Commissions/Fees

Commission on Sale of Vacant Land

  • 7.5% on the first R 100,000.00 plus VAT
  • 5.0% on the next R 900,000.00 plus VAT
  • 2.5% on the balance plus VAT

Commission on Sale of Buildings:

  • 6.0% on the first R 2,000,000.00 plus VAT
  • 3.5% on the next R 1,000,000.00 plus VAT
  • 2.5% on the next R 1,000,000.00 plus VAT

Commission on Leases:

5.0% first 2 years: First year's rental x 12months x 5% plus VAT
Second year's rental x 12 months x 5% plus VAT
2.5% next 3 years Third year's rental x 12 months x 2.5% plus VAT
Fourth year's rental x 12months x 2.5% plus VAT
Fifth year's rental x 12 months x 2.5% plus VAT
1.5% next 3 years Sixth year's rental x 12 months x 1.5% plus VAT
Seventh year's rental x 12 months x 1.5% plus VAT
Eighth year's rental x 12 months x 1.5% plus VAT
1.0% on the balance

Admin Fees:

  • Drawing up contracts R800.00 plus VAT
  • Valuations (costs to be negotiated)

Stamp Duty - General Notes

  1. Applicable from 1 January 2005
  2. .50 per R100 irrespective of period
  3. Time period for stamping - 30 days after second signature
  4. Landlord must sign within three months of Tenant and lease must be stamped within 30 days
  5. Penalties: after 30 days a 10% penalty is added for every month or part thereof.
  6. If lease discovered unstamped by inspector or commissioner, interest +10 %
  7. Gross evasion: additional duty would be double of unpaid duty imposed by commissioner
  8. Stamp duty paid on rental not on market value of property
  9. Stamp duty R200 or less is exempt
  10. Renewals regarded as new leases - stamp duty @ .50 per R100
  11. No stamp duty on VAT if applicable
  12. Cession of lease exempt of stamp duty
  13. Defacement /cancellation of stamps: Landlord is responsible or revenue officer. If Mandate for agent to sign the lease then they can cancel the stamps.
    Each stamp to be initialled individually
  14. Stamps cannot be defaced after expiration of 30 day period, only SARS
  15. For a lease to be used it must be correctly stamped and initialled and any penalties applicable must

Within next year or two, no revenue stamps - will be electronic or by SARS receipt

Management Fees:

  • Collection fees: 3% plus VAT of gross receipts
  • This percentage is negotiable.
  • Fixed monthly management fees are also negotiable

Associations: