Top three indicators that you are ready to buy a property

The current residential property market presents a good opportunity for property buyers, but how do you know if you are ready to own a property?

Debbie Justus-Ferns, divisional manager of Renprop Residential Sales, says that before committing to an offer to purchase, potential buyers need to make absolutely certain they are ready to own a home, and take on all the related responsibilities, as its one of the biggest financial commitments a person will make in their lifetime.
While there are a number of factors potential buyers need to take into consideration when searching for their ideal home such as the location, type of property that would best suit their needs as well as their budget, there are three key considerations that Justus-Ferns highlights as indicators that a buyer is truly ready for homeownership.
They are:
1.   Financial commitment and contingency plans

Aside from being able to afford the monthly repayments with a long term view, Justus-Ferns says that buyers also need to assess the other costs of homeownership and ensure they fit into their monthly budget.
“From municipal accounts and insurance and to other miscellaneous expenses that may occur from time to time such as urgent repairs or maintenance that needs to be undertaken, owning a home takes financial commitment. Not only that, but buyers also need to have a contingency plan for if things go wrong.”
What if you lose your job and can’t afford the bond repayments, she asks? Buyers should ideally have a couple of month’s worth of expenses saved up to tide them over while they look for another job, for example.  Having a financial contingency plan in place for any number of financial ‘what-ifs’ is an essential aspect of home buying readiness.
2.   Maintenance and general upkeep

Owning a home requires dedication to maintenance and general upkeep as a bare minimum. “As a home is a huge financial investment, it needs to be protected and nurtured so it can attain its full growth potential. This means that at the very least, potential buyers need to be able to commit to keeping their property in good repair on an ongoing basis,” says Justus-Ferns.
She notes that this also probably involves a savings of some kind to dip into should the need for larger repairs or upgrades be required.
3.   Long term commitment

Buying a home is a long term commitment – or at least it should be if buyers want to benefit from any capital appreciation. This means that whatever home is being considered, buyers need to make sure it fits in with their long term plans.
“A two-bedroom apartment may not be the ideal home for a young family looking to grow, but would be the perfect spot for a young couple starting out, for example. While unexpected events do happen, buyers need to try as best they can to look ahead for the next 10 years and be reasonably sure that the home the buy will be able to accommodate their plans.”
“Timing is everything and buyers shouldn’t rush into a homeownership decision without very careful due consideration of all the above factors over and above their personal wants and needs,” Justus-Ferns concludes.

  Comment on this Article

  Please login to post comments

Post to my facebook wall
Characters remaining

    Latest Property News
    • 23 Nov 2017
      As the holiday season approaches, most of us are counting the days until that year-end bonus hits our account. There’s nothing quite like a little bank balance booster to get us in the holiday spirit.
    • 23 Nov 2017
      The Adelphi Centre (now entitled “ARTEM") in Sea Point, Cape Town, is being extensively renovated, and once complete will offer an ultra-luxurious galleria style shopping centre unlike any other seen on the Atlantic Seaboard or in Cape Town.
    • 23 Nov 2017
      If you are looking to sell your home in today’s real estate market, there are certain things that you need to include both inside and outside your house. Today’s generation of home buyers is looking toward a more eco-friendly, energy and water conscious home, and if your house stands out then you are more likely to be able to sell it.
    • 22 Nov 2017
      Most people know of the Community Schemes Ombud Service (CSOS) and that levies must to paid to fund its operations. In this article the experts at Paddocks will address some of the issues that are causing confusion.
    • 22 Nov 2017
      While sales have noticeably slowed in most sectors in most Cape town suburbs, the security estate sector in Constantiaberg has bucked the trend by remaining buoyant, with sales by August this year already surpassing total sales in 2016.
    • 22 Nov 2017
      The end of the year is fast approaching, and so are all the travellers, tourists and holidaymakers. For those who live near or own a property in a holiday-hotspot, the festive season also brings with it an abundance of short-term rental opportunities. Its a great way for property owners to make a few extra rand for their own holidays or to put towards their savings.
    • 21 Nov 2017
      The buying process is over, and the moving truck has delivered your household goods to your new property. Now it’s time to unpack and turn your new house into a home.
    • 21 Nov 2017
      When an offer to purchase a property is signed by both buyer and seller, this constitutes a binding agreement or “Deed of Sale” between the two parties. However, in most cases the “standard contract” might not be enough to cover all the specifics pertaining to the sale. The agreement may require some additions or alterations to clauses, which needs an expert hand in the drafting of such
    Subscribe to the MyProperty Newsletter

    Last Name  
    Email Address  
    Email Frequency
    Share this Page

    For Sale Property
    Rental Property
    More Options
    Connect with us