Answering your real estate questions
Category News
As we venture into 2022, you might be thinking about whether this is the year to buy your first property, upgrade to a larger new home or even downsize. We thought we would give you some insights into the South African property market by answering some frequently asked questions.
How do I know it's the right time to buy a property?
There are two aspects to deciding whether it's the right time to buy property. The first is your personal finances and circumstances and the second is conditions in the property market. In terms of your finances, you need to have a steady source of income before you think about buying property, and ideally, you should also have a deposit saved up. In terms of your circumstances, you need to be ready to think long-term about where you want to live and have a clear idea of your medium and long-term goals.
From a property market point of view, it's definitely a great time to buy. The interest rate cuts of 2020 have brought the cost of borrowing money down to levels not seen in decades. There is a wide array of properties on the market, ranging from one-bedroom apartments to luxurious family homes and the banks have a healthy appetite for lending. Once you've found a property you like, you can use our range of calculators to make sure that the repayments will fit within your budget.
What's the best way to apply for a home loan?
Without a doubt, the best way to apply for a home loan is to use a bond originator like ooba. Your bond originator will apply to multiple banks on your behalf and you will only need to fill in one set of forms. They will also leverage the positive relationships they have with various financial institutions to get you the best possible deal on your home loan. Using a bond originator is completely free, so there's no reason to worry about approaching each bank as an individual. Many homebuyers' first instinct is to approach their banker to apply for a home loan on their behalf. It's important to remember that your banker will create a deal that works to the bank's advantage - and not necessarily to your advantage.
How do I sell a property quickly?
The best way to sell a property quickly is to ensure that your asking price is right. A Jawitz #RealPartner can offer you a free property valuation which will ensure that your price is accurate. It's important to understand that there is an array of factors that go into determining a property price, including location, what the property has to offer and its finishings. In a nutshell, the best advice for anyone looking to sell a property quickly is to enlist the help of an area specialist and price your property to sell.
What trends will we see in the property market in 2022?
Interest rates remain low enough to encourage property buyers, and with only marginal increases expected during this year, would-be homeowners are likely to continue to take the leap, keeping the market buoyant. Further good news for buyers is that the appetite of lenders is likely to remain strong in 2022, with home loans of up to 105% being granted.
The strong semigration trend that has been observed in the past two years is likely to continue, with Cape Town being a popular choice among semigraters. Around the country, homes in secure lifestyle estates seem set to remain popular thanks to the security and community-oriented lifestyle they offer. In addition, with loadshedding being an ongoing threat, homeowners are showing an increasing desire to go at least partly off the grid.
The Jawitz Properties team is here to answer all your property-market-related questions. Contact us and let us share our decades of experience in helping clients buy, sell and rent properties.
Author: Jawitz Properties
