ALL ABOUT HOME LOANS brought to you by Bank One
Bank One offers insight into the merits , and the risks , of purchasing your own home , the importance of appropriate insurance when doing so , as well as the key features of their Home Loan product :
1 . What characterises Mauritian real estate investors in 2022 ?
We are seeing interest predominantly from first-time buyers , in the 30 + age category , who are considering properties priced around Rs 5 million . There is also interest from those exploring real estate acquisition as an investment , or as a means of generating income .
2 . Why would you encourage someone to consider purchasing their own property , as opposed to renting , or continuing to reside with their family ?
Buying property is usually a goal which has been consciously striven and saved for , perhaps for some time , and is therefore an indication that someone is ready for the commitment and responsibility , both financial and personal .
So , it offers people a sense of pride and accomplishment – in addition to the security and peace of mind , which comes from owning their own home .
Rental costs can vary dramatically in the medium to long term , bringing uncertainty , whereas home loan repayments will typically remain stable throughout the repayment period .
Buying property offers people the opportunity to start building equity , as the value of property appreciates over time .
Incentives and additional support , in the form of tax deductions for example , exist to assist with the financial commitment of purchasing , building or renovating your own property .
3 . What challenges and risks should potential new homeowners be aware of , before purchasing a property ? being prepared for these is essential . Property ownership is an illiquid investment , so cannot be relied upon in the event that funds are required urgently , or in an emergency .
Monthly home loan repayments are a financial commitment and responsibility , and there are repercussions if these are not maintained – being very sure of affordability from the outset , is critical .
4 . What are the key features of the Bank One Home Loan and what makes it unique ?
The interest rates are extremely competitive , over the tenure of the loan , and financing up to 100 % is available ( subject to conditions ).
A tenure of up to 35 years is available , currently the longest on the market , which offers buyers the possibility of either managing their cash flow by reducing the monthly repayment amount , or benefitting from a loan of a greater amount .
A one-off application fee of Rs 6,000.00 includes : the 1st assessment , the 1st site visit , the credit check with the MCIB , and examination of the documents required for registration ( i . e . the charge document and the title deed ).
Potential home buyers are offered a personalised service , tailored to their specific requirements and circumstances . A growth of 31.7 % in our mortgage book for 2021 is testament to the quality of this service and the level of customer satisfaction .
5 . Tell us a bit more about the role of insurance in the process of acquiring or improving your own home .
It is strongly advised to ensure protection of what is possibly someone ’ s most important asset , with appropriate insurance measures . Bank One can assist with the provision of the full range of insurance products , through partnership and collaboration with various providers .
The initial outlay and upfront costs are high , but these need not be prohibitive if appropriate planning has taken place .
Other costs associated with owning property include ongoing maintenance and tax payments – and again ,
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