Four law firms share valuable insight into their respective fields of legal expertise.
Bio: Karien founded AMC Hunter Inc. in 1987 as a young attorney and mom. Nearly four decades later, alongside Co-Director Saijal Pale, the boutique firm continues to specialise in conveyancing. With a loyal staff and her daughter-in-law, Camen, now on the team, they support South Africans in building generational wealth through secure and efficient property transactions.
Misconceptions About Conveyancing
Many people see conveyancing as just paperwork. Our role is to ensure that once a property is registered, your ownership is secure and cannot be challenged; that’s the real safeguard of conveyancing.
What clients often don’t realise is that a property transfer involves three processes running in parallel: the transfer of ownership, cancellation of an existing bond, and registration of a new bond. This requires multiple law firms, coordination with banks, municipalities, and the Deeds Office.
There are also misconceptions about costs. Most expenses relate to transfer duty, Deeds Office fees, and VAT, with conveyancers’ fees forming only a small portion. Another common myth is that when a property is bonded, the bank “owns” it. In reality, the purchaser is the registered owner; the bank simply holds the title deed as security.
What Every Seller Should Know
Signing a sale agreement is not just a formality; it has real consequences. For most people, it’s the biggest financial transaction of their lives. That’s why it is vital to consult your conveyancer before you sign on the dotted line.
If something you discussed and agreed upon is not on the contract, it doesn’t exist, and that is a red flag. Sellers should also understand that once the agreement is signed, it sets in motion the legal process to transfer ownership, with binding obligations on both sides.
Check the condition of the property upfront. Most sales are “voetstoots,” meaning you buy the property as it stands, with little recourse to the seller afterwards.Finally, remember that you cannot buy property in a trust that is still ‘to be formed’ – the trust should be in place before you purchase and you need to carefully consider adverse tax consequences of purchasing property in a trust.
Advice for First-Time Buyers
Our strongest advice is to get onto the property ladder as early as possible. Property remains one of the best ways to build wealth because of the principle of gearing. Here’s an example: if you put down a R100,000 deposit on a R1 million home and later sell it for R1.1 million, you’ve effectively doubled your money; it’s a 100% return on your initial investment.
You can use your property as security to borrow money for other opportunities, such as starting a business, upgrading to a more valuable home, or acquiring additional properties for rental income.
Buying young means building generational wealth for yourself and your family, securing a stable asset that grows in value over time. With the right guidance, your first purchase can become the foundation for long-term financial security.
Tel: 032 946 1805
Website:www.amchunter.co.za
