When you are in the process of applying for a home loan, it is difficult to know where to turn. The various banks are offering various products. Let's have a quick look at what Standard Bank Home Loans are offering.

If you are purchasing a new property you can either apply for a Dream Start home loan or a Ordinary loan.

Dream Start: Standard Bank Home Loans is trying to make it easier for, what they refer to as, “entry level income earners”. You fall under this category if you earn a salary of between R1 500 and R6 000 per month. You can apply for this product whether you are buying a new home or building a new home.

If your single or joint income is more than R6 000 per month, you would apply for an Ordinary home loan. You can choose between a 20 or 30 year term. In recent times we are seeing very sudden changes with regards to deposits needed when buying a new property. Currently, Standard Bank Home Loans department will require a 5% deposit.

Standard Bank Home Loans are also offering something called Affordable Housing. This means that if your joint gross monthly income is less than R15 142 you can apply for a bond of up to 100% of the purchase price, no deposit needed. In addition to this, if you are a first time buyer you can apply for a 104% bond. This means no deposit needed, and the fees involved will also be covered by the bond.

You can apply for an Access Bond, whether you are applying for a Standard Bank Home Loans Dream Start or an Ordinary home loan. This will enable you to pay off your bond quicker, and save large amounts on the interest rate. This will also give you access to additional funds paid into the account, or funds that you haven't withdrawn from the account.

However, you need to have a Standard Bank account to apply for an Access Bond.

You can choose a variable rate or a fixed rate, when applying for a bond with Standard Bank Home Loans. A variable rate will let you benefit if the prime rate is lowered. However, if the rate increases, so will your installments. A fixed rate will give you a fixed installment. So even if the prime rate goes up, your installment will remain the same. But on the other hand, if the prime rate goes down, you will not benefit from this.

If you want to apply for a bond with Standard Bank Home Loans you can either apply via Standard Bank's website, call the home loan's department, apply at one of the branches, or, you can apply through a professional bond originator who will do the application on your behalf.

Well, I know that is a lot for you to take in so I am happy to spend some time with you and answer any questions you have about getting a Standard Bank Home Loans and making sure your SA Home Loan. You are welcome to contact my office at 086 110 6204 or send me a personal email at: info@gpfmortgage.co.za