Home Loans Tips:
Your Home Loan is a powerful financial tool and with power come responsibility. If you don’t know how to manage such a large financial commitment you could find yourself deep in debt very quickly. Although, if you manage your mortgage wisely it could help you out of many tight places and help to improve your living standards.
SA Home Loans have become flexible tools. These days you’re able to use your mortgage to lower your debts or apply for a further advance using the equity available in your property. With property prices increasing so rapidly your home should hold about 20% more value today than it did in January 2005.
In this article I’ll focus on ABSA’s home loan management tools and services, but most of the major SA Home Loans providers offer the similar products.
Interest Rates:
It’s always important to keep an eye on how much interest you’re paying on your bond. The lower the rate the better.
Read more about your Interest Rate Options available in South Africa.
ABSA, like most SA Home Loan providers, offers its customers a range of rate options including a Variable or Fixed Rate.
FastForward:
Interested in settling your bond early?
ABSA FastForward home loan account management tool was developed to assist customers in settling their home loans early, by automatically increasing their bond repayments.
Your original installment amount is maintained for the first year. Thereafter, on each anniversary date, ABSA will automatically increase your repayment amounts so that you are able to pay off your home loan in just ten years.
You can choose to increase your repayments by a percentage or a Rand-value that suits your financial circumstances
Further Advance:
This home loan product allows customers the opportunity to apply for additional funds by registering a second bond over their property.
You can register this bond when your market value of a property exceeds the original bond amount registered.
Note that the funds you receive from a Further Advance can be used for any purpose, from home improvements, education, or holidays. Your Home Loan can finance just about anything.
Free Assistance:
For more information about your Home Loan option, complete this form online and a consultant will contact you. Your home loan consultant will able to offer you advice on a number of home loan products from all the major Banks in South Africa.