#WTF

We know the journey of buying a home can be complex and confusing.

That's why on #WTF (Wednesdays, Thursdays and Fridays),

WTF article we share information, tips and insights to put your mind at ease.

Want to stay up to date on all your mortgage news?

We do not sell your personal data. We only share it with the relevant third parties, essential to the loan process, with your consent.

Frequently Asked Questions

MoneyGuarantee is NOT a cashback, it’s a share of our profits that we split with you, because you take the time to apply online for your home loan. 


The size of your guaranteed money depends on the size of your home loan. For example, a R1m home loan gives you R5,000. Check out our bond calculator to find out how much you get.

  • Once you’ve signed an Offer to Purchase and have electronic copies of your ID, latest payslip and 3 months bank statements, then you’re ready to complete the online home loan application.
  • You’ll first be required to create a profile and then you’ll continue to complete your application form online.
  • As your application is submitted in real time to the top banks, you will start to receive offers from the banks within 72 hours. We will provide you with regular feedback from the banks.
  • Once offers start coming in, you’ll be able to compare them on your dashboard and once you’ve selected the best offer for you, the bank will be notified and will be in contact with you to finalise your home loan.
  • We will then contact you to arrange for your MoneyGuarantee to be paid to you. The amount to be paid is determined by the size of your home loan. 

If you have all your documents on hand, the application process could take less than 30 minutes to complete. 

  • You can save your application form at any point in the process and complete it at your convenience.
  • Once you’ve submitted your application, compared and selected an offer from the banks, they will be in touch to finalise the home loan process. 
  • This process could take up to two months to complete.

Use our bond calculator to determine the size of the home loan you could qualify for.  The amount of years to repay the loan will also affect the size of your home loan.


Your affordability is based on your income and level of debt against your income. The debt service ratio ideally shouldn’t be more than 30% of your gross monthly income, whether single or joint. Banks are guided by the rules set out by the NCA (National Credit Act of South Africa), which helps to protect South Africans from getting into too much debt.

  • Banks consider your relationship history with past and current creditors. Your ability to make consistent repayments to your creditors is a critical factor in the credit assessment process.
  • The second factor banks will take into consideration is your affordability, i.e. your monthly income minus your fixed expenses. This gives you a surplus that makes up a budget for what you can afford to spend on a house.
  • They also take into consideration the deposit amount you have available, which gives them a level of your equity commitment in the property.

There are a few once-off costs that you will need to budget for, such as transfer costs, transfer duties, initiation fees and bond registration costs. These costs are in addition to your monthly home loan repayment.  Use our transfer costs calculator to better understand these once-off costs.


  • The transfer cost is the cost to have the property transferred into your name at the Deeds Office. This cost consists of a once-off fee that you will pay to the government in terms of the transfer duty (any property below the cost of R900k is exempt from transfer duty).
  • The other cost is the fee to register your property, the conveyancing attorney will charge this fee. This money will be used by the attorney to register you as the owner of the property at the Deeds Office.

The cost you pay for transfer duties is calculated based on the price paid for the property. This duty is a government tax. Use the transfer cost calculator to better understand how much you would need to pay, based on the property that you’ll be purchasing.


The registration cost is a fee that the registering attorney charges in order to register the property in your name at the Deeds Office.

  • Besides the upfront costs such as the transfer duty, bond registration and bank initiation fees, you will need to consider maintenance costs, such as the rates and taxes, levies (sectional title property) and the cost of insurance such as homeowner's cover.
  • The banks require you to have insurance cover on the property, as this is highly beneficial to managing the risk of damage to the asset.  

Yes, it is. You can use the extra payments calculator to help you understand how much you will save when you choose to pay more than the minimum amount required on your home loan.


There are three main points to look at when comparing home loan offers, namely,

  • Interest rate:  The lower the interest rate, the lower your repayment.
  • LTV (loan to value): The higher the LTV, the less deposit will be required, if any.
  • Loan term: The number of years required to pay back the home loan.
    Example: If your loan term is over a shorter duration, then less interest is payable, but higher monthly instalments will be required. If a longer repayment period is selected, the more interest is payable, but your home loan instalments will be lower.

Your monthly instalment usually consists of a:

  • Basic instalment that includes capital and interest.
  • Homeowner’s insurance premium.
  • Life assurance premium (if selected).
  • Admin fee.

There are various reasons that could affect your ability to qualify for a 100% home loan, such as your affordability, your credit history or even the value of the property that you’re wanting to buy. 


We recommend that you start to save for a deposit the day you decide that you want to buy a house. The bigger the deposit you manage to save, the smaller the home loan amount you will require. By saving up for a deposit, it will improve your chances of being approved for a home loan, as well as reduce your monthly repayments.

With us you get real value back through our MoneyGuarantee offer.  You benefit from applying to 5 top banks in real time, comparing offers and choosing the best deal.

You also get MoneyGuarantee - we’ll give you R5,000 to R25,000 back in real money, to use wherever you want, the choice is yours, just for applying with us.

Before you start looking for your first house, you need to be sure you are ready. Understand your relationship with credit, as that is the first thing that banks will look at when reviewing your application. How have you managed your ability to make repayments on small things like your credit cards, clothing accounts, etc.? The better you are at managing debt, the more likely you are to receive a home loan.

