Need advice on a Home Loan?
When planning to buy your dream home, it is important to remember that you will also be responsible for paying certain administration and registration fees. Our home loan calculators will show you exactly what to expect in terms of some of the key costs you’ll have to cover and affordability.
Several factors affect the amount you have to pay for your dream home:
- Transfer costs
- Transfer duty
- Bond registration costs
- Bank initiation fee
- The deposit
If you’re buying a home for more than R900 000, you’ll have to pay transfer costs, which includes transfer duty. If you’re taking out a home loan, you’ll also be paying bond registration costs, including a bank initiation fee. These costs are not part of the bond, they are extra.
The higher the purchase price of your property, the higher the transfer costs. And the higher the bond amount, the higher the bond registration costs. The Bond and Transfer Costs Calculator makes it easy to find out exactly how much the transfer costs will be on the home you’d like to own.
Your bond registration costs will be paid to a transferring attorney, who will sort out the necessary documents and get them registered at the deeds office. He or she will also ensure that the transfer fees are paid to the right government department. Find out what your attorney will charge you for doing this.
Interestingly, if the property isn’t in the name of a person but of a company, VAT is payable and not transfer duty. This can be higher than the transfer duty. Give us a call if you’re buying from a Closed Corporation (CC) or a trust. We can assist.
Of course, you’ll also have to pay a deposit. Use the bond and transfer costs calculator to find out what you’ll have to budget for.
Buying a property for you and your family is incredibly exciting, but some steps in the process can be unnerving. Take comfort in the fact that we’re here to guide you every step of the way.
The ooba group subsidiaries Property Protector Financial Services and ooba Administration Services are Authorised Financial Services Providers (FSP No’s: 216 & 46293)