Joubert Galpin Searle (JGS) has introduced a new fixed-fee conveyancing model aimed at making the cost of property transfers simpler, more transparent and more accessible for South African property buyers and sellers.
The new model challenges the traditional approach of professional transfer fees increasing in line with the value of a property, replacing it with four clearly defined fixed-fee bands.
The initiative follows approximately eight to ten months of market research, industry consultation, financial modelling and internal discussion by JGS.
According to JGS Managing Director Warren Parker, the starting point was not simply how the firm could charge less, but whether the traditional pricing model continues to meet the needs and expectations of today’s property consumer.
“Buying or selling a property is one of the biggest financial transactions most people will undertake. There are already a number of costs associated with that process, and we believe professional legal fees should be clear and predictable from the outset.”
Four clear fee bands
Under the new JGS model, professional transfer fees are fixed according to four property-value bands:
- Below R1.2 million — R10,000
- R1.2 million to below R3.5 million — R15,000
- R3.5 million to below R10 million — R25,000
- R10 million and above — R35,000
The published professional fees exclude VAT, FICA and disbursements and are subject to applicable terms and conditions.
Depending on the property value, the model can represent a significant saving against prevailing guidelines for professional fees of this nature.
For JGS, however, the initiative is as much about certainty and transparency as it is about saving money.
“Consumers increasingly expect to know what a service will cost before they use it,” Parker says. “We believe property buyers and sellers should be afforded that same clarity when it comes to professional transfer fees.”
Lower fees. The same professional standard.
Parker is also clear that reducing professional fees does not mean reducing the quality of the legal service provided.
“Lower cost should never be confused with inferior service. We haven’t created a lower-cost version of our conveyancing service. We’ve changed the way we price it.”
JGS is approaching its centenary in 2028 and operates seven specialised legal divisions. Its conveyancing division includes experienced conveyancers and conveyancing paralegals and acts in property transfers as well as mortgage bond registrations for major financial institutions.
The new pricing model therefore does not change the professional team, systems or standards applied to a transfer.
“We’ve looked at the efficiencies available to a modern, diversified legal practice and asked how some of that benefit can be passed on to the client,” Parker says.
Putting buyers and sellers at the centre
The initiative also forms part of JGS’s broader commitment to the Eastern Cape community as the firm approaches 100 years since its establishment in Port Elizabeth in 1928.
JGS believes businesses can give back not only through sponsorships and community initiatives, but by looking critically at their own services and asking where they can make a meaningful difference.
This is particularly relevant in the property market, where buyers may need to accommodate a range of costs over and above the purchase price.
“We can’t influence interest rates, property prices, taxes or statutory charges,” Parker says.
“But we can control what we charge for our professional service. That’s where we’ve chosen to make a difference.”
While the model offers an obvious benefit to buyers, JGS believes greater certainty around transaction costs can also benefit sellers, estate agents and other property practitioners.
When costs are transparent from the outset, they become easier to explain, anticipate and accommodate within a property transaction.
Starting a broader conversation
JGS acknowledges that departing from a long-established pricing convention is likely to stimulate discussion within the legal profession.
Parker welcomes that conversation.
“This isn’t about criticising how another practice chooses to operate. Different firms have different structures and commercial realities.”
“What we’re saying is that this model works for JGS and allows us to offer something we believe provides meaningful value to the consumer.”
And if the initiative encourages greater innovation, transparency and competition across the sector, Parker believes that should ultimately be viewed positively.
“If doing things differently results in buyers and sellers receiving greater value, greater certainty and excellent professional service, then ultimately the consumer wins. We believe that’s good for the property market and good for the profession.”
