Is mortgage consolidation a smart move?

Home Loan Tips For most of us, our financial responsibilities are managed on the month-to-month basis. We’re so concern about clearing the next hurdle that we often fail to lift our heads up to place some thought on the future. In this post I’ll focus on some of potential dangers of refinancing your home loan and offer you some alternative strategies to managing your mortgage. Remember – like most things – If you look after you bond it will look …

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Should You Buy or Rent

Home Loan Tips Reviewing the current property market we consider the options – To Buy or Rent Property prices are increasing rapidly and experts believe that although prices will slow down slightly we are not experiencing a property bubble. While property prices are increasing, interest rates are down too. These two key factors have lead to a rush of home loan applications being received by SA’s leading mortgage providers, such as FNB Home Loans and ABSA Home Loans. The increased …

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ABSA tightens credit requirements

Home Loans News ABSA’s CEO, Steve Booysen, has announced that they will be tightening there lending criteria ahead of an expected increase in interest rates. If the other Sa Home Loan providers follow Absa’s initiative we could see a decease in property prices, which have enjoyed an raise of about 20% since the beginning of 2005. According to the Business Day, Absa will be particularly wary of financing building loans. With lending rates at it’s lowest in 25 years there …

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Mortgage Re-advances – a growing concern

Home Loan News: As a result of the recent property prices increases and lowering of interest rates the number of people obtaining equity from your bonds has also raised. By refinancing your home loan or by switching your home loan to another mortgage provider home owners are able to gain access to very low interest loans. But, according to a report by Moneyweb, there is a growing concern over the number of re-advances being granted in South Africa. John Savage …

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The Home Loan Advantage!

Home Loan Tips Buying a home is often the biggest financial decision you will have to make; and therefore you should consider your home loan to be one of most important parts of your overall financial plan. Before you go out house hunting you should consider your current financial situation and from there calculate the home loan amount you’ll be able to afford. Banks and other SA home loan providers offer several kinds of mortgage products, from starter bonds which …

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Bond Switching – Saving millions in interest payments

Home Loan Tips: Facing increasing competition and a slowing property market, the four major home loans providers in SA are having to rethink their long standing “gentlemen’s agreement” to discourage bond switching among their existing clients. Now more than ever, home owners have the opportunity to collectively save millions of Rands in home loan interest repayments. Bond switching – or home loan refinancing – is the practice of moving a home loan from one lender to another in order to …

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Home Loans for Self-Employeds

Home Loan Tips Self employed persons should not except SA Home Loans providers to read their financial statements any differently than the SA Revenue Service (SARS) do. Most mortgage lenders are aware though, that it is prudent for the self-employed to use the tax laws to their advantage and claim all legitimate expenses to reduce their tax liability. Says Rudi Botha, CEO of SA mortgage originator PA BetterBond: “If you own a business that makes R500 000 a year, and …

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