Engel & Völkers offers assistance for prospective homeowners

When entering the property market, you should be aware of possible costs which you could occur. In the case of buyers it would include bond costs and transfer fees, and in the case of a seller, an electrical compliance certificate and pest and gas certificates, if applicable.

Steps to smooth the process

At the initial thought of buying or selling, there are certain steps that you could take to ensure that the process runs as smooth as possible. Sellers should request cancellation figures from their banks to avoid penalties and to speed up the registration process. However, should your property not sell within three months, you will need to re-issue this request. Also ensure that you have a copy of your building plan as the buyer may request this.

Once you have found the home of your dreams, you will need to complete a formal offer to purchase which is then presented to the seller for approval. Should the seller accept your offer, the offer to purchase is concluded. Both the buyer and seller need to have their FICA documents (copy of ID and proof of residence) ready which need to be handed to their agent with the contract. The buyer can now apply for finance, which Engel & Völkers (EV) Finance can do on your behalf at no additional cost.

Two groups of applicants

An EV Finance representative will contact the buyer and obtain the financial documentation needed. There are two groups of applicant's, salaried and self-employed individuals. For each group the banks have different prerequisites. It is important to make sure you have all the necessary documents before applying for your bond.

As per the service level agreements within the four major banks, an approval in principal (AIP) is issued within five to seven working days. An AIP qualifies you for the bond amount according to your credit score and affordability.

An AIP is subject to valuation, which the bank will take care of and should the property qualify, a final grant will be issued within 48 hours. Once you have received the final grant, you will receive a formal quote. Upon accepting the bank's quotation, instruction is sent to the relevant bond attorney and the registration process takes place.