You will need to understand your affordability, not just initially but over the entire loan period.

Thirdly, you will need to evaluate your savings because there will be some unforeseen, or additional costs involved. The cost of initiating your loan, once you have moved and the ongoing costs to maintain your home, which include levies, rates and taxes.

Lastly, it’s good to review your life stage to see what kind of property you wish to invest in. Will it be a bachelor residence, a “starter home”, or are you looking for a family home? Your life stage will give an indication of what size property you need, which will influence your price range. 

You need to think about what type of property you want.

Will it be a standalone house, a flat or a complex? Standalone houses are usually full title (the property belongs entirely to you), while complexes and flats are sectional title (the property is considered shared). Sectional title properties typically include costs such as levies, while both types require monthly rates and taxes to be paid.

Also consider things such as security, proximity to work, school and amenities – is it convenient for you?

Will it be a primary residence, or are you looking to invest and rent it out? This determines whether you personalise the property or keep it quite classic and standard.

There are other things to think about such as whether or not you will want a big garden (lots of maintenance) or a small one; a swimming pool or not.

Finally, the direction the house faces often plays a role in the distribution of light and temperature. A house that gets full evening sun, for example, may need air-conditioning to keep cool in summer. 

The internet has really become commonplace in our daily lives. It affects the way in which we communicate, socialise, purchase goods, and how we consume information. We do everything else online, even searching for property, so why not apply for your home loan online, too?

Applying online is vastly easier and more convenient than going into multiple bank branches to complete several (more or less) of the same applications.

The advantages of an online home loan application:

  • Fill out the application from the comfort of your home.
  • You’ll be able to do a mortgage repayment calculation when you apply for home loan online.
  • You get quotes sent to you, via your personal dashboard on the MortgageMarket platform, for you to review and compare.
  • You also get access to loan-related information.

The success of an online home loan application, of course, can depend on whether or not a bit of homework was done before submitting the application. And, since the process is a type of self-service, the online home loan application process can be difficult to understand, especially for first time applicants.

A lot can happen between 20 and 30 years, which are the typical terms of home loans. Ideally, you want to limit your repayment period, thereby limiting your exposure to factors that could impact on your ability to repay over a long period of time. For example, most homes in South Africa are re-sold after seven to eight years.

The advantages and disadvantages of a 20-year term versus 30-year term are quite simply that on a 20-year term, you'll be expected to pay a much higher monthly repayment than a 30-year term. The advantage of this is that your interest charged will be a lot less, given the shorter period of time. On a 30-year term, you'll be expected to pay a lot less on a monthly basis, but over time, you'd probably end up paying a lot more interest on your home loan.

Regardless of the 20 to 30-year bond period, ideally what you want to do is to repay your home loan as quickly as possible to avoid unnecessary interest charges.

When you, a homeowner, are thinking about home improvements and enhancements, you should think about it from an investment standpoint, rather than just thinking about the costs. Ask yourself what sort of return you want to see in the future. 

Decide how you are going to approach maintaining your home, whether it’s deciding to only repair things where replacements are not necessary or looking at future trends to improve the longevity of the home, such as replacing an electric geyser with a solar geyser or installing energy efficient lights. Having a set plan will help you to decide on how to proceed when it comes to either doing general maintenance or actively choosing to improve an aspect of the home. 

Some changes can impede your ability to sell your home, such as converting a spare space into a single-purpose area thereby limiting its use. A purchaser may be dissuaded by the idea of having to make large changes, in order to use the room for any other purposes. Wherever possible, homeowners should keep things classic and standard, making the home as unrestrictive as possible prior to selling.    

The impact of an interest rate hike on you as a home owner/purchaser is a direct one, because the cost of servicing the existing debt goes up immediately, despite earnings not increasing at the same time. This can put a lot of pressure on your disposable income, and you may need to make some tough choices.

It’s important to prioritise and think about the things that are really important to you. For example, eliminating extra spending on things like eating out, so that you can create more room for more important things such as paying off your bond. It’s also important that you do away and pay off debt that attracts high interest rates, wherever possible, as interest rate hikes can make this a bigger burden. 

Not all banks finance homes being built from scratch, however some do. There are certain criteria that applicants need to keep in mind. Building home loans typically comprise of two components: financing the land and financing the structure. 

As with buying a ready-built home, you would still need to have a deposit. However, when building a home there are additional components. Building a home is a lot more involved than buying one, and there can be many unforeseen costs if you don’t plan correctly or choose reputable partners. 

Along with your application, banks usually require you to have found an architect and have a draft plan.

You’ll also need to have a signed contract in place with a NHBRC registered builder, which includes a breakdown of the building costs for specific items, and have an engineer on board to determine the structural integrity of the final product. Funding is usually based on a phased approach, in line with the building phases.

It’s important to plan for the right amount of commitment and time. Building can take as long as 18 months, depending on variables such as the weather and unforeseen circumstances. 

It’s best to have a clear idea of what you want and a plan for how to achieve it, in order to avoid unnecessary spending or wastage. The last thing you want is to find yourself with a building project that you run out of funding for, which is one of the common mistakes that people actually make. 

Find and choose the right architect who can ensure the design is functional and incorporates any advantages, such as green living and sustainability.