1. WHAT IS INSOLVENCY
  • Insolvency is a state of financial distress in which a person or business is unable to pay their debts.
  • An insolvent is a debtor whose estate, including money, loose assets and immovable property that a person owns, is under sequestration (has been placed under control until certain statutory provided time periods and/or prescribed conditions have been met).
  • It entails the bankruptcy of a natural person but also be applied to a Trust or Closed Corporation. Voluntary sequestration is the voluntary surrendering of your estate (financial affairs) to the Master of the High Court under the governance of the Insolvency Act 24 of 1936. When an unfriendly creditor brings a sequestration application against a debtor, it is known as aggressive or involuntary sequestration, as opposed to voluntary surrender.
  • Sequestration is thus the process by which a debtor who has become insolvent (someone who’s financial liabilities exceeds that of his/her income) can obtain the legal status of Insolvent to enjoy the benefits of the status.
  • The Master of the High court will appoint a Trustee who will administrate the financial affairs of the Insolvent Estate. The Trustee is appointed to manage the distribution of benefits from the sale of assets in the Estate to Creditors.
  • It is then up to the Auctioneer as the representative of the Trustee to obtain the best possible offers in regards the assets, in this case immovable property, in the estate. Auction remains last resort.
  1. PURCHASER GUIDE
  • Any Prospective Purchaser should peruse the following KEY POINTS before committing to ANY agreement. After perusing the guide, the Prospective Purchaser should then familiarize himself / herself / themselves with the applicable DEED OF SALE or OTP [Offer To Purchase] associated with a specific estate and the immovable property within the estate. Should any further questions arise feel free to contact one of our Facilitators or Head of Operations or browse the FAQ [Frequently asked Questions] in the ABOUT INSOLVENCIES Menu. NOTE: The preferred way of communication is via e-mail to save time and prolonged phone calls. In REALLY URGENT circumstances a Facilitator or Head of Operations will contact a Prospective Purchaser as soon as an urgent matter arises. READ THE FOLLOWING INTENTLY:
  • The SELLER [Trustee] sells IMMOVABLE PROPERTY in an Insolvent Estate to a PURCHASER, subject to the conditions set out as prescribed by the Insolvency Act, Act 24 of 1936 (as amended) in a prescribed DEED OF SALE or OTP. There are NO SOLE MANDATES issued to any Auctioneer by a Trustee or Creditor in regards any immovable property in an Insolvent Estate. Immovable property is therefore sold at a first come, best offer basis by any Auctioneer firm serving as a representative of the SELLER [Trustee]. These terms only apply where a Trustee or Creditor instructed the marketing of immovable property over a certain time-period as to obtain the best possible acceptable out-of-hand offer. This is the preferred method in most Insolvent Estates.
  • All Prospective offers are SUBJECT to a 10% deposit, mandatory when submitting an offer. Alternatively, a suitable guarantee for the 10% deposit is to be issued by the attorney of the Prospective Purchaser. NO BANK STATEMENTS will be accepted, ONLY a suitable guarantee by an attorney. If an offer is accepted the 10% deposit forms part of the Purchase price to be utilized by the Insolvent Estate as prescribed in the DEED OF SALE. Offers are SUBJECT to VAT where applicable. Purchasers will be advised in advance and in most instances applicable to Closed Corporations, PTY (LTD) and Trusts. Auctioneer remuneration [commission] is FIXED and payable by the SELLER. Any OTP [Offer to Purchase] or Deed of Sale must also be accompanied with the relevant FICA documents as prescribed [see deed of sale] when submitting an offer.
  • There are two types of DEED OF SALES. Firstly, the “ACCEPTANCE” Deed of Sale. When submitting an offer that is acceptable to the SELLER [Trustee], Cilliers Auctioneers will be notified of such and upon receiving confirmation thereof communicate the same to the Purchaser. That is NOT YET an official acceptance but merely in principle. Once the Trustee obtains a document referred to as a section 80(bis), wherein the Master of the High Court extends the powers of the Trustee to officially accept an offer, the Trustee is then in a position to sign the offer and OFFICIALLY ACCEPT the same. The Trustee will then simultaneously inform Cilliers Auctioneers of the Acceptance and instruct the transferring attorney to initiate transfer.
  • Cilliers Auctioneers will forward the signed DEED OF SALE to the Purchaser and the DATE OF SIGNATURE SHALL MEAN DATE OF ACCEPTANCE. In this type of sale, referred to as “ACCEPTANCE,” ALL OUTSTANDING RATES & TAXES AS WELL AS OTHER CHARGES OUTSTANDING WILL BE PAID IN FULL BY THE SELLER UP UNTILL DATE OF SIGNATURE. All rates, taxes and other charges [specified in the Deed of Sale] from date of signature by the Trustee will then pass to the Purchaser, calculated Pro-Rata by the transferring attorney up and until the date of registration for the account of the Purchaser. Furthermore, INTEREST [occupational interest] AT 1% PER MONTH ON THE BALANCE OF THE PURCHASE PRICE WILL BE PAYABLE BY THE PURCHASER UP UNTIL REGISTRATION. If the Purchaser made a CASH OFFER NO INTEREST IS APPLICABLE and NO INTEREST ON VACANT STANDS.

