South African Visas

For a foreigner looking to visit South Africa short term, a simple visitor visa is available, offering visits of up to 90 days. For longer-term stays, there are a variety of options available which grant sufficient time to work, do business, or retire. The most relevant to our members are addressed below:

• GENERAL WORK VISA

Issued to foreigners to seek employment within South Africa, in the event that there is not a qualified South African candidate to fill the employment needs. The general work visa is valid for the duration of the employment contract, or up to a period of 5 years.

• CRITICAL SKILLS WORK VISA

Allows foreigners to work in South Africa within a specific occupation or sector, when there is not another qualified South African candidate to meet those employment needs. The critical skills visa is issued for a period of up to 5 years. For the full list of Critical Skills, click here.

• BUSINESS VISA

Available to foreigners who are seeking to invest or do business in South Africa, or to invest in an existing South African business. A minimum capital investment may be required, depending on the industry. 

• STUDY VISA

Issued to foreign students who wish to study in South Africa, upon the notice of provisional acceptance into a learning institution. The study visa is issued for the duration of intended study.

• RETIRED PERSONS VISA

Available to foreigners who are seeking to retire in South Africa, and have a steady income source from pensions, annuities, or other assets, in the amount of R37,000.00 or more per month. This visa is issued for a period of up to 4 years.

For more details on the requirements for each type of visa available, visit the Department of Home Affairs.

Permanent Residency

Foreigners who are looking to relocate to South Africa indefinitely should consider applying for a permanent residency permit. To do this, a long-term temporary residence visa is required. Permanent residency cannot be obtained by a foreigner in possession of a short term tourist visa.

Permanent residency in South Africa is possible through the following avenues: 

• A person who intends to invest in an existing South African business, or will establish and invest in their own.
• Retired persons may be able to gain citizenship if they can show that they receive pensions or irrevocable annuities for the rest of their life.
• High net-worth foreigners may be able to obtain permanent residency if they are able to show a net worth of R12M or more, and pay a fee upon approval.
• Foreigners who have resided in South Africa for the past 5 consecutive years under a work visa as eligible to apply for residency if they have a permanent job offer from a South African company.
• Foreigners who have at least 5 years of work experience in certain industries from healthcare, to engineering, to various trade skills, etc. and are working in South Africa under a critical skills work visa, may be eligible to apply for permanent residence in South Africa. 
• Children (under age 21) of a South African permanent resident are eligible to apply for residency; Children (any age) of a South African citizen are eligible to apply for residency
• The spouse or life partner of a South African citizen or permanent resident can apply for residency after being married for at least 5 years

Obtaining Citizenship

To become a citizen in South Africa, one would need to apply via the South African Embassy in their country of residence or through an immigration agent. After having worked and lived in South Africa for 5 years, a foreigner may apply for a permanent residence. After an additional 5 years, they will qualify for citizenship.

If you need further assistance with your residency or citizenship needs, it is recommended that you consult with an immigration attorney who can advise you on South African law, and which avenue would best suit your needs.

For all of your residency & citizenship needs, reach out to Eisenberg & Associates Law Firm in Cape Town, South Africa.

Eisenberg & Associates
Gary Eisenberg
+27 21 421 7003
Email | Website

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its affiliates do not recommend or endorse the contents of the third-party sites.

Healthcare

Healthcare in South Africa is administrated by the Department of Health. Around 80% of the population uses public healthcare, with the wealthiest 20% opting for private healthcare. South Africa operates a two-tier healthcare system, with a large subsidized public sector, and a smaller but high quality private sector. The private sector is well funded, with the best specialists practicing here, causing a major gap between public and private healthcare facilities throughout South Africa. Therefore, while reduced cost healthcare is offered to lower income earners in the public sector, it is highly recommended for expats to hold private healthcare insurance. 

Private Health Insurance

Private healthcare insurers within South Africa can offer access to comprehensive medical care for individuals and families. Research coverage, premiums, and reviews on claims processing from some local providers:

• Discovery Health
• Affinity Health
• Alexander Forbes
• Momentum
• Hippo

International Health Insurance

International insurance is a good option for non-residents visiting or relocating to South Africa, as it offers private health benefits and emergency evacuation coverage if the need presents. There are many international health insurance providers to consider. Research coverage, premiums, and reviews on claims processing from some top providers:

• Cigna Global
• Aetna International
• GeoBlue Global
• NOW International
• Allianz Care

South African School System

When selecting a school for your loved ones, some considerations may include costs, teachers, books and technology, curriculum, extracurricular activities, meals, transportation options, and proximity to home. Many expats send their children to private international schools, and there are many to choose from throughout South Africa. Homeschooling is also an option and is permissible in South Africa.

