Step by step guide to getting a home building loan
Buying A Home
So, you’re in the market for a new home. It’s an exciting step and there is nothing like a brand new space to call your own. Before your search begins, FNB Home Loans would like to ensure that your journey to home ownership is a smooth one. Here are some guidelines to help you every step of the way.
Know what you want
Know what size suits your needs and give good consideration to your choice of area. Think about accessibility to work, public transport, schooling and other amenities. Remember location really matters!
Do your sums
Know exactly how much you can afford. It’s not just the instalment you’ll be paying – you need to include insurance (homeowners, household and life) and municipal costs in your budget. Use our Monthly Repayment Calculator to see how much you’ll need on a monthly basis, to cover the bond. After that you need to add the additional costs to this figure.
Banking on a budget
A home loan for first time buyers can be difficult to understand, so contact an FNB Home Loans consultant on 087 730 11 44 or visit your nearest branch You could go online to do an affordability assessment to find out exactly how much credit you can access for your new home.
Putting down a deposit
You may need to put some of your own money on the table before you can buy a house. Depending on your financial situation, some of our home loan products allow you to qualify for larger home loans without paying a deposit.
The Right Package
FNB has a wide range of financial products tailored to meet your individual requirements. It’s important to choose a Home Loan package that works for you.
Plan for additional costs
Be aware of other once-off costs that you will have to pay, over and above the deposit. These include initiation and administration fees, legal costs, bond registration fees and VAT/Transfer Duty.
Begin the search
There are a number of factors to consider when determining the initial amount to offer on a home:
Sale price of similar houses in the neighbourhood for the past year or so will give you a good estimate of current market value. The estate agent will assist you with this information.
Know what you are buying
View as many properties as possible. Make comparisons. Make a short list. Sleep over the short list. Do not guess or assume anything. Ask the seller or estate agent as many questions as you can until you are totally satisfied. Viewing the selected property several times will assist in final decision making.
I like it! I want it!
The decision has been made! It’s now time to think about signing an offer to purchase with the seller and to complete your home loans application. Ask for assistance on 087 730 11 44, or apply online or contact your nearest FNB branch.