Mc Naught & Co
Home Loan Applications
The difficult task of getting a home loan (mortgage bond) to buy your property can be made easier if you follow this guide. There are 3 ways you can go about getting a home loan:
WHO TO TALK TO?
1. Walk into the branch of the bank you deal with, or any branch of these 3 banks, and talk to a Home Loan Consultant;
2. Apply Online to see which bank will give you a better deal and advice – click on the bank logos below to be redirected to their online home loan application;
3. Ask a Mortgage Originator for help. They usually deal with all of the banks and get paid a commission by the bank for finding bonds for them. It costs you nothing and they will help you get a loan. Here is a list of those we deal regularly with.
WHAT DO I NEED?
Before applying for a bond, you need to get some information to hand if you don’t want to waste time. Everyone will ask you for this information:
1. A copy of the Sale Agreement – get one from the Agent selling you the property.
2. Your identity document, and that of your partner if you are married or intending to buy jointly with your partner.
3. Both of your proof of residential address – original municipal account, cellphone statement, or other finance statement or SARS Tax letter.
4. Your Salary payslips, or if self-employed, your audited financial statements and 6 months bank statements.
5. Your income tax registration numbers.
6. A list of your income and expenditure with account numbers of expenditure accounts eg vehicle finance account number, credit card account numbers.
7. If you are going to see a bank consultant or mortgage originator, phone first to see if there is anything else you will need.
HOW MUCH DOES IT COST AND CAN I AFFORD IT?
Our Mc Naught and Company website has a fairly comprehensive calculator to help you work out what size loan you can afford or will qualify for and how much the Attorney’s charges are to register this loan in the Deeds Office when the property is transferred into your name. Click on the link here to our handy calculator and see for yourself.
Mc Naught and Company would like to secure the legal work involved in registering both the property transfer into your name as well as the mortgage bond registration for the bank and if we do both we will offer you a discount on the costs. Be SURE to specifically request that Mc Naught and Company be appointed as the Conveyancers for the property registration when you are dealing with the real estate agent and also when you are dealing with the Bank consultant or Mortgage originator, otherwise they will allocate the work to whom they or the seller prefers and you will not get this discount. It will also be convenient for you to only visit one set of lawyer’s offices when you need to sign all the transfer and bank paperwork. Mc Naught and Company serve on the panel of Attorneys for bond registrations with Standard Bank, Nedbank and First National Bank and it will be our pleasure to help you.
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Property Practitioners Act – The new law
Some new legislation will bring far-reaching changes to the property industry as it will be replacing the Estate Agency Affairs Act, 1976 (“The old Act”). If you are an estate agent, you will likely already be aware that the Property Practitioners Bill was signed into South African law on 2 October 2019 and we can expect that it will become operational within the next few months. However, Estate Agents are not the only ones who this bill applies to.