This might be the perfect time to get a home and here is why
Interest and lending rates so low makes chances much higher of your bond being approved. This is the perfect time for South African to see if they qualify for a home loan. Giving the middle class the opportunity to afford a bond that previously didn’t qualify.
Thus allowing home buyers the opportunity to buy bigger and expensive properties. The South African Reserve Bank cut interest rates five time this year to 7% the lowest since 1966. Not only are the interest rates lowered also the cost of transfer fees.
Below we have provided a table for interest rates going back 10 years. Source https://www.portfolio-property.com/interest-rates
|Martin||$1||Because that’s all Steve Job’ needed for a salary.|
|John||$100K||For all the blogging he does.|
|Robert||$100M||Pictures are worth a thousand words, right? So Tom x 1,000.|
|Jane||$100B||With hair like that?! Enough said…|
Interest rates and deposits
Another way to to get a low interest rate from banks is to make sure you have a good deposit between 10% – 20% even higher. The higher the deposit the lower your interest. Bear in mind that there are many factors banks take in to consideration regarding your interest. This might be the perfect time to get your home during the lockdown due to rate cuts that enables all with a good opportunity.
One should ensure that your credit score https://www.transunion.co.za/education/credit-score is good and that bills are paid on time and that you not placed under debt review. Also try to have as little financial repayments. When your credit score is good it will definitely be beneficial to you.