Choosing a Home Loan

There are a number of different Home Loan providers in South Africa, some of the more popular mortgage providers are: ABSA, FNB, SA HOME LOANS, and Standard Bank. Each mortgage provider will offer you different types of home loan products; some products offer better interest rates while others may offer you extra features and products. To ensure that you’re getting a home loan that best suits your personal needs and financial status it is important that you apply to all …

Read moreChoosing a Home Loan

Home Loans and Bad Debt

Bad Debt can become a major obstacle for new home buyers and current home owners. You may be looking to purchase a new home and discover that you credit rating is lower than expected, or you may find that a financial crisis may cause you to miss a payment on the home loan. To avoid having your home loan application declined or having your house repossessed it is important that you be aware of your credit rating at all times …

Read moreHome Loans and Bad Debt

Home Renovations

Your home is your most important investment and it is therefore important that you protect this investment. By maintaining the value of your home you could very easily receive a 100% profit when you sell after a few years. Home renovations offer a number of advantages over selling and buying a new home, especially if your have some extra equity available in your home loan. In general the costs involved in buying a new home are between 15% – 20% …

Read moreHome Renovations

Home Loans – Interest Rates

Should you fix your interest rate?

Home LoansOften new home owners are simply excited at the fact that they have been able to secure a home loan for their first house that they forget or neglect to consider some of the important factors of the home loan.

Whenever you’re applying for a home loan you need to put much consideration into the current economic conditions since this can dramatic effect the interest rate changed on home loans.

Banks will usually negotiate Home Loan interest rates by one or two percent below the prime lending rate. The prime lending rate is set by the reserve bank and is often called the REPO Rate.

Although many different home loan products exist in South Africa, the two most common rate options you have is a Variable Interest Rate or a Fixed Interest Rate.