Real Estate Investor Magazine South Africa April/May 2019 | Page 34

GETTING STARTED
The ABCs of House
Hunting in 2019
I
f you’re on the prowl for a new home, you really need to sink
your teeth into these tips.
‘Investing in property is generally a 20-25-year commitment
that requires forethought and doing your homework, especially
now,’ says Samuel Seeff, chairman of the Seeff Property Group.
He gives the following tips for house hunters:
AFFORDABILITY: ‘Probably the most important
aspect, is being able to afford property. The economy has a
lot to do with that because poor growth usually means cost
hikes and pressure on what you can afford. Allow for room
to manoeuvre in your budget, especially in view of potential
cost hikes such as Eskom electricity. Buy below, rather than
above your means. If you buy smart, you can always grow with
your house.’ – Samuel Seeff, chairman of the Seeff Property
Group.
PRE-QUALIFY: ‘Most first-time buyers require home
loan finance and need to understand what is required and
the process. Once you know that you can afford, you need
to ensure that you qualify for a home loan. This means
a clear credit record and regular fixed income. Speak
to your bank or a mortgage originator to get pre-qualified to
avoid disappointment.’ - Malieta Botha, manager for Seeff
Brackenfell, Stellenbosch and West Coast.
NEIGHBOURHOOD: ‘Next comes deciding on
a suburb. If you are buying for the long term, consider
how convenient it is for your work commute. Also check
for amenities and conveniences so that you don't spend
your downtime travelling. If starting a family is in your
future, check for schools. Be sure to invest in an area with good
capital value growth. Finally, check for local community action
groups such as a Neighbourhood Watch.’ - Pauline Hareb, sales
manager for Seeff Pinelands
PROPERTY TYPE: If you are young, you may want
a flat, small townhouse or semi, but do think about
your later needs. It is also important that you look for
key features such as internet and fibre connectivity and
aspects such as security. If you opt for a sectional title
property, check aspects such as whether pets are permitted and
know what is considered your section and exclusive use versus
common property. Also, check the conduct and scheme rules
around parking, renovations and so on.
PROPERTY SEARCH: Searching online for property
has never been easier. You can also subscribe to alerts to
ensure that you are notified as soon as a property that
meets your needs, is listed. Digital technology has made it
possible to see much more in terms of a photographic or
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APRIL/MAY 2019 SA Real Estate Investor Magazine
video walk-through without necessarily needing to visit every
property. Once you have a few that interest you, you can then
set up viewings
PROPERTY
VIEWING:
Despite
digital
advancement, there is no substitute for physically viewing
a property. Do a thorough walk through and check all
aspects relating to the condition of the property. Be sure
to also check if there are any conditions attached to
the title deed such as a usufruct, servitude or other restrictive
conditions as well as the zoning. If it is a sectional title property,
be especially sure to check the complex or scheme rules
including aspects such as keeping of pets.
PROPERTY SELECTION: ‘You should check
whether the property offers internet and fibre
connectivity. Following the water and electricity issues,
check whether the property offers a water harvest or
storage system as well as solar power. Other aspects
to check is whether there is irrigation, a well point or
borehole, and whether these are fully functional. Also
check all aspects of the swimming pool.’ - Jannie
Dyason, an intern agent with Seeff Welgedacht
and Durbanville
OFFER
TO
PURCHASE:
‘Following a thorough inspection
of the property and clarifying
any concerns or questions
about the condition with
the agent, it is time to put in
an offer. When putting in an
offer, make sure it is the best
offer that you can make,
especially if it is a property
which has attracted a lot
of interest. Don't bet
on a low offer because
you may just lose out to
another buyer.’ - Malieta Botha,
manager for Seeff Brackenfell,
Stellenbosch and West Coast
GETTING A BOND: Because you have already
done your pre-qualification, this should be fairly straight
forward, but remember that the bank will need to find
adequate value in the property and may require a deposit
payment. Documents needed include the accepted Offer
to Purchase, proof of income and at least three months' bank
statements (additional requirements if you are self-employed),
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