Thinking about transferring property to your spouse in South Africa? This guide outlines the different methods, legal requirements, and tax implications involved. If you're ready to discuss your options with a qualified conveyancing attorney, use the tool below to find experienced professionals near you in Cape Town.
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How to transfer property from husband to wife
In South Africa, transferring property from a husband to a wife typically involves a legal process that may vary depending on the specific circumstances and the type of property being transferred. It's crucial to follow all legal procedures and requirements to ensure a smooth and legally valid property transfer. Here's a general overview of the steps involved:
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Consultation with a Legal Professional: It's advisable to consult with a qualified legal professional, such as a conveyancer or attorney, who specializes in property law. They can provide guidance on the transfer process, legal requirements, and implications; and protect the interests of both parties involved. Be sure to obtain a quote for the property transfer before you meet up.
Get transfer quoteBy getting a transfer quote you can find out exactly what property transfer costs would be involved.
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Drafting a Sale Agreement or Donation: Depending on the nature of the transfer, a sale agreement or a donation agreement may need to be drafted.
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If the property is being sold, the sale agreement will outline the terms of the sale, including the purchase price and any conditions.
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If the property is beng donated, the donatIon agreement will specify that the property is being transferred as a gift.
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Execution of Transfer Documents: The necessary transfer documents, such as a deed of sale or donation, need to be prepared and signed by both parties. These documents will include details about the property, the parties involved, and any conditions or obligations.
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Payment of Transfer Costs and Taxes: Transfer costs, including transfer duty or VAT, may apply depending on the value and nature of the property transfer. It's essential to ensure that all applicable taxes and fees are paid in accordance with South African law.
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Registration of Transfer: The transfer of ownership must be registered with the relevant authority, typically the South African Deeds Office. This involves submitting the required documents and paying any registration fees. Once the transfer is registered, the wife will become the legal owner of the property.
Email us for a free estimate of what it would cost to transfer a property to your spouse.
Tax considerations for spouses transferring property
When transferring property ownership between themselves there are several types of tax which may be triggered:
- Transfer duty
- Donations tax
- Capital Gains tax
- Income tax
- Estate duty, if bequeathing the property
Transfer duty for spouses transferring property
Transfer duty is calculated against the higher of the market value and the sale price.
- If the transfer from one spouse to another is not as a result of a divorce order instructing it, then the spouse acquiring property is responsible for paying the transfer duty.
- If the transfer from one spouse to another is in terms of a validly worded divorce order, then transfer duty is not payable.
Donations tax for spouses transferring property
If the property is sold at a value below market value, then the difference between the market value and the sale price may be considered a donation. At the time of writing up to R100,000 property donations were allowed tax free per tax year, with the excess being taxed at a rate of 20%.
However, category one donations are completely exempt from donations tax; and a donation by one spouse to another spouse is a category one donation.
Capital Gains Tax for spouses transferring property
Section 9HB of the Income Tax Act sets out how the taxation works when property (or any other asset) is transferred between spouses. If the spouse who is disposing of the property (ie transferring it to the other spouse) is South African, then there is a roll-over of a capital gain or loss when the property is transferred between spouses; this means that the payment of capital gains tax is deferred until the receiving spouse eventually disposes of the property. The rollover/deferrment of capital gains/losses is not optional. The disposal is effectively deemed to have taken place at the base cost of the property/asset (usually this is the amount the property was originally purchased for).
Usually when you sell property capital gains tax is calculated based on the difference between the sale price and the orginal purchase price. Howeve, if SARS believe the transaction was between connected people, such as family, they will use the market value at the date of sale, and not the sale price. If the property is your primary residence, then some of the gain is exempt from capital gains tax (otherwise none is exempt).
Income tax for spouses transferring property
The receiving spouse needs to consider whether receiving the property constitutes part of their “gross income” and thus whether income tax is applicable. Donations are usually considered to be capital in nature; thus not part of "gross income" and not subject to income tax.
