Property Advice

What costs are involved with buying a house?

Private Property South Africa
Private Property Reporter |
What costs are involved with buying a house?

When we get to the cost question, I think it's important that every individual looking to buy a house really understands what they can afford and the life stage that they will be in the next one to three years. That will help them plan better for the type of house that they should be buying at that point in time.

Then moving on to the costs. There are a number of once-off and ongoing costs that you would need to consider as part of a purchase of a new house.

So in terms of the costs that you can expect to pay once-off, are firstly your bond initiation fee, which is the fee that is charged by a bank to initiate the bond and open it up in your name.

Secondly, you can expect to pay a bond registration cost, which is a cost that is paid to the lawyers registering the bond at the Deeds Office.

The third cost will be transfer costs, which is a cost that is levied by the South African Revenue Services in as far as taxes are concerned.

The fourth cost would be the cost of moving your house. So costs such as moving your furniture, getting new security in place, and other ongoing costs to ensure that you're settled in your new house.

The fifth cost would be ongoing costs such as paying your levies, rates and taxes, and electricity.

Related Articles

Home loan homework 101
Jacqueline Gray | 17 Jun 2014

Home loan homework 101

For most of us, buying a home means applying for a home loan. Here's how to get yourself in pole position for getting your home loan approved

How to Navigate a Home Loan during the Pandemic
Nedbank | 07 May 2021

How to Navigate a Home Loan during the Pandemic

Xoli Ndwandwe – Head: Affordable Housing at Nedbank Home Loans offers the following guidelines to help investing in property during this time of uncertainty.

Make a calculated buying decision
Jacqueline Gray | 08 May 2014

Make a calculated buying decision

Mention ‘bond affordability calculator’ and most people will automatically think of a bank or home loan provider. Today, bond affordability calculators are an important part of many financial institutions’ repertoire as they are ...

sample image of property alerts

Get instant property alerts

Be the first to see property alerts for your area.
;