The South African education system is overseen by the Department of Basic Education (DBE) and the Department of Higher Education and Training (DHET). The DBE governs all schools from Grade R to Grade 12, and adult literacy programs, while the DHET governs universities, and other post-school education and training. Basic education is divided into the foundation phase, intermediate phase, senior phase, and further education & training phase. Grades 1-9 are required, and 10-12 are optional. 

Foundation Phase (Grades R – 3)

The following are the four identified subjects to be taught in Grades 1-3 of the Foundation Phase:

1. Home Language
2. First Additional Language
3. Mathematics
4. Life Skills (Beginning Knowledge, Arts and Crafts, Physical Education and Health Education)
   
   

Intermediate Phase (Grades 4 – 6)

The following are the six identified subjects:

1. Home Language
2. First Additional Language
3. Mathematics
4. Natural Sciences (including Technology)
5. Social Sciences; and
6. Life Skills (Creative Arts, Physical Education and Religious & Moral Education)

Senior Phase (Grades 7-9)

A student in the Senior Phase must select from the following subjects:

1. Languages
2. Mathematics
3. Life Orientation
4. Natural Sciences
5. Social Sciences
6. Technology
7. Arts and Culture
8. Economic Management Sciences.

Further Education & Training Phase (Grades 10-12)

A learner in Further Education and Training must select the following 4 required subjects:

1. 2 of the 11 official languages
2. Mathematics or Mathematical Literacy
3. Life Orientation
4. A learner must also select a minimum of any 3 subjects selected from a list of optional subjects

Relocating your Belongings

Relocating abroad can offer the chance to downsize personal belongings, and start anew. But for the items that you are just unable to pack or part ways with, there are options. 

Air freight

Air freight is quick, taking just a few days for arrival, but is the most expensive option due to the cost of transporting bulk items via aircraft. Air freight is often used for lighter and more expensive items that are time sensitive, such as pets and livestock.

Sea freight

Ocean freight is the most common form of shipping goods overseas, but the process can take a few weeks for arrival, so timing should be taken into account. Goods ship in 20 or 40 ft sea cans, and you will need to arrange for transport from the port to your destination.

Relocating with Pets

Relocating to South Africa with pets is possible, but certain steps must be followed. In addition to the steps below, check the airline requirements for transporting the pet, and any additional regulations imposed by the country you are traveling from. European countries may also require a pet passport to travel internationally.

Requirements for relocating with a cat or dog:

1. A veterinary import permit is necessary. Instructions are below.
2. Dogs and cats must have a valid rabies vaccination. In the case of the primary rabies vaccination, it must be given less than 12 months prior to travel, and not greater than 30 days before the date on import. In the case of a booster rabies vaccination, it must not be given greater than 12 months before the date of import. (Rabies vaccination is not required for imports from Australia, New Zealand, United Kingdom, British Channel islands, and Northern Ireland, though still advised)
3. Dogs must test negative for the following blood tests prior to travel:
   • Brucella canis (serum agglutination OR rapid slide agglutination test)
   • Trypanosoma evansi (card agglutination test AND Giemsa blood smear)
   • Babesia gibsoni (Immunoflourescence antibody test AND Giemsa blood smear)
   • Dirofilaria immitis (Microfilarial filtration test)
   • Leishmania (Indirect fluorescent antibody OR ELISA OR Direct agglutination test OR Western blot/membrane immunoassay)
4. Preventative treatment: Dogs must be treated with Dirofilaria immitis from the date of negative blood testing until export. See full instructions for required intervals and acceptable medications.
5. All dogs and cats must be permanently identified with a microchip (readable by ISO 11784 or ISO 11785 scanners)
6. Pets being imported into South Africa must be registered as manifest cargo, and cannot fly as excess baggage. Dogs and cats may travel in the cabin with the owner if allowed by the airline, but the pet must be registered as manifest cargo, and the airline staff must take the pets from the owner upon landing to be offloaded from the plane via the cargo terminal.
   
   

To obtain an import permit, the process is as follows:

1. Complete the application form and email or fax it to +27 (0) 12 329 8292
2. Pay the permit fees to the account of the Department of Agriculture (Confirm fees and payment instructions with the Permit Office [email protected])
3. Once Import permit is received, a Veterinary Health Certificate will also be provided to you, which must be certified in English by an authorized veterinarian within 10 days of departure.

