Property sales are often complex and lengthy, and even minor delays can lead to significant frustrations, added costs, or, in the worst cases, a collapsed deal. However, while not all delays can be predicted, there are proactive steps that can greatly reduce the risks of setbacks.
According to Cobus Odendaal, CEO of Lew Geffen Sotheby’s International Realty in Johannesburg and Randburg, property sales tend to face two primary types of delays: delays in confirming the sale and delays after the sale is confirmed. “Both types can often be avoided with proper planning and by ensuring all necessary documentation and procedures are handled promptly,” he says.
Understanding the property transfer process
Property transactions involve numerous steps, documentation, and regulatory checks. Once the suspensive conditions and contractual obligations are cleared, many believe the hard part is over. But Odendaal warns that the deal isn’t finalized until the property transfer is completed, and several issues can arise during this final phase.
“One major cause of delayed transfers is misaligned timelines—particularly when multiple deals are linked, and funds from one sale are required to purchase the next property,” says Odendaal. He adds that buyers should also ensure they budget for transfer costs or have an access bond in place to cover these expenses. Failure to do so could result in frozen accounts and unexpected delays when the bond attorney calls for bond cancellation.
We show you how it all works here
Common pitfalls leading to delays
Odendaal points out several common issues that can delay property transfers, most of which can be avoided with proper preparation:
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Failure to give 90 days' bond cancellation notice: Homeowners must notify their bank in advance if they plan to cancel their bond. Early notification doesn’t commit you to selling but helps avoid late fees and delays.
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Transfer cost budgeting: Buyers should ensure they have sufficient funds set aside for transfer costs or arrange for an access bond on their current property to avoid complications.
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Late submission of documents: Both buyers and sellers must submit the required documentation in a timely manner to the transferring attorney. Missing or delayed paperwork can slow down the entire process, particularly if either party resides abroad or is difficult to contact.
Key stages prone to delays
The stages most vulnerable to delays include:
- Bond approval and cancellation
- Signing of transfer documents
- Obtaining compliance certificates
- Registrar of deeds issues during lodgement
- Complex transfers (e.g., estate transfers requiring endorsement from the Master of the High Court)
Odendaal emphasizes that clear communication with the transferring attorney and prompt action can prevent most of these issues. If either party is overseas, granting power of attorney to someone in South Africa can ensure the process moves smoothly.
Here we take a look at what happens once you have signed the Offer To Purchase and what to look out for
Prequalifying and financial transparency
Odendaal also stresses the importance of transparency with your estate agent, especially regarding your financial situation. “Prequalification through a bond originator, such as ooba, can highlight any issues before they arise,” he notes. This step is particularly crucial for self-employed buyers, as banks tend to scrutinize their applications more strictly. Odendaal advises avoiding large purchases during the property transaction period to maintain affordability.
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The role of experienced professionals
Odendaal concludes by recommending that buyers and sellers work with an experienced estate agent and conveyancing attorney. “An accomplished conveyancing attorney, who works well with the estate agent, is essential for a smooth and timely property transfer,” he says.
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