FINANCE
FINANCE
How much can I afford?
Your dream property may come with an unrealistic price tag. To avoid heartache further along the bond application journey, it’ s advisable to use an online affordability calculator to work out how much you can afford.
Better yet, work with a bond originator and apply for bond pre-approval so that you have a firm idea of what you can spend each month on your bond repayments. It can be done online, at any time and at no cost. Also, pre-approval improves your approval rate and speeds up the application process because all your important documents are already in the system.
Always consider the hidden costs associated with buying a property. You have to budget for more than just the monthly bond payments. There will be initial transfer costs and other associated fees, and once you are a homeowner you have to make sure you have funds available for ongoing maintenance and repairs. It is therefore important to ask yourself some honest questions about your budget, your income and your monthly financial commitments when buying a home.
Is this the best location?
Bear in mind the real estate motto of“ location, location, location”. Before you start browsing online for homes, make a list of things you expect or need from your neighbourhood. Do you have young children that will have to attend a nearby school, for example. Is access to public transport important? Find out as much as you can about the area you are thinking of buying in while you are looking at properties.
66 REI MAGAZINE APRIL 2025