Tips for Purchasers when buying a property

Tips for Purchasers when buying a property

Article Provided by Leanne Jooste, B Law Inc. Attorneys

Here are some important points to consider when purchasing a property:

Try to get a pre-approval as this will confirm the value of the home loan that you will qualify for. This saves you the disappointment of finding a property that you love but which you do not qualify for. A mortgage originator can assist you with this simple and quick task.

Look at your credit score as this is essential to buying a property. The banks will look at your credit score in order to determine how you handle your credit and how good you are at paying it back. It can take up to 6 months to build your credit score.

Research the area you are interested in purchasing. Visit the area and research the internet to see what estimate amount the properties in the area are being sold for. Make contact with a property practitioner as they are familiar with the area and can assist you in finding the right property and answer all your questions.

Always inspect the property you wish to buy thoroughly to see if you can see any defects. Ask the seller or the property practitioner all the questions that you have and list any items that you want the seller to repair before signing an offer to purchase.

Remember that you need to have extra funds available for the property transfer process, which is the bond registration attorneys' fees and transferring attorney's fees. The estimate amount to budget for can depend on the purchase price of the property. We can assist you with an estimation thereof upon request.

Levies will be payable should you purchase a property in a Sectional Title complex or a Home Owners Association estate. Enquire about this from the seller or the property practitioner.

Only make an offer to purchase if and when you are satisfied that you have inspected the property and are aware of any possible defects of the property. Once the seller accepts the offer and signs the offer to purchase, it becomes a valid and binding contract and you will not be able to change your mind and simply cancel the deal.

Make use of a mortgage originator to assist you with the obtaining of financing from the banks. They are able to negotiate better interest rates with the banks and they make the process easier for you. You do not pay for this service.

De Lucia Group has been servicing the property industry for over 45 years. Contact us to ensure you get the best advice for all your property-related queries. Michael De Lucia - michaeldl@delucia.co.za.