Absa Home Loans is currently the largest home loan lender in South Africa with a market share of approximately 31%. No wonder so many home buyers approach ABSA as their first choice to obtain a home loan.
Absa’s popularity is attributed to the many types of home loans the bank is offering. Their options are designed to cater for almost any home buyer. These options range from the lower income home buyer to the more professional and affluent home buyer.
Let’s take a look at the home loan options provided by Absa home loans:
1. Regular Absa Home Loans
With a regular home loan from Absa bank, your loan can be financed up to 100% of the purchase price. This is only possible if you are an Absa client. Getting a 100% home loan from Absa means that you won’t have to save up for a deposit on your mortgage loan.
To make things, even more, easier for you, you can register a bond with Absa that is more than the loan amount. This way you have the power to increase the Absa home loan amount without worrying about additional costs incurred and/or time delays when registering your bond.
In most cases, the value of a property increases over time. Should the equity, or the increased amount of the initial value, be at least between R100 000 – R150 000, you can apply for a further advance or ReAdvance through Absa. You can use the additional amount that you get from Absa in any way you wish e.g. to renovate your home, buy a car, consolidate debt or even go on holiday, etc.
When you apply for an Absa traditional home loan you will be able to choose between a fixed or a variable interest rate. A fixed home loan interest rate is valid for a maximum period of up to 10 years, after which your home loan interest rate will change to a variable interest rate.
Absa home loans also offer repayment terms of up to 30 years, which you can change anytime during your payment term, without any additional costs.
A regular Absa home loan is ideal for:
- First time home buyers
- Buying your next property
- If you want to invest in a residential property
Benefits of a regular Absa home loan:
- Get up to a 100% home loan when financing a residential property, vacant land or a new home
- Choose between fixed and variable rates
- Repayment term up to 30 years, which can be changed any time without additional costs
- Get immediate access to extra payments you have made on your home loan
- A free Absa Will when you accept an Absa home loan
What you will need to get a regular Absa home loan:
- A minimum monthly gross income (single or jointly) of at least R20 000
- In possession of a valid bar-coded South African id document
- An offer to purchase, should you purchase a property
- You latest salary slip or income statement if you are self-employed
- Latest 3 Month’s bank statements