You will also do well to talk to a financial institution or to a reputable bond originator before embarking on your search for the perfect home. "A letter of comfort from a financial institution, confirming that you have sufficient funds and are financially secure and able to complete the purchase, will enable you to look for a home in the appropriate price category from the outset. It will also strengthen your hand when putting in an offer and negotiating the purchasing price," advised Schutte.
Pre-approval is always considered in a favourable light during the negotiation process. Moreover, it can save a prospective new homeowner a great deal of time and unnecessary anguish. Schutte noted that it can be disheartening when looking at homes in too high a price bracket only to find that you cannot obtain the necessary finance.
"So try to look in the right price bracket to suit your budget from the outset. Find an area that complements your lifestyle, in terms of your place of work, suitable schools, universities and other conveniences, such as transport, shopping and entertainment centres, highways and health-care facilities.
"Should you have children of school-going age, or if you are planning a family, it is recommended that you find out all there is to know in terms of school feeder areas before buying a property. This will avoid future disappointment - particularly if you are hoping to secure a place for your children at a good government school that is close to your home.
"Consider what you want to buy carefully - is it a starter home or are you looking for a long-term family home? Be sure to buy a property that will grow in value, so that you will realise a return on your investment when you choose to move on to a new stage of life. This is where the services of a well-informed agent will prove invaluable," encouraged Schutte.
"Be careful not to buy the 'fix-me-upper' and then overcapitalise on a property or an area. Always ensure that you can recover the money that you have spent. The old adage of buying the cheapest house in the best street or area still represents good advice in today's times.
Herewith six important pointers to add to your checklist, before signing on the dotted line:
While on the subject of body corporates, doing your homework is once again important. Is the body corporate healthy? What is the history in terms of levy increases and are these normal or extreme given the circumstances of the complex or estate you hope to be buying into?
Property transfer duties can make quite a dent in your savings so be sure to budget for this additional expense. Also, put some money aside to fund three to four months' worth of rates and taxes accounts up front, as this is nowadays a standard practice.
Ask in advance about clearance certificates for electricity and water, as well as rates and taxes. Avoid going through the entire purchasing process without asking if these can be obtained.
Do not hesitate to ask specific questions about the property and any problems that there may be. There is an obligation on the seller to advise of any known latent defects. These are defects that may not be visible to the buyer through normal inspection of the property.
The "voetstoots" clause, which comes into effect when purchasing a property, effectively means that you purchase the property as it stands. It is, therefore, wise to compile a checklist to go through with your agent and owner. Remember that the onus is on you to carry out a reasonable inspection.
Once you have considered all these factors find yourself a real estate company with a credible track record, with whom you can partner in your search for the perfect home. It is vital that you work with an agent who is knowledgeable and well informed about the area you seek to buy in.