Buying a house costs are nuts…

This morning we are off to sign the papers for our new house and tomorrow we are signing papers for the old one.   But goodness me haven’t times changed.  Since we bought our last house 6 years ago, the up-front money you are expected to dish out has become exorbitant and must surely prohibit people purchasing homes.

We have now discovered that all transfer costs have to be paid before the transfer goes through i.e. within the next couple of weeks, which in our case is 6 weeks before the actual transfer goes through.

If I cast my mind back to previous house purchases, these costs were dealt with on the transfer day, by either bond covering them or from profit gained via the old-house sale. 

On top of this, you are required to submit, via the transferring attorney’s, monies to cover the next 4 months rates/electricity/water etc on the old house, even though you won’t be residing there.  Once the transfer has gone through, you must then request a refund from the municipality. 

Am I being unrealistic here to think this is all rather unreasonable, and that I should as a norm have a bank load of money to cover this?   Especially when one considers how horrendously high transfer fees are.

Mmmm, looks like the old magic wand is coming out of storage this weekend…

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6 thoughts on “Buying a house costs are nuts…

  1. bambina

    Just been through that and could have bought a small flat with the amount we had to pay for transfer costs.Why must it cost so much for a name change at the deeds office???

  2. abracadaver

    ha ha ha you think the transfer cost are high, look at what you have paid over 5 years , then see what portion of that money is interest and what has come off the capital amount. After the SA banks have bent you over and violated your naught with their fees your R1m rand house is probably going to cost you R3m – R4m. One of my friends in Canada is paying 2% interest on his house and their banks are still making money. No wonder South Africans have no savings or disposable income, the banks and the goverment have a competition going to see you can screw you the hardest.

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