It is a great time to buy a house and the most affordable way to do it is to look at the bank repo homes for sale in SA. The financial crisis has meant that many more people have been unable to pay their mortgage and bonds and so there has been an increase in the number of repossessions made by banks. The houses that are repossessed are normally sold at auctions, as is.
Bank repo homes for sale in SA are sold by all South African banks to recover costs from unpaid home loans, or mortgage payments. Banks need the money quickly, so that they don’t go into debt which gives the potential buyer the opportunity to get an extraordinary house for an extremely low price. Normally banks require you to take specific information with you before you can start bidding. Before you attend auctions, make sure that you have the information required by that bank.
If you have access to the Internet, most banks have a list of repossessions online so that you can look at properties across South Africa. This is a great way for you to buy a house that is not necessarily in your area, or province. These sites will also provide you with the information you need before you attend an auction. Standard Bank tells you about the documentation you need on their site. ABSA allows you to search for properties. Nedbank also has a great list of properties. All of these banks also provide you with the option of applying for additional finance to buy a house.
Most banks require that you put down a deposit and they base your repayments on the amount that you can put down. FNB has a really great deal on at the moment where they do not require you to put down an amount, but are offering 100% loans, so that you do not have to put a deposit down. With all these options there is really no better time to look for bank repo homes for sale in SA.
Invest in Repossessed Land or Properties
Invest in repossessed land or properties and you can start that property portfolio that you have always dreamed of without having to outlay as much capital as you thought. The great thing about these properties is that the banks are only trying to reclaim the money outstanding on the bonds of the houses or properties. This means that you can purchase them at greatly reduced prices which means that if you are looking to get in to the property investment market you can do so without breaking your own bank account.
It may seem heartless to invest in repossessed land or properties due to the fact that the previous owners did not have the money to continue with their repayments and have lost their homes or businesses. However you should not think of it like that, you should rather see it as an opportunity to purchase your dream home at a reduced price. The majority of these properties that are repossessed are put on auction. For those of you who are interested and want to attend an auction then you should keep your eyes (if they aren’t already there) on the property section in your local newspapers and online. The banks often have a list of the properties that they have on auction on their websites.
Alternatively you can contact the auction houses directly and get a list of their upcoming auctions. One word of warning though is to not get caught up in the auction as it can be an adrenaline rush and you may end up spending more than you bargained on. It is therefore imperative to go in to an auction with a limit on what you are willing to spend and ensure that you do not go over that limit. In addition to this, it is also always best to organise a viewing of the property before you raise a paddle to bid as the houses come as is so should there be anything wrong with the house or land in question there is nothing that you can do about once you have bid. So do your research before you invest in repossessed land or properties.