Trying to get the home of your dreams but don’t know where to start?

get the home of your dreams
Buy the home of your dreams

What if we told you that you don’t need to stress when you’re looking to buy a home? Let us help you find the answers you need by helping you ask the right questions.

How much is the home that you would like to own and take a home loan out for? Is your credit good enough to get the home loan? Would you like to know your credit score beforehand and know how much you qualify for?

These are all very important questions that you need to answer before making a loan application to purchase a property. This article will briefly examine what you should know before taking out a loan and help you get ready to make a successful application!

Buying a home can be stress-free

We have the answers for you and yes, there is no need to stress when you want to apply for your dream home loan! We know that when you’re applying for a home loan, you’re looking at paying off your home for up to 20 years.

Which leaves you with another important decision to make…do you want a flexible or fixed home loan interest rate? The good news is that reputable lenders and bond originators can help you make informed decisions when it comes to getting a home loan.

Did you know if you have a good credit score the bank is more likely to loan you the money at a better rate? This is because you are regarded as a low risk consumer and the bank or lender feels more comfortable approving your loan compared to a consumer that is high risk. If you have bad credit, for example, you will be seen as a high risk consumer.

When you apply for a home loan you should use a loan repayment calculator

Yes, you should make use of the loan calculators which are there for everyone to use to help get the initial information you need. It gives you a fairly accurate idea of how much your loan will cost you over the time period that you select.

This is great if you are unsure whether you can afford your home loan or if you would like to adjust the amount. All you do is play around with the figures and the months and years. By doing this, you will get a loan amount and repayment plan that suits your budget.

Types of home loans 

There are different types of home loans, if you are a first-time home buyer, you will find a home loan specifically designed for first-time home owners.

In South Africa there are both fixed rate and variable rate home loans for buyers to choose but, the variable rate options are currently favored by most buyers. 

Perhaps you would like to get a small personal loan to fix up damages or expand on your home. You can apply for an additional loan on your existing bond to finance extending your home or doing some basic maintenance and improvements.

There are many ways to apply for your loan

You can apply for a home loan at your nearest lender or bank branch. You also have the option of applying online, which offers you convenient online home loan application, approval and customer support that you need.

Most mainstream lenders and banks have online platforms making it easier than ever for consumers to apply for any loan type, at any time. You can also make use of a bond originator who can help you get competitive offers from all the major banks in South Africa.

Looking for home loan quotes before you apply?

Depending on the loan repayment terms, the monthly installment of your loan may vary. To find a loan that is best suited to your budget, you can request different loan repayment plans to see which is best for your pocket.

This ties in, once again to making use of a loan calculator. You can also request pre-approval, which may not be a guarantee but will ensure affordability based on income.

Using a bond originator or broker to find a loan

When it comes to home loans, making use of a bond originator will make all the difference. Bond originators typically have a range of consultants from various banks on their floors who are there to assist them in arranging the most suitable and convenient loans for customers. 

Making use of a bond originator will not cost you anything since it is the larger banks and mortgage providers that pay them a commission for all successful bond registrations. 

One of the major benefits to using a bond originator is that you can apply to all banks directly with a single application and compare interest rates and loan terms.

You also get the expert assistance and advice of the bond originator who can advise you on the best option to choose based on your individual needs. 

Did you know that you can check your credit score online?

Still unsure of whether or not you can apply for your loan? In this case the best actions would be to check your credit score online. Finding a company that will help you determine your credit score and that is simple as a search on Google. It is important to know your credit score and rating.

However, even with bad credit, you can still get the financing you need by applying for a bad credit loan. This can easily be done by using a loan comparison site to find a bad credit lender and applying online.

More often than not, you will have an immediate answer on your loan approval and your cash can often be transferred the very same day.

Remember, there are always home loan specialists willing to help

Always ask if you’re unsure. This will give you peace of mind when you apply for your home loan and ensure that you are familiar with all the terms and conditions of the loan agreement before you accept it.

Popular & reliable direct lenders offering Home loans

  1. Hippo Home loan


    • Compare home loans
    • Term up to 30 years
    • Interest from 9.5%
  2. FNB Home loan


    • Fixed interest rates
    • Term up to 240 months
    • Interest from 9.75%
  3. Absa Bank Home loan

    Absa Bank

    • Competitive rates
    • Term up to 30 years
    • Affordable finance
  4. Ooba Home loan


    • Loans up to R125,000,000
    • Term up to 30 years
    • Interest from 7.25%