Do you think there is a right time to buy a house? This article will help you to reach the next milestone in your life by purchasing a new house. We will look at why it is advisable to buy a home in 2022 and will compare renting with buying to help you make a well-informed decision.
Even though Covid-19 impacted many South African sectors, which will take a while to recover, the property market remained strong. The prime interest rate was at an all-time low during the pandemic, making it possible for South Africans to either buy new or larger houses. In 2022 more South Africans are continuing to become first-time buyers by buying new houses.
One of the pandemic’s results was that South Africans started spending more time at home, so it made sense to invest a little more into the place where they were now spending most of their time.
Even with inflation on the increase in 2022, many South Africans continue to buy new houses and invest in property. Some economists predict that we won’t see pre-Covid results for quite a while, but this is excellent news for investors and property buyers in South Africa. Owning a house at times like this is the security people need; after all, everyone needs a place to stay! As we have seen since the end of 2021, interest rate increases will also not faze the banks as long as affordability from the buyer’s side is guaranteed.
Not only does it give you a feeling of accomplishment to own your own home, but it is also exciting. From repainting to extending your house, you can customise your home to match your lifestyle. There is no feeling greater than owning your own home!
The current post-Covid prime lending rate of 9% (the lowest it has been since 2014) still makes owning property very attractive. With the direct influence of the interest rate on the housing market (lowering monthly bond repayments), consumers will have more buying power. As during the pandemic, this low interest rate still empowers buyers to afford larger and more expensive properties.
There are many disadvantages when renting a property from someone:
There are a few advantages of buying your own house over renting:
There are many things to consider before buying a new house. First, you have to know what you can afford. The Cosmopolitan Projects website has an affordability calculator that can calculate the amount you need to work into your budget when you want to buy a house.
Investigate the area where you want to buy, know what amenities are available in the area and know what you need. For example, are there good schools nearby? Remember that buying a house is a long-term investment and even if you don’t have kids yet, you may be planning to have children in the near future.
When you view the property, never be afraid to open kitchen cupboards or test a tap; this will ensure everything is working when you move into your new house. When buying a new house, keep in mind that you are purchasing the property for the long term, even if that is only five years, so be sure to find a home that suits your needs. If you have children, try looking to buy a house large enough for the whole family. Consider how often you entertain friends or family at home. Do you have dogs? How many do you have, and how much space do they need?
Ask the estate agents questions and address concerns when you view our show houses; this will enable them to address any concerns you may have. Ask them how the buying process works and tell them what you expect of your dream home. Never rush into a deal; always take a moment to think it through. As we mentioned, you are buying a house for the long term.
Are you just buying a new house, or are you a first-time buyer? The FLISP programme was set into place by the government to help first-time buyers purchase a property. A few requirements must be met before you can qualify for FLISP:
Cosmopolitan Projects have many developments to choose from in the greater Johannesburg area:
In conclusion, now is as good a time as any to buy a house, because there is always a right time to improve your lifestyle. Always remember the pros of buying versus the cons of renting, and keep in mind that if you are a first-time buyer, you could qualify to apply for a FLISP subsidy. Let us make your property ownership dreams a reality!