First-time home buyer costs in South Africa (2026/27)
Figures for the 2026/27 tax year. Prime rate checked 2 October 2026; tax tables and fees checked 30 September 2026. By AfroTech.
The price of the home is only part of what you need. Even with a 100% bond, you pay transfer and bond registration costs in cash, and you need an income the bank will accept. Here's the full picture at today's prime rate of 10,75%.
Cash you need on top of the price
| Home price | Transfer duty | Transfer and bond costs | 10% deposit (optional) |
|---|---|---|---|
| R 800 000 | R 0 | R 64 141 | R 80 000 |
| R 1 000 000 | R 0 | R 74 293 | R 100 000 |
| R 1 500 000 | R 8 700 | R 98 005 | R 150 000 |
| R 2 000 000 | R 33 786 | R 132 843 | R 200 000 |
Transfer and bond costs include transfer duty, both attorneys' fees with VAT, Deeds Office fees, a typical bank initiation fee and estimated disbursements.
There's no transfer duty on a home up to R 1 210 000, which helps many first-time buyers. You still pay the attorneys' and Deeds Office fees.
The income you need
Banks generally keep your bond repayment below about 30% of your gross monthly income:
| Home price (100% bond) | Repayment over 20 years | Income needed |
|---|---|---|
| R 800 000 | R 8 122 | R 27 073 |
| R 1 000 000 | R 10 152 | R 33 841 |
| R 1 500 000 | R 15 228 | R 50 761 |
| R 2 000 000 | R 20 305 | R 67 682 |
At prime (10,75%). Other debt, such as car finance, reduces what the bank will lend.
Does a deposit help?
Many banks offer 100% bonds to first-time buyers, but a deposit of 10% or more usually gets you a lower interest rate, a smaller repayment, and a better chance of approval. Even a small deposit reduces the interest you pay over the life of the loan.
Other costs people forget
- Moving and connection costs: removals, a new prepaid electricity meter or municipal deposit.
- Insurance: the bank requires homeowner's (building) insurance, and may ask for life cover.
- Monthly costs: rates and taxes, and levies in a complex or estate.
Try it with your own numbers. The ZARWise calculator uses the same figures as this page.
Work out the costs for your home