First-time home buyers: Everything you should know
First-time home buyers: Here’s everything you should know
First-time home buyers are less likely to be familiar with the home-buying process, and as such, can benefit the most from expert guidance. Here’s what you need to know.
1. What can you afford?
Of course, this is the first issue to consider, before you even begin the house hunt.
To this end, it’s recommended you get prequalified. At ooba Home Loans,. South Africa’ largest home loan comparison service, we provide a free, online prequalification service in the form of our Bond Indicator. This can help you determine what you can afford.
Armed with this information, you will be able to commence your house hunt with confidence.
2. The importance of your credit score.
Your credit score is a three-digit number between 000 and 999, calculated by the credit bureau based on your financial history (your debts, income etc ).
The bank checks your credit score when you apply for a home loan. The higher your credit score, the better your chance of the bank granting you the loan.
Anything above 600 is considered a good credit score. 670+ is considered excellent.
When you get prequalified with ooba Home Loans, we provide you with your credit score. This is important information to have before commencing your house hunt, as you’ll have time to improve your credit score if it’s too low (we can advise you on how to clear your credit record).