Real Estate Investor Magazine South Africa November 2019 | Page 29

Improve sales and
turnaround time
FINANCING
Bond procurement targeted at developers and
estate agents
SIDIMA MFEKU
A
s a link between home sellers and buyers, through
bond originators, developers and estate agents, one
can be exempted from experiencing bond procure-
ment frustrations and administration complications. Using
a dedicated bond originator will increase approval chances
and ensure a faster turnaround time.
Every procurement process has its own complications.
Much like ones encountered by developers and estate agents
where the home loan application process is out of their control
or the process is not managed effectively. Assisting potential
homeowners and investors through every step of purchasing
property and negotiating sales acceptable to both parties
doesn’t have to be as tough as it sounds.
There is one central aspect in the whole property buying
process that can make or break any deal – the funds for buying
the property. If the purchase is dependent on a home loan,
the application process can lead to a lot of frustration for the
estate agent or developer. Whereas working with a bond
originator gives control back to the estate agent and/or the
developer, as the home loan application process becomes
a controlled situation. Furthermore, there are much higher
approval chances and a faster turnaround time than if a client
applied for a bond on their own. Thus, increasing the success
rate of the sale.
Offering their services at no cost, home loan specialist and
owner of Ever Bond, Elna Kroukamp says: “We act on behalf of
our clients by submitting their bond application to all banks
simultaneously. We also assist clients with the best deals and
rates on the home loan, shortening the turnaround time while
the client gets a much higher chance for an approved bond.
We give daily feedback to our clients – estate agents and
developers.”
“In the process, we give control of the sale back to the estate
agents and developers. That said, we increase estate agents
and developer’s chances of a successful sale.” The banks do
not penalise buyers for using a bond originator – the fees are
exactly the same.
“Because Ever Bond speaks ‘bank language’ fluently we
know the criteria to a successful home loan application,” adds
Kroukamp. As opposed to the 35% success rate for direct
buyers, with bond originators the client’s success rates for an
approved bond increases and hits as high as 75%.
Why agents and developers need to
look at working with a dedicated bond
originator team:
Ever Bond works with FNB, SA Home Loans,
Standard Bank, ABSA, Nedbank, Sentinel Home
Loans, HIP, Investec and RMB.
Control over the sales-process are given back to the
Estate Agent and Developer as their clients’ home
loan applications are submitted via a central unit
(Ever Bond) where daily feedback is given and a lot
of administration alleviated by the Bond Originator
e.g. liaison with the Attorneys, etc.
The approval of new Developments are done 100%
from start to finish by the Bond Originator, in a
much shorter time frame as contacts within the
banks has been well established – taking a lot of
administration off the Developer.
Higher approval ratios for home loan applications
result in higher sales success, which results in higher
income for the Estate Agent and Developer – this is
a successful business-model!
SA Real Estate Investor Magazine NOVEMBER/DECEMBER 2019
27