Step by step guide to buying a home
Category Adrienne Hersch News
Buying a home is one of the most important decisions a person can make in their lives. We put together the essential, step by step guide to buying a home in South Africa.
- What can you Afford?
Start the process on the right foot and begin your property search armed with a comprehensive understanding of your finances. Apply for a pre-qualified home loan which will provide you with an indication of how much money you will have to fund the purchase.
- Choose an Agent
Find an agent you connect with and feel comfortable working with. Speak to colleagues, friends and family members for reliable referrals. You want an agent who will constantly keep you in the loop, be transparent, professional and committed. Once you decide on your preferred suburb/s, try speak to as many people living in the area as possible on who their recommended area expert is.
Do your homework and make sure you have a solid understanding of the current market conditions and whether it is a good time to be entering the market as a first-time buyer. Get an understanding of what areas you would like to live in, specifically in relation to work, school, places of worship and key amenities.
- Ancillary Costs
You need to make sure you have enough money for additional costs associated with the purchasing of a home including a deposit and transfer fees.
- Finding "The One"
You have spent months searching for the perfect property, been to countless show days and trawled online property portals searching for a property with your specifications, in your area and in your price bracket. Once you have found the ideal property and obtained expert advice from various experts such as plumbers, engineers and electricians, you can FINALLY submit your offer.
- Submit your offer
Your offer will be submitted to the seller in writing, stating any special conditions. All counter offers will be resubmitted to you, always in writing and negotiated on behalf of your agent so that a successful sale can be concluded for all parties concerned.
- Signed, Sealed & Delivered!
Once your Offer to Purchase has been accepted, you will work with your bond originator on receiving final approval for the purchase. At this point you will be required to pay the deposit specified in the Offer to Purchase. Provide the bond consultant with all necessary documentation for them to assist you in procuring the necessary finance. A property valuator will be sent to inspect the property by the bank. Once all suspensive conditions have been fulfilled, you will be notified that the deal has been accepted.
As part of the transfer process, the attorney will do the following:
- Confirm title deed details
- Confirm the cancellation bond amount
- Confirm the outstanding rates and taxes amount
- Prepare documents for transfer and signature hereof
- Submit documents to the Deeds Office where transfer is registered
- Pay out proceeds of the sale to the seller on transfer
- Transfer of the property
Possession will take place when the property is registered. You will then officially be the new homeowner and receive the keys to your home! The entire process from the time of submission of your offer to purchase to the registration of the property takes approximately six to eight weeks. However, be prepared for unexpected delays along the way.
Author: Adrienne Hersch Media Team