Upon arrival into South Africa:

1. Present the following to the South African Veterinary Import Control Officer: 
   • Original Veterinary Import Permit
   • Original Veterinary Health Certificate
   • Any other document specified (Indemnity declaration, Rabies vaccination certificate, etc.)
   • The pre-import tests results for the 5 blood tests
   • Quarantine is not required for pets exported from the United States, Canada, United Kingdom, France, and several other countries (review full document).

Please review the full document with instructions for importing a pet into South Africa. 

Relocation Consultation

The African Diaspora Group offers a wide network of consultancy offices throughout Africa, that will facilitate your visitation or relocation needs. Let our local specialists provide you with the resources that you need for a smooth trip to South Africa. 

Schedule services

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its affiliates do not recommend or endorse the contents of the third-party sites.

Purchasing Land & Property in South Africa

South Africa has one of the most comprehensive property registration systems in the world and there are currently no restrictions on foreign ownership of land in South Africa (although there is a legislative proposal in respect of foreign ownership of farmland).

House prices have been relatively stable in South Africa, with homeownership levels at around 60% of the population. The average national price for an entry-level home (80–140 sqm) is around ZAR 937,000, with an average medium-size house currently costing around ZAR 1,255,000. Despite steady increases in the last year, property prices in South Africa remain relatively low.

Repatriation of Funds

Foreigners can freely purchase and sell property and repatriate the original capital introduced from outside South Africa to make the initial purchase, plus any profit made.

When a non-resident transfers funds from a foreign source into a South African bank account, the bank will issue a record known as a ‘Deal Receipt’. This is an important document. A non-resident will need to submit it to the South African Reserve Bank if and when the property is sold and the owner wishes to return the funds to the foreign country.

Buying property in South Africa

Once you find your ideal property in South Africa, you need to make an offer, normally through a real estate agent ("estate agent"). The estate agent requests a formal letter confirming details of your offer (which can also include prospective completion dates), which then goes to the seller for approval. If the seller agrees to the offer, both sides sign the document. This document becomes the sale agreement.

The seller will then appoint a conveyancer to handle the legal aspects of the transaction. While the seller usually gets to choose the conveyancer, the buyer pays their fees.

The buyer must then submit identification documents to the Deeds Registry to be officially registered as the new owner. The legal process can be time consuming, often running 6-8 weeks.

Once officially becoming the new owner, the remaining balance must then be paid. The conveyancer then delivers the title deed.

Funding a purchase: deposits and mortgages

If financing the purchase of a property, the mortgage lender will conduct a property valuation before lending the money. At times the amount lent is based upon their valuation, rather than the purchase price.

Lenders offer both fixed-rate and variable mortgages, although fixed-rate loans tend to be less popular at the moment as banks offer uncompetitive rates. While mortgages with terms of up to 30 years are available, it’s more common to take out a 20-year mortgage; as a result, the loan will normally be paid off by the age of 70. Most mortgage products in South Africa don’t come with early redemption penalties. As part of the home buying process, you’ll also need to take out building insurance.

Costs of buying property in South Africa

When buying property in South Africa, one will typically pay a transfer duty plus a registration fee and conveyancing fee. Transfer duty is not applicable in all property sales, as it depends on the property price:

• 0%: up to ZAR 750,000
• 3%: ZAR 750,000–1,250,000
• 5%: ZAR 1,250,000–1,750,000
• 8%: ZAR 1,750,000–2,250,000
• 11%: ZAR 2,250,000+

Transfer duty is often paid through the conveyancer at the point of purchase, otherwise it must be paid within 6 months of agreeing to buy the home (not the date of the completed sale). If the transfer duties are not paid on time, the buyer will be subject to interest at 10% per annum each month. Registration fees in the following ranges are also due to finalize the property transfer:

• Up to ZAR150,000: ZAR 70
• ZAR150,000–300,000: ZAR 350
• ZAR300,000–500,000: ZAR 450
• ZAR500,000–1,000,000: ZAR 550
• ZAR1,000,000 – 2,000,000: ZAR 650
• ZAR2,000,000 – 5,000,000: ZAR 1,050
• ZAR5,000,000+: ZAR 1,250

Conveyancing fee depends on the provider and can range anywhere from ZAR 1,250–36,000 ZAR (plus VAT).

One way to avoid paying transfer duties and conveyancing fees is to buy a property off-plan from a developer. Developers normally waive the legal costs, and if the property is new and has not been previously registered, there won’t be transfer duties to pay.

