Wednesday, 26 October 2011

Signor Budget balance baby in a Nutshell!

So the announcement from Finance Minister Pravin Gordhan hasreleased our new 3 year budget plan and this is what he said in a nutshell

GROWTH - A cut to 3.1% in the economic growth forecast for 2011, rising to 3.4% in 2012, 4.1% in 2013 and 4.3% in 2014.

INFLATION - The headline consumer price index (CPI) is expected to average 5% in 2011 and remain below 6% over the next three years, within government’s 3% to 6% target range.

CURRENT ACCOUNT - The current account deficit is seen widening over the next three years from 3.4% of gross domestic product (GDP) in 2011 to 3.8% next year and 4.2% in 2014 as import growth outpaces export growth.

BUDGET DEFICIT - The treasury plans to trim the budget deficit to 3.3% in the 2014/15 financial year from 5.5% in 2011/12.

DEBT - National government net loan debt is projected to rise from just over R1 trillion at the end of 2011/12 to more than R1.5 trillion by 2014/15.

TAXES - Total government revenue, as a percentage of GDP, is seen falling slightly from an estimated 27.3% in 2011/12 to 27.0% in 2012/13 before reaching 27.7% in 2014/15.

SPENDING - All government expenditure as a percentage of GDP is seen declining gradually over three years, from an estimated 32.9% in 2011/12 to 32.2% in 2012/13 and 31.0% in 2014/15. The budget framework provides for a 5% annual cost of living adjustment for public sector employees.

REVENUE - tax revenue projection for 2011/12 is cut by R13bn to R728bn from R741bn - mainly on VAT receipt revisions - before recovering to R812bn in 2012/13.

TAX - The government says it will consider policy measures to raise tax revenue if the economy fails to recover as predicted.

JOB CREATION - Government will provide R25bn over next six years to boost industrial development zones, assist job creation and support transition to a green economy.

HEALTH - Treasury backs 10 pilots of the proposed national health insurance scheme, with further funding details expected in February 2012.

CLIMATE - South Africa is to strengthen climate change policies and seek global and private sector funding for green interventions over the next three years.

So put your money into property.

My best is the Government spending go guys!

Friday, 21 October 2011

Get a Home loan from??? BMW!!!!!

. refinance your existing home
So now with the banks all in their own space then and now so...For many years, BMW Financial Services are a leader in vehicle finance, applying the same thoughts and smartness that goes into the production of every uber BMW to its financial solutions. This extensive experience in vehicle finance has smoothed the road to offering homeloans.

BMW Home Loan offers a range of decent and flexible, competitive options to suit different needs.

They also offer access facilities, further loans, repayment breaks, home owner's insurance and debt consolidation.

  • So whats what here!
  • Purchasing a new or existing property.
  • Switching current Home Loan facility from another institution.
    Registration costs and valuation fees may be covered
  • Switching current Home Loan facility from another institution and at the same time registering a higher loan amount.
  • Building a new property.
  • Purchasing a property off-plan from a developer.
  • Additions and improvements to current property.
Just contact your financial man or women and they will assist.

All kinds of finance magic is available for you!

Wednesday, 19 October 2011

What are the banks offering foreigners and non-residents today!

If you are a non - resident and looking for finance, mortgage or home-loan and buying a property or investing in South Africa, whats sort of financial resources is available to you today! So do you feel like a foreigner?

You will always need to transfer some money from your country to South Africa, either as  deposit or for your monthly mortgage payments, however that can be done free of transfer fees and need not be an expensive project.

So what do the lenders offer and this includes, ABSA, Nedbank, FNB and Standard Bank and even SA Homeloans.

So firstly non-resident clients living and working abroad.  50% maximum and then only from ABSA, Standard Bank and FNB.

Non-resident Clients with SA Work Permits

FNB - 50% loan Max
ABSA - 70% loan Max
Nedbank - 80% loan Max if you are a Nedbank client
Standard Bank - 90% if not a client and 100% if you are a client

However, you will need

1. To have a clear credit record and if you do not know what your status is please get a copy of your credit report today.  This will save you hours of heartbreak.

Ensure your required documents are up to date - so bank statements are less than a week old, clear to read - otherwise the banks will reject them and if you are self employed have at least 2 to 3 years audited and signed financials available.

Of course , use a bond or mortgage originator always - they know who offers what and remain objective.

Monday, 17 October 2011

Home loans with bad debt

Buying a home should be something exciting and something that you look forward to, because of the future memories you are going to create in it. Many people however do not feel this way because of financial problems they might face such as declined loans, bad debts, bankruptcy and so on.
Banks always look deeper into your finances before giving you a loan, reason being they want to make sure that their investment in you and your future is safe. If you are perhaps blacklisted and have bad debt the less likely it is that they will approve your loan, however it isn’t impossible to secure a home loan. Make sure you working on clearing your name from negative reports.
Here’s what you could do, contact a debt councilor they might just actually be able to clear your name. There are a lot of financial institutes that focus on organizing home loans and finance for black listed clients. In my opinion these companies are much more helpful then bank, however there is a catch, the interest rates are offered by these companies are very high you might have to take out extra insurance to cover the bond.
Bad debts remain on your credit report for a long while, we talking 7 years! Which sounds horrible, however I would highly recommend that you get yourself a copy of your credit report. Look at all negative entries that have been there for the past 7 years or more. Contact the bureaus and report this to them.
Write a short but brief letter to the credit report agency and verify any incorrect information about your credit payments. If they approve, entries can be removed, however this might take up to 30-45 days. Be patient though, because those few days are way better than having to wait for 7 or so years

Can I get a Mortgage out of SA?

Very often getting a home loan depends on having a bank account, living in a country or having cash?

Not true.  We spoke with various Mortgage Providers worldwide and in this series of intervieiws learnt some interesting finance truths, broke some myths and have now setup a first of a kind network of friends for you the world wide investor.

Any questions just ask us.

Todays question:

Joseph.."I have a job offer in the UAE but will only start in 2012.  in the meantime If have found an apartment with an option of rent to buy.

What sort of rate can I expect and are there deals available"

Answer from Gulf Lenders Networks to us:

"yes there are always deals available.  We have just announce that you can currently get Fixed Rates from 3.99% for 1 year, now applicable to 80% finance on Villas/ Apartments, but of course terms and conditions apply"  "give us some more detail and we will answer all your questions"

This kind of question opens the doors for all of us to understand what is available and to be able to talk to those that know.

Tuesday, 11 October 2011

Karma & Dalai Lama - Part 2

Blackberry Network dies in South Africa...

Karma? Or the Dalai Lama?

Karma & The Dalai Lama

Are you a believer in Karma? If so then this weekend just proves that we should not mess with "life".
Let's follow the chain of events here:

1. Dalai Lama's visa get's disapproved by the South African government
2. Bafana Bafana looses the soccer (very clever coaches that we have)
3. Springboks get kicked out of the rugby world cup 2011

What's next?

1. Collapse of the ANC?
2. China doesn't become the force the world they would become

Anyway's just a thought. Use it don't use it :)
Still love South Africa!

Wednesday, 5 October 2011

Revival of Exciting Boksburg Affordable Housing Project

So finally Windmill Park Estate has been revived.

This awesome development backed by FNB is seeing a new lease on life and we wish them great success.

Already the first phase homes are developed and this Secure Estate has revised pricing with cheaper prices and 100% homeloans available

Well done Boutique Homes and FNB

Also remember you can get finance from ABSA, Standard Bank and Nedbank so if you live in Boksburg or want to move there this is certainly for you on the corner of Barry Marais and Rondebult roads.

East Rand rocks!