How to navigate exchange control and more when buying SA property
Foreign nationals living and working in South Africa, whether on work permits, retirement visas, investor permits or as digital nomads, are often caught off guard by the country’s complex exchange control rules. The challenges can be even greater when it comes to selling a property and transferring the money out of South Africa.
You might have entered South Africa legally, found the perfect home or investment property, and opened a bank account. Yet when it’s time to pay for the property or later sell and move your funds out, you hit a wall of red tape.
Understanding the rules: What is exchange control?
South Africa operates one of the world’s most tightly regulated foreign exchange systems, overseen by the South African Reserve Bank (SARB). The aim is to:
Monitor currency inflows and outflows
Prevent illegal capital flight
And ensure tax compliance
Authorised Dealers (mostly commercial banks) enforce these rules, and as a registered forex intermediary, Sable International works directly with them to ensure your property-related transfers are processed smoothly and compliantly.
Understanding residency status and its forex impact
Many property buyers assume that having a valid visa or owning property in South Africa means they can move money in and out without restrictions. In reality, exchange control regulations differ depending on your residency status:
Residents are South African ID holders who are subject to specific exchange control allowances and requirements.
Bona fide non-residents refer to anyone not born in South Africa who resides in the country on a temporary basis and has not obtained permanent residence or a South African ID.
If you are a non-resident, the bank will apply stricter rules to your property transaction, especially when you sell and want to repatriate the proceeds.
Funds in: Buying a property
As a foreign national, you can bring money into South Africa freely to purchase property, but it is advisable to ensure the following:
The transfer is made from an offshore account in your name.
The transfer is made into a South African account in your own name.
The receiving bank records the funds as a capital introduction.
You keep proof – the SWIFT confirmation from your offshore bank and the inward funds receipt from your South African bank.
If the funds are not properly recorded, you may have difficulty transferring them out of the country when you sell the property.
Funds out: Selling a property
When you sell your property as a non-resident, you can repatriate the sale proceeds (the original purchase price plus any investment return or capital gains) only if:
The purchase funds were correctly introduced and recorded at the time of purchase.
You can produce the original proof of inward transfer.
You have complied with all SARS and SARB requirements.
Without a record of the inward funds, banks cannot verify that the proceeds are eligible for repatriation or transfer, which means you could be forced to keep the funds in South Africa.
The number 1 problem for foreign property buyers
By far the most common issue is no record of capital introduction. If your purchase funds are not properly documented, the bank will treat the sale proceeds as non-repatriable.
The solution? Always keep:
The SWIFT transfer confirmation from your offshore bank
The inward funds receipt from your South African bank
This simple step is your “ticket out” for the funds later.
How Sable International helps property buyers and sellers
We are industry experts with more than two decades of experience, specialising in private and corporate forex solutions.
We can:
Correctly classify your Exchange Control status before the transfer.
Open a bank account for non-residents in your name.
Liaise with banks to ensure your purchase funds are properly recorded.
Maintain a clear audit trail for future repatriation.
Assist with property sale proceeds transfers – avoiding unnecessary SARB delays.
Advise on pre-sale planning so you can move funds without surprises.
Protect your investment before you buy
For foreign nationals, buying property in South Africa is more than just a real estate transaction – it is also a compliance process. Get it wrong at the start, and you could face significant challenges when it comes time to sell and transfer your funds abroad.
At Sable International, we have helped thousands of clients secure their property purchases, protect their sale proceeds, and navigate South Africa’s forex red tape with confidence.
Contact our forex team on saregistrations@sableinternational.com or give us a call on +27 (0) 21 657 2160 to ensure your purchase is compliant from the outset and to protect your ability to move your money freely in the future.