Compare the best loans of South Africa and find the lowest rate
Are you tired of renting? Do you think is time to buy your own house? If you are trying to purchase your own home you’ll find in this article the information you need to do it the best way possible. Next, I’ll mention some entities you can work with to apply for a home loan and what they offer in order to decide which is the best option for you. Here, you’ll find quotes, application and requirements you need to comply with to be eligible for the loan.
In today’s economy is difficult to feel you can go after your own house, but fortunately there are many entities ready to help you fulfill that dream.
To start with, most companies offer an online calculator for you to have an idea of the total cost of your loan. I advise you to take advantage of this helpful tool and use it to calculate how much money you need. How does it work? You simply enter the amount of money you need, the repayment term you’d like to have and they will tell you the interest rate you would have to pay. Some calculators also ask for more information as your monthly income and expenses in order to tell you how much money will you be able of paying every month. This is really useful to organize your expenses.
Let’s see an example: If your monthly income is of R 15,000 and the deposit amount is of R 7,000 and you choose a repayment term of 30 years they will show you that you should look for a house for a maximum of R 509 175.37, having an estimated monthly installments of R 4,500 and the interest rate would be of 10, 25%. They’ll also tell you your home loan would be of R 502,175. 37. As you can see you’ll know before applying for the loan if you are capable of facing the payment. If you really want to purchase a house, this tool gives you the chance to reorganize your expenses in order to find the way to apply for a loan. Bear in mind, rates and repayments terms vary depending on the company you choose to work with.
Now, let’s talk about some entities and their home loans’ characteristics. I’ll start with Better Bond Home Loans.
How does Better Bond work?
One of the benefits Better Bond offers is that you can have the opportunity of choosing among many banks to work with but enter the process by applying only once with Better Bond. They would take care of presenting your application to the full group of banks they work with and the banks would offer you different rates according to their criteria. Then, you study the proposals and choose the best for you. Through this procedure, not only do you have more chances of being approved by a bank, but also you can choose the lowest interest rate saving a lot of money.
How to apply?
Application works like this: you should get a pre-qualification certificate first to be able to apply for the loan. You start by getting in contact with the bank and they will accompany you through the process. You’ll be asked to provide them with some documents to support your financial situation along with credit checks and financial assessment. After all this is completed you’ll be given the pre-qualification certificate that will be valid for a period of three months. As this certificate will state how much money you can spend, you’ll be ready to start the house search.
After finding your dream house you should contact Better Bond representatives and they’ll help you with the offer to purchase you need to submit and the application for the home loan. Better Bond will use this information to negotiate the best rate for you with the banks. You should know this service has no extra cost to you.
Better Bond Contact Details
The Head office is in the city of Randburg in Pendoring Office Park 299, Pendoring Road. Phone number: 0860 555 540.
But Better Bond has many branches around South Africa that I will list next:
- Bloemfontein: you’ll find it at 7 Collins Road. Phone: (051) 430 7888.
- Eastern Cape: in this area the branch is in Regency House 35a, Thrid Avenue. Phone: (041) 363 3410.
- Johannesburg South East: you can direct to Wiltenel Building Cnr, 1st Floor. Kingfisher &Duiker St.
- Johannesburg North: there’s a branch in Block 9, Pendoring Office Park 299. Pendoring Road. Phone: (011) 516 5500.
- Johannesburg West: you should go to 291 Ontdekkers Road. Phone: (011) 767 8800.
- KwaZulu Natal: you’ll find it at 95 Musgrave Road. Phone: (031) 277 9000.
- North West Province: here you’ll see a branch at 161 Kruger St. Phone: (014) 594 2191.
- Pretoria: Centurion Office Park Block B. 1257 Embankment Road, 1st Floor. Phone: (012) 663 2637.
- Western Cape: you can direct to Waterford Place, Block 4. Century. Phone: (021) 555 4220.
Another entity you can choose is SA Home Loans. You’ll find information like quotes, interest rate, address and more in the next chart:
Be a South African citizen
From 9 am to 6 pm on weekdays
92 Edward Road, 3rd Floor. Cape Town
Up to R 150,000
In SA Home Loan you’ll find, for example, their 30 Year Home Loan. Among the characteristics you’ll find this product allows to diminish the monthly payment and that the interest rate is prepared taking into account your risk profile. Also, this is an option only for clients who want to apply for a new loan not to switch an existing one from another bank. Keep in mind that a 30 year loan will have a higher total cost than a 20 year loan because of the difference on the length of the bond.