Step 1: How much can I afford?
The first step is to determine how much you can afford to pay every month.
Click here for more information on: Calculators
Home loan costs to find out more about the other costs involved such as transfer and registration costs, and stamp duties.

Step 2: Search for property
Once you have calculated how much you can afford to buy for, you need to determine what you are looking for in a home. These links will help you find a property.
Buyers checklist
Property search

Step 3: Sign offer to purchase
Once you have decided on the property you would like to buy, you will need to complete an offer to purchase . This document is also known as an agreement of sale or deed of sale. Basically, it is a written agreement, stating the terms and conditions under which you agree to buy or sell the property.

Step 4: Seller accepts offer to purchase
The offer to purchase has to be negotiated. It is advisable to note the fixtures and fittings that will form part of the sale. All the permanent fixtures and fittings such as light fittings, carpets, tiles, curtain rails, pelmets and built-in cupboards, are included in the sale unless the buyer and seller agree otherwise. Any movable items to be included in the sale must be negotiated between the buyer and seller. Once you have negotiated the offer, the seller will accept the offer to purchase.

Step 5: Approach us for a home loan - 011.327.4489
We will need a copy of the offer to purchase that you and the seller have signed, to finalise the approval process.
Click here for more information on specific criteria for freehold properties, building a home and sectional title properties. Building a home

Step 6: We will confirm requirements
Once we have the offer to purchase, a final credit evaluation is done
What is the criteria for a building loan or vacant land?

Step 7: Property valuation done
We carry out an assessment of the property before approving the loan

Step 8: Send required documentation for a building loan
You will need specific documents for a building loan. Click here to find out more.

Step 9: Decision taken by the bank
We will confirm your income, credit standing and assess the property before we consider granting the loan.

Step 10: Letter of grant
A letter of grant will be sent to you,Mortgage Plus, estate agent and your branch notifying you that the loan has been approved and what procedures to follow.

Step 11: Registration attorney instructed to register the bond
The registration attorney is appointed to attend to the registration of the bond.

Step 12: Signing of transfer and registration
You will need to visit your attorney to sign all the necessary documents. The transfer and bond registration fees need to be paid in full before the bond is registered in your name at the deeds office.

Step 13: Documents sent to deeds office for registration
Once all fees are paid in full the documents are sent to the deeds office.

Step 14: Home loan registered in your name at deeds office

• Registration attorney confirms registration
• Seller’s bond cancelled and settled
• Funds paid out to relevant parties

Step 15: Sign progress payments for us to release funds
As work on your building progresses, your builder will require payment. We will make these payments based on the estimated cost of building work completed, and after receiving a request form from you.

Step 16: Sign final letter of satisfaction on completion
On completion of the contract, when the builder calls for final payment, inspect the house to ensure it has been completed to your satisfaction. You will be requested by the bank to sign a letter of satisfaction, advising us that you are satisfied with the completed house.

Step 17: We will confirm instalment due in writing
For building loans: first instalment due within 30 days after 90% of the loan paid out on occupation

Step 18: Title deed and mortgage bond document sent to Bank for safekeeping

Remember by choosing us for a loan, you will get professional advice to make sure you are getting the best deal possible.

CONTACT US

Speak to a home loan consultant about financing your new property or reviewing your existing mortgage. We are able to assist in lowering your bond repayments and securing attorney discounts.

Complete this short form online
Call us on 011.327.4489
Email: morne@mortgagepluscc.co.za

www.mortgagepluscc.co.za

PRETORIA – House prices in the cities of Cape Town and Johannesburg have shown the steadiest increase of all the major metropolitan areas in the country since the turn-around from negative growth in the second quarter of 2009. This is according to the latest house price index released by property research group Lightstone. The index (recorded until March 2010) also shows that properties in the ‘affordable’ band are performing well above other bands like the ‘luxury’ and ‘mid value’ bands.

Although Johannesburg has led the pack in annualised month to month house price inflation for 2010, the city’s figures took a dip from 8.7% in January and 9.2% in February to 8.6% in March. Cape Town however did not see the same reversal. Figures for the Mother City were 7.7% in January, 8.8% in February and 9.0% in March 2010. In the February/March period figures for the rest of the metros remained flat, accept for eThekwini which rose from 5.4% to 5.5%. The Nelson Mandela Metro fared the worst over this period declining from 2.0% to 0.8%.

Property price inflation also increased steadily for both coastal and non-coastal properties since the 2009 turnaround began, although it seems that the rate of inflation is starting to decrease for non-coastal properties. These figures were 7.4% in January, 8.2% in February and 8.4% in March 2010. Coastal properties on the other hand have retained a steadier pace of increase for 2010 at 4.5% in January, 5.3% in February and 7.4% in March.

Lightstone CEO Anthony Miller warned that the month-to-month data sets for February and March should not be seen in isolation and that they could contain data anomalies owing to various factors. 

Freehold properties have also outperformed their sectional title counterparts. Freehold property inflation was 7.9% for January, 9.0% for February and 10% for March this year, whereas sectional properties have shown a decline from a flat 7.1% in January and February to 6.8% in March.

According to the Lightstone data, the most lucrative sector remains the mid and affordable bands. Inflation in the affordable band rose from 10.9% in January, to 14.3%, but declined sharply to 12.6% in March this year.  In the mid-sector figures were 8.3% in January, 9.1% in February and 9.3% in March, compared to the luxury and high value sectors which showed increases of 7.3-8.0% and 7.2-8.0% respectively.

FNB Property Strategist John Loos says their Estate Agents Survey shows that Cape Town was indeed the city with the strongest demand in the 1^st quarter of 2010, but that the rate of decline in inflation was quicker for Cape Town than Johannesburg during the 2^nd quarter of the year. Loos also confirmed that the Nelson Mandela metro was their weakest performer during the 1^st quarter, mainly because industrialised cities were worst hit by the recession.

Loos was however, surprised by the sharp decline in the affordable price band shown by the Lightstone data and says that their figures don’t correspond. He added that their coastal figures were also somewhat different and showed much weaker performance. “They [Lightstone] measure their coastal properties as properties within 500 metres from the shoreline. We measure whole coastal towns and our data definitely showed year-on-year deflation in the first quarter of this year.”

Lightstone’s Anthony Miller confirmed the differences in data capturing methods for coastal properties and said that he would like to see another month or two’s data before drawing any conclusions on the coastal property market or any other trends for that matter. According to Miller, an early speculative conclusion may be that “there is a recognition that the market has largely bottomed out and that people who have capital are looking to buy bargain holiday properties”.

By choosing Mortgage Plus for a loan, you will get that continual service to make sure you are getting the best deal possible.

CONTACT US

Speak to a home loan consultant about financing your new property or reviewing your existing mortgage. We are able to assist in lowering your bond repayments and securing attorney discounts.

Complete this short form online
Call us on 011.327.4489
Email: morne@mortgagepluscc.co.za

www.mortgagepluscc.co.za