Thursday, 12 May 2011

Transfer duty and Conveyancing Fees.

Transfer duty exemption threshold increased from R500000 to R60000. This is good news to new buyers. This step shows that the government is trying to promote home ownership. Let’s take advantage of this as this is entirely to our benefit.  The government by lowering the transfer duty might be losing revenue but they have new home owners at heart. In short, you will pay less transfer duty if you buy a property valued greater than R600 000.The break down is as follows;
On the value of the property that does not exceed R600 000: 0%
On the value of property that exceeds R600 000, but not R1 000 000.00: 3%.
On the value of property that exceeds R1 000 000.00, but not R1 500 000: R12 000 plus 5% on the value exceeding R1 000 000.00.
On the value of property that exceeds R1 500 000: R37 000 plus 8% on the value that exceeds R1 500 000.

The other costs involved are the conveyance fees, deeds office fee and VAT. The conveyance fees, what you pay depends on who the conveyance attorney is and how much the property costs. The conveyance attorneys’ rates are generally between 0.7% and 1.2% of the price of the house. The fee levied by the Deeds Office to register the deed to the property in your name, depends on the value of the property, and starts at R 55 per registration, VAT 14% will apply and Post and petties which include all costs to the bank for postage's, admin fees, phones calls and odds and ends.

 Previously companies, CC’s and Trusts were charged at a flat rate of 8% on the whole purchase price for transfer duty, the above scale will also now apply to them as well as natural persons, which will make a huge difference.

At the same time SARS banned manual transfer duty submissions when the new system went live on April 1 and they have introduced the new SARS Conveyancing service. 

Tuesday, 10 May 2011

Buying Property in FRANCE ...

We have access to a some brilliant mortgage deals for non residents buying a property in France

Key benefits of the mortgages include:

• Interest rates that start from a very competitive 2.09%.

• Loans that start from just 21,500 Euros.

• Mortgage options for investment purchases, holiday homes, self builds, like for like remortgages and equity release.

• Lending available up to 85% loan to value.

• 5 to 30 year mortgage terms available.

• Applicants between the age of 18 to 80 accepted.

• No credit scoring or credit search carried out by selected lenders.

• Access to Exclusive mortgage deals.

Benefits of our service include:

• Access to a wide range of mortgage products.

• A friendly professional team of English speaking mortgage advisers.

• A free pre-approval service, so you know you qualify for a particular mortgage before applying.

• Competitive service charges.

Thursday, 5 May 2011

Build your Dream Home

Yes, you have looked and looked and you seem not to find your dream house.  Its either the price is too high or it’s just not what you really want. What do you do?
Well, why not just build it according to want you want.  There is a product tailor made for that-a building loan.  It is your only solution. Let’s take this journey together as we explore this issue in detail. What are the banks requirements and the things to consider when wanting to build?  
Dealing with the four major banks namely ABSA, Standard, FNB and Nedbank I have come to a realization they look at each application differently and each application is unique. This simple means if your friend who earns exactly like you got a bond at Absa that does not necessarily mean you will get it. As we discuss this issue don’t forget the main things the banks look at; credit record and affordability.
The qualifying criteria for a home loan and a building loan are exactly the same although some additional documents are required for a building loan. Additional documents are as follows;
Signed offer to purchase for the land or the bond statement
Signed building contract and schedule of finish
Copy of the approved building plans
Original NHBRC certificate (from the builder)
Build it, yes your home this is the way to go.
To know more about the banks requirements please visit Global Fundi or Home loans and their consultants will take you step by step forward through the process.