Rates Clearance Certificate — How to Apply at Your Municipality
A rates clearance certificate is an official document issued by a municipality confirming that all municipal charges — including rates, electricity, water, refuse, and sewage — on a specific property have been paid up to date. You need a rates clearance certificate before a property transfer can be registered in the Deeds Office. Without it, the transfer cannot proceed. This guide explains what it is, when you need it, how to apply, and how long it takes.
When Do You Need a Rates Clearance Certificate?
- When selling or transferring ownership of a property — the conveyancer (transfer attorney) requires it.
- When donating property to another person.
- When property is inherited and ownership must be transferred to heirs.
- When a property is sold in execution (forced sale).
- Note: you do not need a clearance certificate for renting a property or changing the account holder name only.
How to Apply for a Rates Clearance Certificate
- Contact your municipality — visit the Revenue or Rates department at a customer service centre.
- Request a 'clearance figures' letter — this shows the total amount owed to bring the account up to date, including any future charges for the next 60–90 days.
- Pay the full amount stated in the clearance figures letter (including any advance amounts for upcoming months).
- Submit proof of payment to the municipality's Revenue department.
- The municipality will process and issue the Rates Clearance Certificate (also called a Certificate of Municipal Clearance).
- The certificate is then given to the conveyancer, who submits it to the Deeds Office to complete the property transfer.
Documents Needed
- South African ID of the current property owner (or executor/administrator if an estate).
- Title deed or Deeds Office search confirming ownership.
- Municipal account number (shown on your monthly account statement).
- Proof of payment once the clearance figures have been settled.
- Some municipalities require a completed application form — ask when you visit.
Fees and Processing Time
Municipalities charge a fee to issue a rates clearance certificate. The fee varies by municipality — typically R150–R500. This is separate from any outstanding rates you need to pay.
Processing time is typically 5–14 working days after all payments have been confirmed. Some municipalities offer an express service for an additional fee.
The clearance certificate is typically valid for 60–90 days — if the transfer is not completed within this period, you will need a new certificate.
A clearance certificate will not be issued if there are any outstanding amounts on the municipal account. Ensure all accounts for the property are settled before applying.
What If There Are Arrears?
If the property account has outstanding arrears, you must settle the full amount — including arrears, current charges, and advance charges — before the municipality will issue the clearance certificate.
In some cases, the seller and buyer can negotiate for the arrears to be settled from the sale proceeds. The conveyancer typically manages this process.
Historical bulk arrears can sometimes be negotiated with the municipality — contact the Revenue department to discuss a settlement arrangement.