  • It is important to note that on the date of ACCEPTANCE ALL RISK REGARDING THE PROPERTY PASSES TO THE PURCHASER SO ENSURE RISK MANAGEMENT [Policy] IS IN PLACE! Another important factor to note is that ACCEPTANCE also refers to DELIVERY DATE which stipulates the DATE OF SIGNATURE AS THE DATE DELIVERY, RISK AND OCCUPATION PASSES TO THE PURCHASER. In stating this it does not mean the Purchaser takes “ACTUAL” delivery of the property on the date of ACCEPTANCE BUT merely indicates ACCEPTANCE HAS TAKEN PLACE. This entitles the Purchaser the RIGHT TO OCCUPY the property although OWNERSHIP ONLY PASSES TO THE PURCHASER ON DATE OF REGISTRATION.

  • Cilliers Auctioneers will usually inform, but not guarantee, a Prospective Purchaser in advance whether acceptance is imminent as the timeline between “in principle acceptance” and “official acceptance” differs sporadically. Purchasers should be aware that from DATE OF ACCEPTANCE they have thirty [30] days to provide a suitable guarantee from a financial institution for the balance of the Purchase price.

  • Transfer of the property will be affected by a transferring attorney appointed by the SELLER. The Purchaser MUST ENSURE A CERTIFACTE OF COMPLIANCE [COC] regarding the electrical installation of the property is in place by the time of registration at own cost. Timber destroying free of infestation certificates is applicable to Purchasers in Coastal Areas. Once acceptance has taken place the Purchaser is advised to open a water & electricity account at the local Council using the signed Deed of Sale. Once instruction to transfer has taken place the transferring attorney will contact the Purchaser. From hereon “normal” transfer duties and transfer costs are applicable [see cost calculator under ABOUT INSOLVENCIES]. The “cost calculator” is an estimation tool and subject to changes and does not guarantee exact costs.

