Five things to know before making the move from renter to homeowner

Making the leap from renting to owning a home is an exciting journey.

Here’s a comprehensive guide to help you navigate this significant transition with confidence.

Do Your Homework

Before diving into home buying, take time to educate yourself about the property market. Research different neighbourhoods, property prices, and lifestyle factors that matter to you. Visiting show houses and engaging with local agents can provide insights into what you can afford, helping to align your expectations.

David Jacobs from the Rawson Property Group emphasises that understanding your budget and being realistic about your options can prevent heartache.

Get Prequalified

One crucial yet often forgotten step is getting prequalified for a home loan. This process assesses your finances, and it sets realistic financial boundaries, ensuring you don’t fall in love with an unattainable property.

Leonard Kondowe, National Manager at Rawson Finance, stresses that having this clarity allows you to search confidently and prepare for the financial responsibilities of homeownership.

Partner with a Professional

While it might seem easier to handle everything on your own, enlisting the help of a professional real estate agent can be invaluable. An experienced agent guides you through the complexities of the home-buying process—from legalities to negotiations.

They also possess insider knowledge about neighbourhoods that can tailor your search more effectively. Jacobs advises connecting with an agent early, even if you aren’t ready to buy just yet.

Make the Offer

When you find the home that suits your needs and budget, the next step is making an Offer to Purchase (OTP). This formal document outlines your proposed price and conditions.

With proper guidance from your estate agent, this process can be straightforward, especially if you've secured prequalification, which can expedite bond approval, making your offer more appealing in competitive markets.

Prepare for Ownership

Once your offer is accepted and your bond is approved, the practicalities of ownership come into play. Allow 8 to 12 weeks for the legal transfer process and prepare for ongoing costs such as municipal rates and maintenance.

Kondowe warns that first-time buyers often overlook these additional expenses, which can accumulate quickly. This is also a time to embrace the dream of homeownership—choose interiors and plan your new space as a canvas for your personality and lifestyle.

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