6 top tips for first-time buyers

With interest rates lower than they have been in decades, a higher-than-ever transfer-free threshold and a buyers' market prevailing throughout South Africa, there has never been a better time to get onto the property ladder. Here are six top tips from Jawitz Properties to make your journey to becoming a homeowner as straightforward as possible.

Tip 1: Get preapproved for your bond before you even start house hunting

First things first: If you've decided to take advantage of the favourable conditions that 2020 has brought to the property market, then it's time to get prequalified for a home loan. This involves entering your basic details and ID number, which allows ooba to retrieve your free credit report. You'll then answer some security questions based on your financial affairs. Based on this, you'll then be shown what your current credit score is.

The next step involves calculating your affordability, and ooba gives you three possible ways to do this. You can either upload your bank statements, input the information manually or securely connect to your internet banking profile. At the end of this process, you will be able to download a certificate which gives you a clear indication of the value of the home loan that you are likely to be approved for. To make things even clearer, it also provides various amounts based on the interest rate that you are granted.

Tip 2: Consider the location and how the home will meet your needs - both now and in the future

There's a reason that the old real estate adage of "location, location, location" has lasted the test of time. You can change a lot of things about your home after you've bought it, but you can't change the location. A home is a long-term investment, and it's unlikely that you will want to sell and move again for several years. So, for example, if you are a young couple starting out, think about which schools the children you plan to have in five years could attend. Choose your suburb with your current and future needs in mind.

Tip 3: Even if you fall in love with the first property you see, view at least three before you sign on the dotted line

There are times in life when it's great to be impulsive. Deciding on a property to buy is not one of those times. While the first home you see may seem to tick all the boxes, you need to get a better idea of what's available in your price bracket. By buying the first home that you see, you may end up losing out on a property that offers better value and is even more perfect for your family.

Tip 4: Be thorough when you view a property and ask questions

Before you sign on the dotted line, you need to have covered all your bases. In a nutshell, the only silly question is the one you don't ask. This means thinking about everything from how many pets are allowed to how much parking is available. If you are buying a sectional title property, you need to ask to see the block's financial statements to ensure that all is in order. Another question to ask if you are buying into a sectional title is how many people are allowed to live in the unit that you are purchasing. 

Tip 5: Use a bond originator to secure finance

If you're in the market to buy a property, a bond originator like ooba is about to make your life a whole lot simpler. The bond originator - who does not charge you a cent - is responsible for applying to all the banks for finance on your behalf and negotiating the best possible deal for you. This is likely to save you money because ooba will leverage the strong relationships they have with all the financial institutions to get you a great deal. It will also save you a huge amount of time because you only fill in the paperwork once and ooba takes care of all the banks after that.

Tip 6: Work with a Jawitz #RealPartner

The most important thing to do when you're shopping for a new home is to work with an agent you can trust. Jawitz has a long legacy in South Africa's real estate market and our agents are committed to finding the right home for every buyer.

Jawitz Properties has a wide range of properties to offer in every corner of South Africa. Browse the listings or contact us for more information and let's make you a homeowner in 2020!