  • The second DEED IF SALE is the same as the above mentioned BUT for the fact that DELIVERY, OCCUPATION AND RISK ONLY PASSES TO THE PURCHASER ON THE DATE OF REGISTRATION. The only other “difference” is that the Purchaser HAS THE OPTION TO TAKE EARLY OCCUPATION, ON THE DATE OF ACCEPTANCE. Many Prospective Purchasers prefer to take occupation on acceptance BUT in this instance the Trustee MUST give permission to do so in writing and the Purchaser MUST acquire permission in writing via Cilliers Auctioneers. If all parties agree, then all provisions mentioned under “acceptance” will be in effect.
  • The DEED OF SALE prescribed by the Insolvency Act differs from a Private Deed of Sale. Several FACTORS need to be considered before making an offer on immovable property in an Insolvent Estate. NOTE that some factors might seem highly negative when considering whether to invest in an Insolvent Property BUT, after evaluating ALL the PRO’S and CON’S many a Prospective Purchaser secured a property at the “RIGHT” price. AND THEY STILL COME BACK FOR MORE! Prospective Purchasers must ensure to filter out the negative factors that does not suit the Purchaser’s specific needs OR how to embrace certain negative factors and turn it into the Purchaser’s advantage.
  • As a Prospective Purchaser, before making an offer ENSURE all clauses were thoroughly scrutinized before signing and submitting. If you feel UNSURE, please get surety from a Facilitator or Head of Operations. Each page, besides the Purchaser details, needs to be initialed at the bottom as well as in specified blocks.
  • Cilliers Auctioneers will always advertise immovable properties at a recommended market related price either in accordance with a set formula, the actual physical valuation report or a price indicated by the SELLER [Trustee]. HOWEVER, any immovable property is OPEN to reasonable motivated offers which will be submitted to the Trustee. Motivated offers lower than the recommended price is subject to its relation to the current market value or condition of property. NOTE, Cilliers Auctioneers will ALWAYS advertise a two-tier price range. First tier pricing is the probable current market value not taking condition of a property into account. Second tier pricing indicates “OFFERS FROM” taking several factors into account namely condition of property, area, current market stability and vacant occupation.
  • Prospective Buyers will need to view the immovable property in a specified Insolvent Estate which is possible 80% of the time, BUT not always. Due to hostile occupants [unhappy at being sequestrated or tenants not being notified the owner was sequestrated] Cilliers Auctioneers Facilitators will ALWAYS make Prospective Buyers aware of issues. Cilliers Auctioneers will ALWAYS respect the Insolvent’s privacy whether hostile or friendly as they ENDURED a traumatic experience! If a tenant occupies the property and has a legal rental agreement COMMON LAW applies, and the sale is subject to the existing Lease Agreement. This is BENEFICIAL to a PURCHASER speculating in rental properties.
  • If an “unhappy Insolvent” occupies the property and a PURCHASER is EAGER to Purchase the said property, an offer can be made “SUBJECT TO VIEWING” which shows a willingness from the Purchaser to buy BUT is not binding should the Purchaser eventually view the property and the property not fullfil the initial eagerness to buy. The offer can then be cancelled by the Purchaser or subsequently the property, when eventually viewed, could confirm the Purchaser’s eagerness or surpass it and the initial offer can be made official or a higher offer can be made. The final option in Purchasing a “occupied property” [other than legal tenant]  will be “EVICTION” whereby the Purchaser can submit a lower offer and carry the cost of “eviction.
  • ”THESE ARE THE TWO MAIN EXTRERNAL FACTORS TO CONSIDER THAT COULD HINDER A SUCCESSFUL INSOLVENT IMMOVABLE PURCHASE! Cilliers & Associates are the preferred attorneys should eviction be last resort and a Prospective Purchaser wish to Purchase a certain “illegally occupied” immovable property in an Insolvent Estate. In the case of a “legal tenant” the Purchaser, may on “acceptance,”  so choose to set up a new “lease agreement” with the tenant or even the insolvent. Most insolvents are forthcoming, and several have entered into a “lease agreement” with Prospective Purchasers in the past. Taking aforementioned into account the SELLER DOES NOT GUARANTEE VACANT ACCESS OR OCCUPATION regarding any Immovable Property in an Insolvent Estate.
