Invest now for your dream home
When making a decision that involves real estate, we are often influenced by factors such as our personal finances, the state of the economy and the local housing market. This is a wise outlook and provides buyers and sellers with the insight and confidence they need to find a new home or list their current property. With the South African Revenue Bank (SARB) providing its first substantial interest rate cut since 2020, it seems like now is the time to strike when applying for those home loans. Discover why you should begin investing in real estate as early as you can.
Interest rates dictate homeownership: take advantage of the present
The current SARB interest rate stands at 8%. A 25 basis point decrease was greatly welcomed by the public and is set to have a massive positive effect on the property industry. Homes on the market have not shown a great appreciation in price over the last few years, while this may be a deterrent for sellers, those who are ready to take the leap into homeownership can be cheered by this.
Buying your forever home is a special time in your life that should not be dictated by the rise and fall of interest rates. However, those who are on tight budgets will benefit from banking on low interest rates to be the deciding factor in their purchase. This does come with its own pitfalls and drawbacks, as we shall discuss further.
Budget for the future: consider your repayments in 10 years
While buyers hope for the best location, property condition, and value for money, buying a home when the interest rate is low can be risky. This is due to the fact that buyers initially budget for the repayments to remain within their affordability range. You can bypass this by leaving room in your budget for your expenses to grow. As time goes on, make provision for your finances to expand. It helps to have a solid financial plan in place solely dedicated toward ensuring your property assets are prioritised.
As you move onward to making your dream of becoming a homeowner a reality, remember that you will need to get pre-approved for a home loan at any stage of your life. Use this as motivation to get your documents in order and save as much as you can in a fund meant for your real estate goals.
Competitive property markets understood: get the upper hand
Sellers are more willing to accept buyers who can prove they can comfortably afford the property. Having an accurate assessment of what you can afford and a pre-approvement from a bank or an accredited lending institution puts you in good stead with the buyers and with the estate agency you pick. Having the correct tools and support will lead you to have a seamless home-buying experience. With REALGLEN Properties, we work with potential buyers from the outset to determine the best price ranges, areas of interest and the specifics of the type of house you are looking for.
Trust us to work with your requirements: your dream home is a click away
We specialise in listing the best properties in Gauteng, Free State and most recently, choice suburbs of KwaZulu-Natal. Our properties feature a wide range of luxurious estates, convenient apartments and starter homes or townhouses. We are dedicated to helping clients from different backgrounds find the home they’ve been saving for. With our expert property practitioners, we can assist with helping you seal the deal with ease. Find your perfect home from our listing selection and get in touch with us today.