17

MUNICIPAL RATES CLEARANCE

THE PROCESS

Details of the transfer and of the seller and buyer (including future addresses and the Seller’s banking details) are sent to the
municipality.

Council then issues outstanding figures, which will include an advance amount to cover them for services until registration.

The transfer attorney sends these figures to the Seller for payment and pays the municipality on the Seller’s behalf.

Documents are uploaded for the municipality to approve, whereafter a rates clearance certificate is issued, usually valid for 30 days.

ROLE PLAYERS

TRANSFER
ATTORNEY

MUNICIPALITY

THE
SELLER

THE
BUYER

POTENTIAL DELAYS

If transfer does not take place within 30 days from the issuing of the certificate, an extension must be requested and the same process of payment and document uploads is to be followed. If Council has different information about the current property owner or the property itself on their system, this needs to be updated by them. There may be conditions which Council will require to have been met before they issue the rates clearance certificate, often involving different departments at the
Municipality. Municipal internal process delays.