  • In normal circumstances, 80% of the time, Cilliers Auctioneers will arrange access for prospective Purchasers to view an immovable insolvent property. Our facilitators will set up a time and date via the occupant which will suit both the Purchaser and occupant. Where guards are placed the Purchaser will be informed of the same. Note that insolvent immovable properties are scattered throughout South Africa and neither the Auctioneer, nor his mandated Facilitators are OBLIGED to “accompany” or “show” any prospective Purchaser a said property. Cilliers Auctioneers strongly ENDORSE and URGE prospective Purchasers to access a said property at their “leisure” and INSPECT the said property thoroughly. The reason for this is that the said property is sold either “voetstoots” or “as is” [Consumer Protection Act of 2008] as per the Insolvency Act whichever applies.
  • Furthermore, as prescribed in the DEED OF SALE, Cilliers Auctioneers nor it’s mandated Facilitators are OBLIGED to indicate any beacons, pegs, boundaries or servatudes. NOR any building plans or related certificates or costs thereof as this is an Insolvent Estate. The said property is sold as per the existing TITLE DEED and the SELLER is NOT LIABLE for any deficiency thereof.
  • Should any offer be accepted by the SELLER and the Purchaser fails to “perform” the Purchaser WILL forfeit the 10% deposit due to “Rouwkoop.” In most cases this is due to not obtaining the relevant guarantees for the balance of the purchase price. Cilliers Auctioneers STRONGLY advise Prospective Purchasers to ensure they will be able to obtain the necessary guarantees including funds to ensure transfer is successful. On the “plus” side Cilliers Auctioneers, in most cases, will know well in advance whether an offer will be “accepted” and be conveyed to the Purchaser which ensures ample time to obtain the said guarantees before “official acceptance” takes place. This gives the Purchaser another 30 [thirty] days to finalize the guarantees and funds necessary. The Purchaser is entitled to elect a “NOMINEE” when submitting an offer [see deed of sale].
  • Useful Pointers:  When a Prospective Purchaser “views” or “inspects” a property ALWAYS take photos [especially when there are occupants] as to ensure the property is in the same state if an offer is accepted as it was when inspected. Essential inspection should be to ensure the electrical installations are in order, fixed fittings, plumbing, foundation, structural competency and cracks. The overall condition of the property inside and outside as well as other erected structures. Prospective Purchasers should utilise the Lightstone report forwarded by the Facilitator to determine the size of a unit, stand or farm on a more-or-less basis. Lightstone is a useful tool prescribing an existing title deed. That said, the Lightstone report nor Cilliers Auctioneers guarantees exact sizes or defects arising from the report or existing deed.
  • A few footnotes should be considered. Some Sectional Title Units are “problematic” as to outstanding levies. In some cases, the outstanding levies WILL exceed a Purchase price and when this occurs a provision is made to declare any offer made null-and-void. The Purchaser WILL be reimbursed. In such matters the Trustee will apply for the “abandonment” of the immovable property by the Creditor after which offers can be re-submitted. The Trustee will then negotiate with the Body Corporate to have the outstanding levies reduced as to ensure a successful sale. The offer amount will also be considered when negotiating for reduced levies. This is not limited to Sectional Titles but mostly. In this case we refer to Section 89 costs exceeding the Purchase price in “any” Insolvent Estate.
  • The Trustee also reserves the “right” not to accept an offer even if the Master has extended the necessary powers to do so. This rarely happens BUT the Trustee does not have to give a reason if its “BENEFICIAL” to the Insolvent Estate. Most common reasons for this exception are Purchaser’s not willing to accept all clauses prescribed in the Deed of Sale, altering of clauses in the Deed of Sale not prescribed or the use of a completely different Deed of Sale outside the reach of the Insolvency Act.
  • After reading this guide Prospective Purchasers are urged to scrutinize the Deed of Sale and refer any questions to FAQ or a Facilitator. Once an offer is submitted Cilliers Auctioneers “ACCEPTS” the Purchaser is aware, understands and accepts all clauses as prescribed in the Deed of Sale.