Financing

Mortgage Lenders

Financing is available for the purchase of land and property in South Africa by citizens, non-residents, and temporary residents alike. For non-citizens, mortgages are available allowing up to 50% of the purchase price to be financed. The remaining 50% would need to come from funds outside of South Africa. South Africa offers some of the lowest interest rates that can be found on the African continent, with average rates between 6-9%. 

The following are some lending institutions in South Africa that offer mortgages to non-resident foreigners and temporary residents:  

• First National Bank
• Standard Bank
• Absa Bank

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its affiliates do not recommend or endorse the contents of the third-party sites.

Investing in South Africa

South Africa today is one of the most sophisticated and promising emerging markets globally. The unique combination of a highly developed first world economic infrastructure and a huge emergent market economy has given rise to a strong entrepreneurial and dynamic investment environment.

InvestSA is a division of the Department of Trade Industry and Competition (dti), and was established to provide support to investors who are interested in doing business within South Africa. They can facilitate with providing information, assistance with business set up, and aftercare services. 

The dti is the essential point of contact for anyone involved in investment and export promotion in this country. It opens doors into global export markets through expert market intelligence, capacity-building opportunities, access to incentives and exposure at trade shows and exhibitions across the world.

Investment Industries

South Africa offers many diverse investment opportunities, and is an ideal location for an expat to transfer past skills or expertise into new ventures. For a full guide on potential investment sectors, visit InvestSA.

Tourism

Tourism is regarded as a modern-day engine of growth and is one of the largest industries globally. One of the advantages of tourism as an export earner is that it is less volatile than the commodity sector. Tourism has been earmarked as a growth industry in South Africa, as the industry is ideally positioned to add value to the country's many natural, cultural and other resources.

South Africa remains a top travel destination for international visitors, especially those in the African diaspora, due to the rich culture offered, along with sophisticated infrastructure and property market to allow for an easy transition for those coming from Western countries. Attractions such as Table Mountain, pristine Durban beaches, Kruger National Park, immersion into Zulu culture, post-Apartheid history, etc. make South Africa ideal for tourism. 

Property 

There are a number of ways to make money in the residential or commercial real estate market, including making home improvements, flipping houses, building apartments or hotels, owning and renting property.

South Africa remains a highly desirable destination to purchase property at reasonable costs, and offers investors good rates of returns. The tourism industry continues to bring in international visitors each year, creating opportunities for profitable investments in the hotel or short term rental industry. 

Clean Energy

Worldwide, energy generation is moving towards replacing fossil fuels with environmentally sustainable technologies, such as wind and solar power. South Africa is no exception.

South Africa has  traditionally relied on low-grade coal as a source of fuel for electricity generation and on oil-based and coal-to-fuel petrol and diesel for transport. Hence the country has a backlog of clean energy technology to catch up on. Renewable energy projects are expected to take an increasing share of the energy mix in future.

To meet government’s international low-carbon commitments, South Africa is adopting clean energy production to move away from fossil fuels. This opens up the potential for several investment opportunities:

• Rooftop solar for corporate, industrial and residential use countrywide is in high demand, and thousands of public buildings also need to be retrofitted for energy efficiency. This provides an opportunity for the local manufacture and assembly of solar components.

• Opportunities also exist in the investment into biogas and landfill gas as a replacement for Liquid Petroleum Gas and biomass fuel. Apart from solar water heating for residential and commercial use, industrial-scale solar thermal power is a market worth more than R100-million, and with an estimated potential of R 3.7 billion for use in agri-processing, according to GreenCape.

• The biggest opportunity is however provided by the utility-scale demand for solar and wind power to be supplied to the country’s national electricity grid for redistribution to consumers.

Agriculture

South Africa has the most modern and diverse agro-processing sectors in Africa, with a strong connection to farming  and wholesale production. The agro-processing sector has been identified as a crucial sector for providing labor-intensive growth and has received extensive support through various incentive schemes. The sector benefits from competitive input costs, world-class infrastructure, counter-seasonality to the northern hemisphere, and vast biodiversity and marine resources.

• Food-based opportunities include: fruit and vegetable canning; meat processing including ostrich meat; oil-seed production; fruit juice processing; growing indigenous plants on a commercial scale; soya-based products; organic, vegetarian and vegan foods; dairy, bakery and confectionary products; and canned fish.
• Non-food-based opportunities include: medicinal extracts; aromatics; flavorants; non-edible oil processing; processing and manufacture of wool-based textiles and clothing; and flax production.