Gifting vs Bequeathing : Estate duty
An alternative to donating the property to your wife is to bequeath the property to her in your last will and testament. You will want to careful weigh up the different tax implications of the two approaches (e.g. whilst there is no transfer duty applicable on a property inherited from a a deceased estate, there may be estate duty). Note that estate duty is calculated on the entire estate, not just the property value. At the time of writing estate duty was :
- "An abatement of R3.5 million is allowed against the net value of the estate to determine the dutiable value of the estate."
- 20% on the first R30m of the dutiable value of an estate, and
- 25% for dutiable value above R30m.
Usufruct vs Outright sale
An alternative to an outright sale is to provide your wife with a lifetime usufruct, providing her with the rights to live in the property until her death, with ownership reverting to the bare dominium holders after her death. This has its own set of tax and cost implications. If you would like your children to ultimately inherit the property once your wife passes, you would make them the bare dominium holders.

Property Buy/Sell/Transfer/Usufruct
FAQ on cashless property transfers
- How do you transfer property from one person to another (without them having to pay for it)?
- In South Africa, transferring property as a gift involves specific steps. The donation agreement must specify that the property is being transferred as a gift. The deed of donation should outline the intent to gift the property, including details of both parties and the property itself; and be signed by both parties involved. If the property has a mortgage, the lender may need to consent to the transfer. Transfer costs, including transfer duty or VAT, may apply depending on the value and nature of the property transfer. The transfer must be registered at the Deeds Office by a conveyancing attorney. Be sure to inform the municipality about the change in ownership for rates and taxes. It's strongly recommended to consult a conveyancer and tax expert to navigate this process smoothly.
- Can I sell my house to my son/daughter at a reduced price?
- Yes, you can sell your house at a price which is lower than fair market value, but there may be tax implications which you're not aware of. SARS may insist that transfer duty be paid on the full fair market value. There is also capital gains tax (CGT) and donations tax. The CGT will also depend on whether the house is your primary residence. If the fair market value is greater than the sale price the transaction may be seen to be a gift, with donations tax applicable to the difference. If your son is borrowing money to finance the purchase a formal valuation may be required for this purpose. Be sure to consult a tax expert first, who will be able to advise you based on the specifics of your situation.

Property transfer & sale Info
Sellers of property & buyers, speak to a property lawyer before you hire an estate agent!
- The property transfer process in South Africa - protect your interests.
- Conveyancing lawyers in Cape Town.
- Transfer costs calculator for property anywhere in South Africa.
- Can I negotiate transfer costs?
- Transfer attorney fees
- Fixed fee conveyancing in South Africa. Possible?
- Understanding the various conveyancing costs.
- Conveyancing quote
- New conveyancing fees from 27 May 2024
- Deeds office fees 29 Feb 2024.
- Law Society conveyancing fees 2023
- Law Society conveyancing fees 2024
- Conveyancing fees 2025
- Transfer Duty calculator
- Deceased estate property transfer costs
- Deeds Registeries Act.
- Servitudes
- Usufruct Agreement on Property in South African law.
- Usufruct value calculator (only one in South Africa)
- Usufruct Agreement on Property in South African law.
- Land conveyancing
- Transfer attorney vs bond attorney.
- Commercial Property:
- Marriage/Divorce-related:
- How to transfer property from husband to wife (or vice versa); whilst still married (ie not getting divorced).
- "Protection" of fixed property using a trust.
- Conveyancers conduct the transfer of property ownership from one spouse to another (or to a third party, if relevant).
- Liquidator to sell property & divide proceeds as part of divorce.
- Property sales
- Use conveyancer to guide your private property sale.
- Instead of using real estate agents rather use professional lawyers to sell your property.
- Urgent house sale.
- How to check whether an estate agent is licensed.
- Example of a property sales agreement.
- FLISP Housing subsidies.
- Property practitioner's Act.
- Code to guide conduct of property practitioners.
- Property purchases
- Terminology
- Arranging lodgement
- Compliance certificates
- Conveyancer's certificate
- Deed of Sale
- Deeds officer examiner
- Existing bonds
- FICA documents
- Levy clearance certificate
- Offer to purchase
- Property sale agreement
- Property search
- Rates clearance certificate
- Statement of account
- Suspensive condition
- Title deed
- Transfer documents
Conveyancing & property transfer discussion forum
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