What should I do before buying my first home?

Before buying your first home, it is important to understand what you can afford, estimate your monthly repayments, get pre-qualified for a home loan and research available properties in your preferred area.

What does it mean to get pre-qualified for a home loan?

Getting pre-qualified helps you understand how much finance you may qualify for before you start house hunting. It also provides greater confidence when making an offer on a property.

What should I consider before making an offer on a property?

Before making an offer, you should research local property prices, assess market conditions, inspect the property's condition and carefully consider any repair, renovation or maintenance costs.

What is an offer to purchase?

An offer to purchase is a written agreement that outlines the amount you are willing to pay for a property, along with any conditions that must be met before the sale proceeds.

What should I check before signing an offer to purchase?

You should verify that the property description, purchase price, occupation date, occupational rent arrangements, fixtures and fittings, and all agreed conditions are accurately reflected in the agreement before signing.

What happens during the home loan application process?

The lender will assess your financial information, perform a credit check, validate supporting documents and review the property details before deciding whether to approve your application.

What happens after my home loan is approved?

If your home loan is approved in principle, you may receive a conditional loan offer. Once the property has been valued and all requirements are met, a final offer may be issued and bond registration can begin.

Do I need insurance when buying a home?

Yes. Depending on the property and loan requirements, homeowners may need Homeowners Comprehensive Insurance. Life insurance may also be required or considered to help protect your family and financial obligations.

How long does property transfer and bond registration take?

The transfer and bond registration process involves attorneys and the deeds office and can take up to three months from initiation to registration, depending on the circumstances.

What is occupational rent?

Occupational rent is an amount a buyer may pay to the seller when moving into a property before ownership transfer and bond registration have been finalised.

What municipal costs should new homeowners budget for?

New homeowners should budget for municipal deposits, rates and taxes, water, electricity and other utility-related charges associated with the property.

What should I do before moving into my new home?

Before moving in, confirm your move-in arrangements, organise removals, activate insurance cover, update your address details where necessary and ensure utility accounts are registered and active.

Get the step-by-step guide to buying a home

We’ve put together a guide to help you understand what you need to do, what you can expect and how to do it. Now you can easily get the home you need without blowing your budget.

Before you buy

Find out what you can afford

Know exactly what you can afford and how much your loan repayments will cost you.

Find out what I can afford

Get pre-qualified

Get a certificate to help you understand what finance you may qualify for towards the purchase of a property.

Get pre-qualified now

Find your home

See thousands of available homes across South Africa on Private Property.

Go to PrivateProperty.co.za

What you need to know

Making an offer
When you find the home you want you will need to make an offer. 

Do some research on the prices of houses in the area – is the seller asking too much?

Check out the market conditions – is it a good time to buy? Speak to an estate agent or property expert for advice.

Look at the size, features and condition of the property – will it need repairs or extensions?

Read the offer to purchase carefully to understand what your rights and obligations are, before signing.

How to make your offer

Make a written offer with the amount you wish to pay, with all other conditions of your offer for the seller to consider.

The estate agent will present this to the seller/’s or their representative.

They will accept, reject or make you a counteroffer. 

Understanding the offer to purchase

The offer to purchase will determine how much you will pay for the property, so make sure it suits your pocket and that you have considered all the associated costs.

Check that the property description, purchase price and other details are correct.

The offer must include all the conditions you agreed to.

It should state the buyer’s date of occupation and the agreed occupational rent.

It should state which fixtures and fittings are sold with the house.

Remove any clause stating that the estate agent may deduct commission from the buyer’s deposit before registration and transfer of the property.

For properties with a value of less than R250 000 there is an automatic cooling off period of five working days, during which you can cancel your offer — the agreement should stipulate this to avoid misunderstanding.

If you are unsure , always seek advice first before signing.
Apply for your home loan
Apply for your home loan

Applying for a Home Loan with us is easy - either fill out the convenient online application or call us on 0860 111 007.

When we receive your application we will:

Assess your financial details.

Perform a credit check.

Validate your documents.

Validate the property details.

Receive an outcome

If your application is approved in principle:

We will make you a loan offer - this is how much your loan could be.

If you accept the loan offer, we will do a property valuation to confirm the value of the property.

We will then make you a final offer.

Should you accept our quote, we will instruct the registration attorneys to register your bond.

Consider your insurance needs.

If your property is free-standing you will have to get Home Owners Comprehensive insurance (HOC) policy before your bond is registered.

Life insurance may be mandatory for your home loan or you may want to protect your family should something happen to you (death or disability).

Check out our insurance offerings for more information on how we can assist you.

Transfer and bond registration.

This is the legal process required to:

Transfer the property into your name.

Register a bond (home loan) with us, your bank.

The attorneys will first contact you to sign the necessary documents.

Once you have signed all the documents, the attorneys will lodge them at the deeds office.

It takes two to three weeks for the documents to be inspected.

The whole process (from start to registration) can take up to 3 months.

On registration the home will be yours!
Moving into your new home
It’s time to make your move. This is going to be a big day so start planning early.

Plan your move

Confirm and arrange your move-in date and time with the seller or agent.

Book a removal company or arrange with friends to help you move.

Get packing — label the boxes, keep valuables in a safe place and set aside a box of essentials that you can use on moving day.

Visit the seller before they move out and ask them to show you where things like the electricity box and electricity meter and check that any special conditions agreed to in the contract have been met.

Make sure all the keys are labelled and left in one place — remember the outbuildings, windows and all doors.

Make sure any insurance cover you’ve taken out related to your property, home contents or Life cover is active immediately.

Make sure your car and Home Contents insurance is updated with your new property address.

Making your move

If the house has not been cleaned, have it cleaned before you unpack anything.

Put boxes in the rooms where they will be unpacked.

Start unpacking the kitchen boxes so that you’ll be able to make something to eat and drink.

Then move to the bedrooms so that you’ll have somewhere to sleep if you don’t finish in one day.

Occupational rent

If you move in before the transfer and bond has been registered in your name, the seller could ask you to pay occupational rent.

The amount would have been stipulated in your offer to purchase, if not it is recommended that this be agreed upon in writing before you take occupation to avoid any dispute.

You will need to pay occupational rent while you are living in the house until transfer and bond registration takes place.

Municipal deposits

You will need to register your new rates accounts into your name – do this yourself or ask your attorney to assist.

You will then have to pay a deposit for utilities (such as water and lights) and a monthly fee towards rates and taxes.

Do this before you move in so you will have electricity (if not prepaid) and water when you arrive.