Investment Incentives

Incentives for investing and doing business in South Africa are available within specific industries. For a full list, visit the South African Government Investment Incentives website. Some of the incentives include:

Black Industrialists Scheme (BIS)

The Black Industrialists Policy seeks to promote industrialization, sustainable economic growth and transformation through the support of black-owned entities in the manufacturing sector. It offers a cost-sharing grant ranging from 30-50% to approved entities to a maximum of R50 million. The quantum of the grant will depend on the level of black ownership and management control, the economic benefit of the project and the project value.

The BIS offers support on a cost-sharing basis towards:

• Capital investment costs
• Feasibility studies towards a bankable business plan (to the maximum of 3% of projected investment project cost)
• Post-investment support (to the maximum of R500 000)
• Business development services (to the maximum of R2 million).

The maximum grant of R50 million may be fully utilized on capital investments or can be split between capital investment and other support measures (i.e. investment support, business development services and working capital).

Automotive Investment Scheme (AIS)

Designed to grow and develop the automotive sector through investment in new or replacement models and components that will increase plant production volumes, sustain employment and/ or strengthen the automotive value chain. The AIS provides for a non-taxable cash grant of twenty percent (20%) of the value of qualifying investment in productive assets and twenty five percent (25%) of the value of qualifying investment in productive assets by component manufactures and tooling companies as approved by the dti.

Critical Infrastructure Program (CIP)

The CIP aims to leverage investment by supporting infrastructure that is deemed to be critical, thus lowering the cost of doing business. The CIP offers a grant between 10-50% of the total qualifying infrastructural development costs, up to a maximum of R50,000,000. The investment industry determines the percentage that will be granted. CIP offers a maximum grant of up to 100%, R50,000,000 for infrastructural developmental costs to distressed municipalities, and state-owned industrial parks.

Capital Projects Feasibility Program (CPFP) 

A cost-sharing grant that contributes to the cost of feasibility studies likely to lead to projects that will increase local exports and stimulate the market for South African capital goods and services. Grants are issued depending on the industry and location of the investment project:

• • 50% of the total feasibility study costs for capital projects outside Africa and 55% of total feasibility study costs for capital projects in Africa excluding South Africa.
  • 50% of the total feasibility study costs for manufacturing projects with total assets above R30 million and 70% of the total feasibility study costs for manufacturing projects with total assets below R30 million in South Africa.
    
    

12I Tax Incentive

The 12I Tax Incentive is designed to support Greenfield investments (i.e. new industrial projects that utilize only new and unused manufacturing assets), as well as Brownfield investments (i.e. expansions or upgrades of existing industrial projects). The incentive offers support for both capital investment and training.

Global Business Services Incentive (GBS)

The primary objective of the incentive is to create employment in South Africa through servicing offshore activities. The secondary objectives of the program are to:

• • Create employment opportunities for the youth (age 18-34 years)
  • Contribute to the country’s export revenue from offshoring services
    
    

Special Economic Zones (SEZs)

Starting a Business

Types of Business Entities

Some of the recognized business types in South Africa are as follows:

• Incorporated Company (public or private)
• Personal liability company
• Partnership
• Shares in a local company
• Business trust
• Sole proprietorship
• External company (branch of a foreign company)

Reserving a Name

To register a new business in South Africa, you will first need to decide on a name for the enterprise. To reserve the name, the process is as follows:

• Register for an account and initiate a name search on the Companies and Intellectual Property Commission (CIPC) website to ensure availability
• Reserve the name by completing the relevant forms available from the CIPC
• Wait to receive the confirmation with the registration number for the new entity

Registering the Company

Once you have received the registration number from the CIPC for the reserved entity, you may now register the business online. You will need the following documents:

• A valid passport
• Police clearance certificates for all countries that you have resided in for 1 year or longer
• A business plan which outlines the feasibility of the business
• Proof or a commitment that at least 5 South African citizens or permanent residents of South Africa will be permanently employed in the business
• A written agreement with details of the partners/directors and their residential status in South Africa, if the application is an investment in an existing business
• Certification that at least R2.5 million in cash or a capital contribution of at least R2.5 million or a combination of cash and a capital contribution is available.
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*All investment strategies and investments involve risk of loss. Nothing contained in this website should be construed as investment advice. Any reference to an investment's past or potential performance is not, and should not be construed as, a recommendation or as a guarantee of any specific outcome or profit.