A quick guide to making the most of your SA Mortgage
Mortgages, Interest Rates, Loan Terms and Valuations – these are only some of the works (jargon) you’re bombarded with when it comes to applying for an SA Mortgage.
With all this confusion how can you be sure you’re getting the best SA Mortgage Deal? Here’s the quick Answer, use a Mortgage Originator.
A Mortgage Originator will do all the legwork for you. An experienced Home Loan consultant will submit your application to the banks and secure the best possible rates.
According to Rudi Botha, executive of BetterBond, SA Mortgage originators handle over 60 percent of all home loans. This is a worldwide trend. In England this figure is already more than 80 percent and in American more than 90 percent.
The reason SA Mortgage Originators are gaining more and more popularity is because they offer you a win-win situation. You never need to pay them any costs and they’ll help you secure the best bond, at the lowest rate.
Benefits of using a Bond Originator:
- Experienced Home Loan Consultants – with knowledge of all the products available at every bank.
- A Free Service. Bond Originators are paid directly by the Bank, there are no added fees for using a bond originator.
- Faster Bond Approvals -“ You don’t need to go and visit the bank or fight with them to get your approval since your Bond Originator already knows how to fast track your application.
Click Here to Speak to a Mortgage Consultant Now who will be able to find you the best bond deal.
Hi
I am wanting to putchase a home for R100 000.00 and need a good home loan, i am willing to settle with the bank who has the lowest interest rates.
I am wanting to pay the mortgage over a period of 15 years at a fixed rate
Can you please inform me on the best bank with the best interest rates.
I would also like to calculate out my monthly repayments if that is possible
You assistance would be greatly appreciated
Kind regarda
Good Afternoon
I would like to apply for a homeloan. I have been with ABSA for 15 years but if I cant get a good rate then please try other Bank.
The home is R500,000.00.
I would like to know the interest rate I can get. I want to make is fix and over 30 years. What would be my monthly instalment.
Regards
Reply:
Hi Mark
In order to shop around for the best interest rate, we will require your supporting documents and specific information pertaining to your application. Kindly advise us of a contact number to call you where we could discuss the processes in detail to follow and we will be able to offer you a hassle free way of obtaining the best deal for you.
The banking institutions unfortunately do not offer very competitive interest rates on a fixed rate option. If you choose a fixed rate it is usually prime [currently at 11.50%] PLUS a percent or even higher. Therefore it would be best to select a variable rate option, as the banks would be able to offer a lower interest rate on this selection.
For example:
On a Fixed Rate option for a R500 000.00 homeloan over 30 years your monthly repayments would amount to approximately R5336.29 [prime PLUS 1%]
Whereas on a Variable rate option, let’s assume the rate concession is 1% below prime, [equivalent to 10.50%] your estimated monthly repayment would amount to R4573.70
As you can see there is almost R1000.00 saving you would make by choosing the variable rate option.
Feel free to contact us or send us your details to discuss this in more detail.
Kind Regards
Olen Kolbe
Olen@propertyloans.co.za