careful though, on the wording of the sole mandate, as
you may be bound to pay commission for any deal arising during the mandate period,
regardless of whether the agent had anything to do with it.
Many people feel that estate agents’ commission is too high (typically 7,5 % plus
VAT). On a R1 million transaction it will take a chunk of about R85 0000.00. from
Some try to sell on their own effort. There is no law that says you must use an estate
agent. But the success rate of private sellers is very low.
There is one other option that remains. An increasing number of law firms are getting
on board as “estate agents”. Here is the amazing deal: their commission is less than
one half of what conventional estate agents are asking!
In the following publication, wee intend to give more information.