FAQ

  • How do I complete the Deed of Sale?

The Prospective Purchaser is required to complete the Deed of Sale with either a black pen in block letters or Adobe Acrobat. Only complete clauses where the Purchaser is required to complete. Ensure every page and block provided is initialled except for the page where the Purchaser and witnesses needs to sign in full. Do not cross out or add any any clauses. When completing the Property details ensure it corresponds with the Lightstone report. The Deed of Sale is prescribed according to the Insolvency Act 24 of 1936 and its amendments. Offer amounts should be filled in both numerical and in words. When an offer is made “subject to viewing” this wording should be added in bold block letters above the offer amount.

  • FICA Documentation?

FICA requirements can be found in the last page of the Deed of Sale and must accompany the offer.

  • Is a deposit required?

Yes, a 10% deposit or a suitable guarantee from an attorney must accompany the offer. The 10% is payable to the Trust account of Cilliers & Associates and forms part of the Purchase Price. It is refundable if the offer is not accepted. The deposit is not interest bearing and when an offer is accepted the deposit may be utilised by the Seller on behalf of the Insolvent Estate. Any Prospective Purchaser may lose the 10% deposit to “rouwkoop” if the Purchaser does not fulfil all obligations set out in the Deed of Sale. This mainly occurs if a Prospective Purchaser does not obtain a guarantee for the balance of the Purchase Price.

  • Who is the Seller?

The Seller is the Trustee appointed by the Master of the High Court. There are more than one Trustee appointed but only one Trustee executes the administrative duties. Each Insolvent Estate has different appointed Trustees. The Seller or Trustee administrates an Insolvent Estate on behalf of different Creditors who has a stake in the Estate to manage and distribute benefits from the sale of immovable property. Once an offer is accepted Cilliers Auctioneers will complete the Seller details and forward the Prospective Purchaser a copy of the Deed of Sale.

  • Who is Cilliers Auctioneers?

Cilliers Auctioneers is a representative of the Trustee or Seller and Creditors to ensure the best possible offer / s are obtained on Immovable Property in any given Insolvent Estate. Cilliers Auctioneers operational Headquarters are situated in the Southern-Cape with a network of Facilitators scattered throughout South-Africa. Cilliers Auctioneers is represented by it’s Director Johan Cilliers acting under the Cape Law Society with a valid FFC [Fidelity Fund Certificate]. Head of Operations is Heinz Krüger assisted by a network of Facilitators.

  • Is commission payable?

No, Cilliers Auctioneers receives a fixed remuneration commission fee paid by the Seller. No additional commission is payable.

  • Is VAT payable?

Do not alter the VAT clause. Cilliers Auctioneers will advise a Prospective Purchaser whether VAT is applicable in a specific Insolvent Estate. Although VAT is not applicable where a natural person is sequestrated it will be stated for the record but do not cross out the VAT clause. In most cases VAT will be applicable to Estates consisting of Legal Persons such as Closed Corporations, PTY (LTD) and Trusts. Sometimes this not the case. Where an Estate is applicable for VAT, and the Prospective Purchaser is VAT registered the VAT can be claimed back. If the Purchaser is a Natural Person transfer duty will fall away and VAT becomes applicable at the current rate of 15%.

  • Can I buy for cash?

Yes, a cash offer can be made but a 10% deposit is still payable. The Prospective Purchaser should state in bold letters above the Purchase Price “CASH OFFER” which is enticing for any Trustee / Creditor. Should a cash offer be accepted the Prospective Purchaser is obliged to pay the balance of the Purchase Price directly to the transferring attorneys within seven [7] days of acceptance or an account as directed by the Trustee. The advantage of a cash offer is that no occupational interest is payable up until registration.

  • What does date of acceptance mean?

Date of acceptance means the actual date of signature when the Trustee signed the Deed of Sale, and an offer is officially accepted by the Trustee or Seller. Date of Acceptance in this instance has a two-fold definition. Any Prospective Purchaser who submitted an offer that was accepted should have been advised by Cilliers Auctioneers regarding the status of that immovable property. Firstly, the Deed of Sale Acceptance Edition whereby the Purchaser is obliged to take Delivery of the immovable property on the Date of Acceptance, the actual date, when the Trustee officially signed the Deed of Sale. The importance of Acceptance in this regard is that DELIVERY, OCCUPATION AND ESPECIALLY RISK passes to the Purchaser on this specific date as outlined in the Deed of Sale. Secondly, the Deed of Sale Registration Edition whereby the Purchaser is NOT obliged to take Delivery of the immovable property on Acceptance BUT rather registration. The Purchaser, however, may ask permission from the Seller via Cilliers Auctioneers, in writing to take early occupation whereafter the same clauses as prescribed in ACCEPTANCE will take effect.

