Buying a bank repossessed house in South Africa is becoming easier and easier by the week. The number of repossessions in the past three years by banks and other lending institutions has skyrocketed because of the economic recession. Many people are simply unable to make the payments they would like to on their homes, and as a result banks like Standard Bank, FNB, ABSA and Nedbank often have to reclaim the home in order to offset their losses. Auctions of the property allow it to be sold quickly and to the highest bidder. This avoids many of the hassles of placing the property back on the market and hoping for the best. If you are looking to buy property cheaply or quickly then keep an eye out in the newspaper. Whether you live in Cape Town, Durban or Gauteng, you’ll find that it won’t take you long before you’re bidding for the home you want.
If you have never been to auctions, then buying a bank repossessed house in South Africa might seem like a confusing process. It need not be. Most banks have similar procedures that you can follow. In fact, banks like Standard Bank, FNB, ABSA and Nedbank are often on site to offer you guidance in the potential for home loans and to discuss the repayments that would need to be paid. An auction is an exiting event, particularly if the property is well sought after. The bidding process normally requires a deposit to be made, and then everyone can participate as they would like to. You can bid on a house in Cape Town whilst you live in Durban or Gauteng.
Repossessions have their pros and cons. Among the pros are the cost, the speed at which the process takes place, and the excitement of auctions. Amongst the cons is the fact that you often don’t get much opportunity to really inspect the house before you bid, and often properties are sold as they are. Nevertheless you can easily go about searching through lists and buying a repossessed house in South Africa.