Why should you consider a bond pre-approval before buying a home?
Category The Realtors Way
Getting a pre-approval for a home loan means you get to know your credit score, and realistically what you can afford in home loan payments every month.
It is not a guaranteed home loan, but it's a good indicator of the type of size home loan the bank is able to initially grant you, providing you with the first step done on your house-hunting journey.
Although buying a home is an exciting process, it is most definitely a roller coaster of a ride. Spending hours scouring through online property portals, scheduling viewings and visiting show houses every Sunday - it becomes essential to know your budget before you buy.
If you have a low credit score, you should try and find ways to improve it, such as, paying your accounts in full and on time, clearing your credit card debt, and closing accounts once you've paid the balance owed.
Since commencing on the new normal, we have noticed an increase in interest rates, and do believe that it will persistently increase as time goes by. However, even with the rise in interest rates, rest assured that you will still be able to afford a home in today's ever-changing market.
Although the property rates fluctuate as the interest rates increase. In general, stronger economies tend to push interest rates upwards, with lower rates used as a way to increase investment and eliminate a financial slowdown.
Rising interest rates are nothing to fear and provided knowledge on the topic will ease housing market participants' concerns. It is vital for housing market participants to understand the rising rates, as they impact just about every aspect of buying a home.
However, it's important to remember that interest rates are not the only factor that helps determine the cost of purchasing a property. Location and population trends can also impact home prices and availability of homes.
Realtors Group undergo valuable systems to ensure that our clients can expect the same level of transparency, feedback, and consistency from them that they enjoy from us and making use of an excellent Real Estate company to facilitate your journey immediately provides you with peace of mind when embarking on the house-hunt tribulation. We provide our clients with strong property databases and are 26 years strong, making our unique brand one of the most established in Cape Town.
If you are currently on the market for a new property or embarking on a new journey, do not hesitate to choose Realtors Group as your trusted Property team and we promise to deliver Personal Relationships and Big Results for you and your family.
Author: Realtors Group