  • What does Delivery date mean?

Delivery Date is a definition used in the Deed of Sale to refer to the specific date an offer was accepted by the Trustee. The terms DELIVERY, OCCUPATION AND RISK is a collective group of terms to refer to ACCEPTANCE in general. In other words when the Trustee signs a Deed of Sale it is officially ACCEPTED and DELIVERY, OCCUPATION AND RISK passes to the Purchaser in the Acceptance Edition of the Deed of Sale. Delivery date does not mean a specific day the Purchaser moves into the immovable property, but that ACCEPTANCE has taken place. A Prospective Purchaser should be advised by Cilliers Auctioneers well in advance if acceptance / delivery is imminent as to be prepared.

  • What does Occupation and Occupational Interest mean?

Occupation is the next step after the Trustee officially Accepts an offer as per the Acceptance Edition Deed of Sale. OCCUPATION forms part of the collective group of terms DELIVERY, OCCUPATION AND RISK. The Purchaser can either move into the immovable property or set up a lease agreement with occupants [legal occupants]. The term means exactly what it indicates namely to take Occupation whether physically or contractual. Occupational interest is payable at 12% per annum or 1% per month on the Balance of the Purchase Price up until registration to the Insolvent Estate. The Trustee or transferring attorney will indicate a specified account. Cash Purchasers are not eligible for Occupational Interest. No Occupational Interest is payable on vacant stands. Occupation or Occupational Interest is not applicable in the Deed of Sale Registration Edition except if the Purchaser wants to take early Occupation.

  • Who is responsible for outstanding rates, taxes and levies?

In both the Acceptance and Registration Edition Deed of Sale the SELLER is responsible for ALL outstanding rates & taxes, levies or any other outstanding finances associated with the Estate. There is one important difference between Deed of Sale Acceptance and Deed of Sale Registration. In the Deed of Sale Acceptance, the Purchaser is OBLIGED to take DELIVERY, ACCEPTANCE AND RISK on the official date of acceptance. In this case the SELLER is will by eligible to pay all outstanding amounts up until the OFFICIAL DATE OF ACCEPTANCE and from that date the Purchaser is responsible for all rates & taxes, levies and any other finances applicable to the immovable property, pro-rata as calculated by the transferring attorney until registration. In the Deed of Sale Registration Edition, the Purchaser is only eligible for the same once registration has taken place except if the Purchaser is eager to take early occupation the aforesaid applies.

  • What does Risk mean exactly?

Prospective Purchasers should take this term VERY SERIOUSLY. Before a possible acceptance of an offer any Cilliers Auctioneers Facilitator should have advised a Prospective Purchaser regarding RISK and its deeper meaning. Grouped with the terms DELIVERY, OCCUPATION AND RISK referring to Acceptance in the Deed of Sale, RISK means exactly what it says – RISK! On the date of official acceptance by the Trustee the RISK applicable to any immovable property that passes to the Purchaser includes but not limited to an Act of God, Riots, Fire or Rain. Therefore, a Prospective Purchaser should ensure a POLICY is in place from Date of Acceptance up and until Date of Registration.

  • Does “voetstoots” or “as is” apply?

