If you have decided to purchase your very own property, there are some steps you can take to be better prepared and improve your chances of getting home loans. Applying for a home loan can sometimes be intimidating and difficult to know where to start, but let me give you some direction to successful home loans in South Africastyle.
Your very first step is to find out how much you can apply for. Contact either your bank's home loans department. Or contact a professional originator that is knowledgeable in home loans in South Africa. They will be able to work out for you how much you can expect to be approved for.
Now it's time to go shopping.
Start looking around for properties in your price range. Look at property magazines or contact estate agents and let them help you find the perfect home for you.
Here is a point that is very important: your estate agent is likely to push you into using their choice of home loans originator. However, you have the right to choose. If you have found someone that you are comfortable working with and that you trust, no one can force you into anything else.
When you have found the home of your dreams, or at least something you can consider living in for a good couple of years, it's time to put in an offer to purchase. If you are making use of an estate agent they will have a standard contract that they will amend to fit your purchase. Read this through properly before you sign anything. Make sure you understand everything. You don't want any nasty surprises down the line.
The next step would be to contact your home loans originator. It is time to apply for the home loan. You will need to gather some documentation for the complete application. In general you need to supply identity documents; proof of income, bank statements and the offer to purchase that has been accepted by the seller. This will be submitted to one or more financial institutions for approval.
Following an approval, the bank will issue instructions to a conveyancing attorney to prepare the documentation that you and the sellers of the property need to sign. This is necessary for the transfer of the property to take place.
When the transfer of the property has gone through to the deeds office and been processed or registered, the property is officially yours.
Currently, home loans institutions in South Africa will not cover the full purchase price, therefore you need a deposit. The requested deposit varies depending on the purchase price and at which South African home loans institution you apply at.
Contact GPF Mortgage on 086 110 6204 or send me a personal email at: email@example.com