The most recent FNB Property Barometer indicates a big upturn in first time homebuyers – an increase of 35 per cent since 2008, says Morne Prinsloo, director for Mortgage Plus Bond Originators.

In 2008 first time home buyers comprised 17% of the total homebuyers and in 2011 they comprised 23%.

Prinsloo said that this shows:

1. that the banks are easing up on their lending criteria – even to the extent of three of the major banks now granting 100% loans to qualified applicants, with one bank granting up to R 2 700 000.

“This,” he said, “may or may not be in response to repeated calls from estate agents to review the criteria but, whatever its cause, we are grateful and see it as a first step towards “normalisation” of the market;

2. A revival in consumer confidence in the property market – it is noteworthy, said Prinsloo, that many first time homebuyers do not have to buy: they can continue to rent or live with friends and family. The fact that they choose to do so indicates an increasingly positive mindset regarding property in SA today and this is to be welcomed.

3. The raising of the transfer duty tax exemption to homes sold for up to R 600 000, has been another boost to first time home buying

4. First time homebuyers are encouraged by the 35-year low in interest rates

The benefits of home ownership, said Prinsloo, have been so well promoted “by Mortgage Plus Bond Originators” that we assume they will be widely appreciated. However, this is not always the case among those with a “rent-forever” outlook. It is, he said, therefore encouraging that so many people at the lower end of the housing market realise that owning a home is still the most convenient way to secure growing assets, a stable family-oriented position in society and the opportunity to “personalise” one’s domestic surroundings.

“Home ownership is good for economies and the fact that South Africa’s first time homebuyers are on the increase is good news. It could be that this emerging middle class will keep South Africa on track despite disruptive elements working to break down existing social structures and change existing economic policies.”

For further information contact Morne Prinsloo on 011 327 4489 or email morne@mortgagepluscc.co.za

If you would like to know more about your home loan services and mortgage requirements please phone the Mortgage Plus Head Office on:

Attached please find the Home Loan Application Form * - Short Home Loan Application Form

0861.111.193

info@mortgagepluscc.co.za

www.mortgagepluscc.co.za

BMW Home Loans Overview and Services.

For many years, BMW Financial Services has been a leader in vehicle finance, applying the same ingenuity and precision engineering that goes into the production of every BMW to its financial solutions. This extensive experience in vehicle finance has smoothed the road to offering a range of mortgage finance offerings.

Whether you are planning to buy your first home, refinance your existing home, or are looking for a rewarding property investment, a BMW Home Loan offers a range of flexible, competitive options to suit different needs. Further features include access facilities, further loans, repayment breaks, home owner’s insurance and debt consolidation.
Product options.

• Purchasing a new or existing property.
• Switching current Home Loan facility from another institution.
  Registration costs and valuation fees will be covered by BMW SF.
• Switching current Home Loan facility from another institution and at the same time registering a higher loan amount.
• Building a new property.
• Purchasing a property off-plan from a developer.
• Additions and improvements to current property.
• Reduce your current monthly home loan instalments.

Already financed by another institution?

It’s easy to switch your current home loan with the assistance of the BMW Financial Services Home Loan Team. We’ll take care of everything, ensuring that the transition is as smooth and precise as a BMW gear-change. Simply get in contact with Morne Prinsloo on 0861 1111 93.

Debt consolidation.

• Reduce your monthly debt repayment versus income ratio.
• Pay off more expensive short term debt.
• Increase your monthly “cash-in-pocket”.

Switch your current facility free of charge.

The legal cost for switching your current home loan facility will be paid by BMW Financial Services.

Access Facilities.

• Take advantage of interest savings by depositing excess capital into your home loan account, and withdrawing again when required.
• Choose to pay off the loan quicker through cash injections or increased debit order amounts, with the option to withdraw at a later stage.

Re-Advance.

• Access to all capital already repaid, up to the original registered bond amount.
• Option to repay debt over remaining term or amend term to suit instalment requirements.

Further Loan.

Increase registered bond amount, quickly and easily.

Free Property valuation.

A free valuation by a registered property assessor is part of the approval process.

Preferential legal fees.

Preferential fees for registering new mortgage bonds have been negotiated for all BMW Financial Services customers.

Note: Preferably you must be a BMW client

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