The Deed of Sale itself differentiates between the two terms in good fashion. In layman terms there is not a big difference between the two terms. The terms “Voetstoots” and “as is” was similarly used before the Consumer Protection Act of 2008 [CPA] was established. The term “voetstoots” for the purposes of immovable property refers to the condition the property when the Purchaser VIEWED or INSPECTED the said property, and no guarantees or warranties was made by the Seller or Cilliers Auctioneers regarding its condition. That indicates the condition of the immovable property with its defects, latent, patent or otherwise when INSPECTED by the Purchaser at the time of making the offer and the Purchaser accepted these defects to be to his / her / their SATISFACTION and submitting a “voetstoots” offer based on the INSPECTION. Taking the CPA of 2008 into account the term “as is” refers that the Seller DISCLOSES the immovable property is not NEW, PART OF AN INSOLVENT ESTATE, AND SOLD IN A “AS IS” condition. In layman terms the Seller DISCLOSES the condition of the property “as is” when INSPECTED by the Purchaser that it is not NEW, INSOLVENT and the Purchaser acknowledges the disclosure thereof.

  • How do I view a Property?

Bear in mind that these are Insolvent Estates and not even the Trustee or Creditor can access all immovable properties. Cilliers Auctioneers does not accompany any Prospective Purchaser to any immovable property as our properties are scattered throughout South-Africa. The main reason for not accompanying Prospective Purchasers is to avoid making statements or promises regarding the property that could be taken up as a guarantee, implied warranty, false advertising or direct influence to make a certain offer. It is the PREFERRED METHOD for Prospective Purchasers to INSPECT AND VIEW any immovable property at LEISURE to ensure a thorough inspection is done. Where access is available, or guards placed a Facilitator will arrange for a Prospective Purchaser to gain access. NOTE that Cilliers Auctioneers will never guarantee access nor vacant access even though appointments are arranged. Many of our Prospective Purchasers prefer trying to gain access to immovable properties we do not have access to. Alternatively offers “subject to viewing” can be made until access is eventually established. Most of Cilliers Auctioneers immovable properties are accessible but no guarantees are made.

  • Who effects transfer?

All transfers involving Insolvent Estate immovable properties are affected by the transferring attorneys of the SELLER and once an offer is accepted, inform both Cilliers Auctioneers and the Purchaser who is appointed.

  • What are the transfer costs?

Transfer costs as well as transfer duties and other applicable costs can be obtained through our external links or on-site calculator. These are estimates and not specified amounts as to give Prospective Purchasers and indication regarding costs.  Where VAT is applicable transfer duty falls away and VAT at 15% becomes applicable. VAT vendors can claim back the VAT.

  • How long does transfer take?

Once an offer is accepted and officially signed by the Trustee instruction is given to the transferring attorneys. The transferring attorneys then obtains the necessary clearance figures and other outstanding figures and costs as to pay all outstanding amounts up to date. Other tasks include obtaining signatures from Co-Trustees as well as the of Purchaser / s. In most cases Insolvent transfers can take the same time as Private Sales BUT is not guaranteed due to Insolvent nature of any given Estate.

  • Can I nominate a Purchaser?

Any Prospective Purchaser is entitled to nominate another person or entity when submitting an offer. This should be done according to the clauses stipulated in the Deed of Sale which are easy to understand.

  • Why Must I obtain Certificates?

Referring to the collective group of terms under Acceptance namely DELIVERY, OCCUPATION AND RISK. This is an Insolvent Estate and therefore the Insolvent cannot provide a valid Certificate of Compliance [COC] concerning the electrical installation and passes to the Purchaser to obtain the same. The COC must be obtained before registration can be affected. The same is applicable regarding Free of Infestation certificates which is applicable to immovable property located in Coastal Provinces.

  • How Do I obtain A Loan?

Cilliers Auctioneers will always advise a Prospective Purchaser to arrange to see his / her / their Bank Manger or Broker to assist in getting clarity whether the Purchaser will have a sufficient credit score should an offer be accepted. Alternatively, a Prospective Purchaser can utilise a reputable Bond Originator or use our External Link tab for further assistance. Should an offer be accepted the Purchaser has thirty days [30] from date of signature to obtain a suitable guarantee from any reputable financial institution.