Mortgage & Property Talk SA
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Our Mortgage Experts specializes in First Time Home Buyer Loans, New Home Loans, Building Loans, Further Home Loans, Bond Switches and Mortgages throughout South Africa. Click Here to go to The Mortgage Plus Website.
We offer a wide range of advice on different home loan options - 0861 11 11 93*
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Bond Calculator Objectives | Bond Calculators
The most common calculation objectives when using bond calculators are calculating monthly bond repayments & interest, determining levels of affordability, calculating the income qualification benchmark based on a required bond amount and analyzing optimal bond repayment options.
All of these objectives can be met by using our bond calculators. We also provide additional bond calculations which enable users to calculate sensitivities around the main bond variables – interest rates, bond periods and deposit amounts.
A comprehensive transfer and bond cost calculator is provided to assist in calculating an accurate estimate of the bond and transfer costs that will be incurred when purchasing a property. Our bond calculators also feature an amortization table which includes a column for the outstanding capital percentage – this calculator is well worth having a look at and is guaranteed to enhance any user’s understanding of how the outstanding capital amount is repaid over the entire bond period.
All our bond affordability and minimum income calculations are based on net disposable income as required by the National Credit Act.
Home Loan calculators helps to detail you the exact information related to your saving investment.
Mortgage Plus Bond Originators Recommend the Following Calculators:
This bond calculator will show you what your monthly instalments will be and what monthly income you need to secure the loan.
Use this Bond Calculator to work out what is the maximum amount you can borrow according to your income
Use this Bond Calculator to work out what your monthly repayments will be.
This bond calculator shows you how much you still owe on your Home Loan, as well as how much Interest and Capital you have paid.
This bond calculator will show you how much you can save by increasing your monthly installment. You will see how the repayment term shortens as well as the total savings in interest.
Please contact us if you require any further information or would like to apply for finance:
Complete this short form online
011.327.4489 / 0861 1111 93
morne@mortgagepluscc.co.za
www.mortgagepluscc.co.za
Morne Prinsloo, a Divisional General Manager for Mortgage Plus in South Africa, says it is still possible for you to buy wisely. He says that you should consider property as a solid long-term asset.
Am I ready to buy property?
Whether you are buying your dream family home or a starter apartment, you are signing up for a 20-year commitment. You will also have substantial upfront costs, including transfer duties and bond registration fees, as well as the schlep of moving and changing your address. You need to be willing to sacrifice some flexibility in your life and take on the responsibility for maintenance. Think about whether you can afford it. Do you have a steady income, Will you have enough money left to live on — and buy necessities— after you have paid the bond
Prinsloo also recommends that you stress-test your budget by at least a 3% interest rate increase to check that you will still be able to afford your bond repayments should rates go up even further.
Do I need a deposit
If you’re buying for the first time, you probably don’t have a deposit. If you are selling a property you already own, the amount you have paid off on your previous bond can be used as a deposit on the next one. There are home loans available for first-time buyers which cover the full amount of the house price (i.e., you are getting a 100% bond) However, any money you have available upfront will help. You will end up borrowing less, at a better interest rate, which helps a lot in the end.
Even if you do not have a deposit, start saving now. Financial coach Suze Orman recommends taking the difference between what you currently pay in rent and what your bond repayment would be, and depositing this into a savings account every month. She says you should do this for six months to test whether you really are ready to make the extra financial commitment that comes with home ownership. After six months, you should have a substantial amount to put towards your new home and even if you decide you are not ready for the property plunge, you will have a nest egg for other investments.
Ok, I am ready. What do I do now?’
Get yourself pre-approved for a bond, by a mortgage originator 011.327.4489 . That way you will know how much money you are able to borrow in order to buy, and what your monthly repayments on that amount would be. Pre-approval is exploratory and does not mean you have to commit to taking out a mortgage bond with that particular institution.
Where do I start looking?
In the property game, you only get lucky by looking… and looking and looking. One investor, who has owned literally hundreds of properties, told me, “The more I look, the luckier I get”.
Get into the habit of combing the week- end newspaper property supplements. These have the most comprehensive listings and you will get a good idea of where prices are going in the suburbs you are interested in.
Look at www.property24.com, “Tip by Mortgage Plus”, which lists properties from all the leading estate agents.
If you can stand the regular intrusion, contact a couple of estate agents and tell them what you are looking for. That way they can bring properties to you.
Robert Kiyosaki, real estate guru and best-selling co-author of Rich Dad, Poor Dad, advises making a habit of driving or jogging through the areas you want to buy into. If you do this regularly, you will find out whether you really like the area and would enjoy living there and you will notice new developments that could enhance the area or destroy your view!
- Look at show houses. Even if you are not planning to put in an offer, you will get an idea of what you get for your money.
- Be practical. Do not let your heart overrule your head. Is the location right, Is the property close to good school, Even if you don’t have kids, proximity to schools will make your property more desirable. What about nearby shops, Can you live with the traffic, Is the accessibility of public transport important to you.
- Are other developments going up nearby this may mean your suburb is becoming sought-after, but it can also mean that when you want to sell, there could be a glut of homes on the market. If it is not such a smart area, are there plans in place to combat crime and grime
What features are important to you?
Here are a couple to consider:
- Will you need a spare bedroom or study?
- What kind of security arrangements do you want?
- Would you prefer a private garden or a balcony?
- Do you want a lock up-and-go arrangement or are you happier with higher maintenance
- Do you have pets?’
- Do you want access to a swimming pool?
- How much parking do you need?
- Is the view important to you?
- How much sun would you like
- And do not forget rates and levies. These can vary substantially and can make a big difference on a property’s affordability.
I have found a place I want to buy. What now?
Firstly, check the contract the estate agent hands you, says Gavin Muller. When you make an offer, you should be free to choose your mortgage provider and conveyancing attorney. If there are clauses in that contract binding you to certain firms, your choice is taken away.
Shop around for a mortgage. You can apply directly through Mortgage Plus bond originators who will negotiate on your behalf. “And it’s FREE”
Shop around as much as possible to get the best interest rate possible — half a percent difference may not sound like much, but it will make a noticeable difference to your repayments. If you are not happy with the rate offered, ask for a better one.
Always pay in extra on your bond repayments, no matter how small, to give you breathing room in the event of a rate increase. You will also shave years off your bond.
Do not forget insurance
Shop around for homeowners’ insurance or buildings insurance, says French. Under the new National Credit Act, the bank from which you have obtained your home loan will not be able to force you to buy their policy. This is insurance for the building itself and pays out the replacement cover of your home if it is damaged. The monthly premium ranges from R250 to R500, so it is worth looking at a range of options.
Please contact us if you require any further information or would like to apply for finance:
Complete this short form online
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