A FRAMEWORK FOR ASSET TRANSFERS

Abstract

The processes used to transfer immovable property from a seller to a buyer in South Africa are outdated and not digitised. Paper-based documents increase the risk of fraud and misrepresentation. This study considered the implementation of a cloud-based centralised database for property supply chain partners to enhance transparency, turnaround times, and security while minimising risks and costs. Digitalised property processes would result in title deeds’ dematerialisation and not merely the automation of the paper-based system. This qualitative study was exploratory, and semi-structured interviews were conducted with role-players involved with property transfers in South Africa. These included the South African Reserve Bank, the Department of Agriculture, Land Reform and Rural Development, the Law Society of South Africa, mortgage originators, The Banking Association, the Department of Home Affairs, the Registrar of each Deeds Office, the Surveyor General’s office, municipalities, software companies, National Treasury, South Africa’s Central Securities Depository (Strate Ltd), and the Tshwane Mettropolitan Municipal Council. Keywords: Supply chain, Supply chain management, Land administration, Risk management, Payments systems, Information technology, Records management, Dematerialisation