In the third episode of Win A Home Season 3 we meet Nedbank's Tim Akinnusi who offers valuable advice on what to consider before buying property. Watch the episode:
Personal readiness - it is important that consumers are personally ready for this life changing event as it is the start of a significant long-term financial commitment that requires one to be ready to tackle
Affordability - Buying a home comes with its share of financial responsibility. Not only paying a mortgage but other costs such as insurance cost, rates and taxes and other ongoing costs associated to being a home owner. Furthermore, one needs to also think of the changing economic circumstances such as rising interest rates, fuel price hikes, electricity tariffs, food and how common good could affect their affordability status.
Good credit record – a good credit health is important as it will inform banks of your borrowing and repayment behaviour with credit providers over time. Ensuring that one has a good credit health before any credit application will improve one’s character as a borrower. Knowing your credit health offers an opportunity to alter it if it is not spotless
Some savings as there are cost involved in the purchase process – we always advise consumers to have some money saved up for a deposit as this may lower your monthly bond instalments.