Buying a home is likely to be the single largest expense you will incur in your lifetime, so choosing the right property is vitally important.<\/p>\n
\u201cThere is a reason that it takes people months to find their perfect home \u2013 it is a long term commitment that requires plenty of planning and research,”\u00a0said Albertus van Staden, head of credit at FNB Housing Finance. “When you are considering buying property, be it as an investment or a home to live in, it has to meet your financial and personal needs. Furthermore the home has to be worth its monetary value.”<\/p>\n
Can you afford it?\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/b><\/p>\n
One of the principal factors that will influence the type of home that you can purchase is your affordability, so before you can even start looking for your home, first do some research to identify what you can afford.<\/p>\n
\u201cThere are online tools such as FNB\u2019s Property leader that can give you an estimated loan amount.\u00a0 Keep in mind that this amount is based on an assumed interest rate and may not be what you will receive from the banks, so perhaps take 10% off this amount to give you a better chance of bond approval first time around,\u201d said Van Staden.<\/p>\n
Furthermore you would need to do proper research on how much you can expect to pay on rates and taxes, levies or HOA levies, which would vary depending on whether the property is a sectional title or a freehold \u2013 these costs are sometimes a big part of your monthly cost.<\/p>\n
\u201cOnce you have a clear indication of what you can afford then the fun part begins; looking for your ideal home.\u201d added Van Staden.<\/p>\n
Location, Location, Location<\/b><\/p>\n
When looking for a home the location of the property is an important factor.<\/p>\n
\u201cWhen you buy a home you also inherit the neighbourhood that the property is in. It is important to have a look at the appreciation value of the properties in that area so that you can understand the future value of your property as this will influence the value of your property should you want to sell\u00a0 in future.<\/p>\n
“A great way to spot the trends of the area that you are interested in is to set up alerts to receive updates on new properties that are listed in your shortlist of areas. You may even go as far as to\u00a0 get an area report on a location which may help you to negotiate the price of the property,\u201d Van Staden said.<\/p>\n
An additional factor to consider is the security of the area and how close you are to amenities such as malls and schools as well as the accessibility of main roads from your property \u2013 these all add to the value of your investment. Also consider any possible future developments that may take place in the area. For example, a new mall or school which may improve the demand for your property in the future.<\/p>\n
View, view, and view some more<\/b><\/p>\n
Viewing property is the best way to get an accurate feel for the home that you will be buying. These days it is easy to sit behind your computer and view from a property website. However when you go to the property itself you will get an idea of additional things that you should consider such the status of the neighbourhood and whether it is quiet or noisy.<\/p>\n
You also get to see whether the complex you want to buy in is well kept. It is also very important to ask for the body corporate financials, as you do not want to be left with nasty special levies to pay arrear accounts.<\/p>\n
\u201cThe property online will always be presented in its best light. So going to view will give you the opportunity to assess the condition of things such as the roof and the gutters; you will also be able to tell if the property is close to a highway or a railway station \u2013 which are things that are most likely to cause noise at night,\u201d said Van Staden.<\/p>\n
Get a second and third opinion<\/b><\/p>\n
Once you\u2019ve found the property that makes your heart skip a beat. The next step would be to ask a close relative to view the property with you; they may notice a damp spot or a crack in the wall which could indicate a more serious problem like structural damage.<\/p>\n
\u201cOften when you find a property that meets all your requirements, it is easy to blindly overlook potential problem areas. This is why it is important to get a family member that is knowledgeable regarding property to have a look at your prospective home,\u201d said Van Staden.<\/p>\n
Hire a property inspector<\/b><\/p>\n
In addition, and most importantly you may go as far as to hire a property inspector. The property inspector will inspect the property and give you a detailed report on the property\u2019s interior and exterior \u2013 they will highlight structural concerns, risks and also recommend solutions on how these can be repaired.<\/p>\n
\u201cBuying a home is a hefty investment and you can never be too careful. Taking the time out to do your research and going the extra mile to check that you are inheriting a solid property, may be time consuming, however it is the best way to ensure that you can live happily ever after in your new home,\u201d said Van Staden.<\/p>\n
Read the full article at FNB<\/a><\/p>\n What you should know about house evictions in South Africa<\/strong><\/a><\/p>\n What you need to know before renting a house<\/strong><\/a><\/p>\nMore on property in SA<\/h3>\n