When South African sellers talk about their sale price, they are almost always talking about the wrong number. The figure that matters — the one that will actually land in your account — is your net proceeds. In most cases, it is significantly lower than the headline price.
This guide explains every deduction between your sale price and your net proceeds, and gives you a free calculator to see your own number before you commit to anything.
Sale price vs net proceeds: the gap most sellers don't see
On a R2.5 million property with a R1.1 million bond, here is a realistic breakdown of what happens to your money:
The seller in this example receives R1,189,937 — not R2.5 million, and not even R1.4 million. Total deductions come to just over R1.31 million. Most of that is the bond (which they owe regardless), but R210,000 of it is selling costs alone.
This is not unusual. It is what selling a house in South Africa actually costs.
How to calculate your own net proceeds
Your net proceeds calculation has six components:
1. Sale price Your agreed selling price. This is your starting number.
2. Estate agent commission Typically 5%–7.5% of your sale price, plus 15% VAT on top of that. At 5.75% + VAT, the all-in rate is 6.6125% of your sale price. On R2.5M that is R165,313. This is negotiable before you sign the mandate — commission rates are not regulated in South Africa.
3. Outstanding bond balance However much you still owe the bank. This is repaid to the bank at transfer from your sale proceeds. Check your most recent bond statement or log into your bank's app for the current balance.
4. The 90-day early settlement penalty Most home loan agreements require 90 days' written notice before early settlement. When you sell, transfer typically completes within 6–12 weeks — before the 90-day window closes. The bank then charges a penalty equivalent to 90 days' interest on your outstanding balance.
How to avoid this cost: Give your bank written notice the day you accept an offer. If transfer completes after 90 days, the penalty does not apply. Even if it does not eliminate the charge entirely, earlier notice reduces it.
5. Bond cancellation attorney fees Your bank appoints an attorney to cancel the bond once the property transfers. You pay these fees. Under Law Society guidelines, bond cancellation fees on most residential properties are between R3,500 and R5,500.
6. Compliance certificates You are legally required to provide an electrical compliance certificate (COC) before transfer. Depending on your property and municipality, you may also need plumbing, gas, electric fence, or beetle-free certificates. Budget R500–R1,500 per certificate — and note that repair costs to pass inspection are separate from, and often larger than, the certificate fee itself.
What the buyer pays (not you)
It is a common misconception that sellers pay transfer costs. They do not.
| Cost | Who pays |
|---|---|
| Transfer duty (or VAT) | Buyer |
| Transfer attorney fees | Buyer |
| Bond registration fees | Buyer |
| Estate agent commission | Seller |
| Bond cancellation fees | Seller |
| Compliance certificates | Seller |
| 90-day penalty | Seller |
Transfer duty in particular is a significant cost for buyers — on a R2.5 million purchase it comes to R63,786 under the current 2026 rates. It does not reduce your proceeds.
Why most sellers underestimate their costs
The three most commonly underestimated costs in Zettl's data are:
The 90-day bond penalty. Many sellers have never heard of it until their bond attorney mentions it. On a R1 million bond, it typically costs R27,000–R31,000. On a R2 million bond, it is double. Giving written notice to your bank immediately when you accept an offer is the simplest way to reduce or eliminate it.
The VAT on agent commission. Commission is quoted as a percentage — but VAT of 15% is added on top. A 5.75% commission rate is actually a 6.6125% all-in cost. The difference on a R2.5 million sale is almost R22,000.
Compliance repair costs. An electrical certificate costs R500–R1,500. But if the electrician finds non-compliant wiring, outdated distribution boards, or missing earth leakage protection — the repairs can cost R5,000–R30,000 on an older property. Commission the certificate inspection before listing so you can price in these costs.
Use the free Zettl calculator
Rather than working through these figures manually, use Zettl's seller tools to enter your specific numbers and see a full, itemised net proceeds breakdown. The calculator uses:
- Current LSSA conveyancing fee scales
- Your actual bond balance (you enter this)
- Your negotiated commission rate
- Live prime rate for the 90-day penalty calculation
No account required. No agent will contact you. Results are yours to keep.
Run the calculator before you set your asking price — not after you accept an offer. Knowing your net proceeds figure in advance lets you negotiate from a position of clarity, and decide whether the deal makes financial sense before you commit.
Frequently asked questions
What is a net proceeds calculator for property?
A net proceeds calculator works out the amount you will actually receive after selling your property, once all selling costs have been deducted. These costs include estate agent commission, bond settlement, cancellation fees, the 90-day early settlement penalty, compliance certificates, and rates clearance.
How do I calculate my net proceeds in South Africa?
Start with your sale price. Deduct: agent commission + VAT, your outstanding bond balance, bond cancellation fees (R3,500–R5,500), the 90-day penalty if applicable, and compliance certificate costs. The remainder is your net proceeds. Use the Zettl calculator to do this accurately with your specific figures.
Why is my net proceeds so much lower than my sale price?
Because selling costs are substantial. On a R2.5 million property with a R1.1 million bond, deductions typically total R300,000–R350,000 — mostly the bond balance, but with significant selling costs on top. The 90-day penalty alone can add R25,000–R60,000 depending on your bond size.
Is Zettl's net proceeds calculator free?
Yes. Completely free, no account required, and no agent will contact you unless you explicitly opt in. See our privacy policy for details.
- Start with your agreed sale price
- Deduct agent commission at your negotiated rate, plus 15% VAT on that commission
- Deduct your outstanding bond balance (check your latest statement)
- Deduct the 90-day early settlement penalty — give written notice to your bank today to reduce this
- Deduct bond cancellation attorney fees (R3,500–R5,500 typical)
- Deduct compliance certificate costs — and budget for potential repair costs too
- The remainder is your estimated net proceeds
Calculate your number at zettl.co.za — free, private, no agents.