Real Estate Investor Magazine South Africa April 2016 | Page 24

GETTING STARTED

5

Considerations for
first-time home buyers

What to look for when buying your first home
BY ADRIAN GOSLETT

W

hile renting a property has certain
advantages, such as the flexibility to
move around, buying a home provides
the purchaser with an appreciating asset that they
can call their own. However, purchasing a property
is also a far bigger commitment that requires careful
consideration.
It is vital for potential homebuyers to do the required
research before making the final decision to purchase
a property. Although it is an extremely rewarding
endeavour, it is a long-term commitment that should
be given the necessary time and deliberation it
deserves.
Here are a few aspects that every first-time
homebuyer should consider when starting the process
of purchasing a property:
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APRIL 2016 SA Real Estate Investor

Calculate the cost

It is important to remember that the monthly
bond repayment is only one aspect that needs to be
considered when determining how much a buyer can
afford. Affording a home means also being able to
pay for the other recurring monthly costs involved in
owning and maintaining a property.
It is imperative that the buyer selects a home that
meets their budget in terms of what the full living
costs will be and not just the bond repayment.
Additional costs to consider would include utilities,
rates and taxes, levies and maintenance costs. These
are not costs that are considered by the bank when
approving finance, so it is important to discuss and
calculate these costs with an experienced real estate
agent or a bond originator such as Betterbond.
www.reimag.co.za