We take into account your income and expenses to calculate whether you will be able to repay your home loan. Your repayment cannot be higher than 30% of your gross monthly income.

What is an interest rate?

An interest rate is a fee that you are charged for borrowing money, expressed as a percentage of the total amount of the loan.

What determines the bond repayment period?

The bank sets the default bond repayment period as 20 years. If you qualify for 20 years you can apply for 30 years - but there are many factors that will determine the outcome.

How do you calculate your gross income?

Gross income basically refers to your total compensation before taxes or other deductions.

Do I need to pay a deposit?

Without a deposit, your risk rating is likely to be higher which could result in a higher interest rate and repayment. The bigger your deposit is, the more it could bring down your interest rate.

Who or what determines the bond interest rate?

The bond interest rate is determined by the South African Reserve Bank. And currently, the prime lending rate is set at 11.75% and all banks have to adhere tothis interest rate.

Are there any hidden costs I don’t know about?

There are costs that aren’t commonly known but might catch you off guard, these are called the transfer and bond costs, you can use our calculator work them out.

How accurate are these calculators?

These costs are purely indicative of what kind of home loan you can afford, a more accurate measure would be a pre-qualification, you can contact us to pre-qualify today.