THOUGHT OF THE WEEK Non-resident property buyers
Updated: Apr 7, 2020
Transferring title in immovable property into the name of non-residents generally follows the same processes as are required in respect of South African property purchasers. In both instances, our land registration system offers new owners security of tenure. However, additional permutations apply in respect of non-resident transactions, making legal advice crucial prior to entering into the transaction.
Questions arising include:
Can foreign funds be brought into SA for property acquisition?
Can non-residents borrow money locally to purchase?
May the conveyancing documents be signed overseas and, if so, what is the procedure?
May the proceeds be taken out of the country when the property is sold?
Are non-resident owners liable for SA income tax on disposal?
Is estate duty payable here in the event of the non-resident owner’s death?