The recession. The Global crisis. The difficulty of getting a homeloan. Times have been tough for a young person trying to get into the housing market. Not long ago the banks would not give a homeloan without a large deposit. This is now changing. Both ABSA and Standard Bank are offering full 100% homeloans and even 100% plus homeloans. This is great news for anyone who wants to purchase a home. So how can you go about it?
If you want to buy yourself a house but have been waiting for the market to improve the lending criteria is getting better. This could signal that the banks are feeling more confident about the economic situation, as they are lowering the onerous requirements that were in place only a few months ago. Over the last eight years the housing market was booming and there was an abstraction of book value to real value. Meaning that the housing market went up faster than was realistic, leading to the market crashing out.
The market crashed, this was originally brought on by the subprime mortgage crisis in the US. The knock on effects crashed housing out across the world but a large correction was in order anyway. The banks want the homeloan market to take off again but what no-one knows is if the market has reached the bottom yet before it can start the cycle of growth again. This is where a homeloan specialist can help you get the best value homeloan you can afford and advise you on when and where the homeloan market is going.