Applying for a mortgage is not such a complex and time-consuming process as a few years ago. No matter if you are trying to secure an ABSA home loan, or a loan with any other bank or lender, the process is simpler, speedier and much more convenient.
It is possible to complete your ABSA home loan application on the internet. An easy to comprehend application can be downloaded from the web and completed from the comfort of your own home. Usually the moment one of the home loan consultants receives your application you will be contacted to discuss your application in further detail.
You will then also be asked to provide the lending company with certain documentation. If you and your partner are trying to get a home loan together, you will have to supply 2 sets of documents. The criteria might differ a bit from loan provider to loan provider but generally includes the latest pay slip, ID documents, marriage license and marriage contract and six months’ bank statements. Make sure that you have all these documents ready beforehand – this will avoid a delay in the home loan application process.
There are certain instances when you will not be able to be eligible for an a mortgage. There are however also certain measurements that you can take to correct these issues, making it possible to re-apply for a house loan at a later stage. If you have a poor credit score, you will not be offered a mortgage. A financial record should be managed very cautiously. Even if you miss a few payments on a clothing account (it doesn’t matter how small the monthly installments) you can quickly be defined as a poor payer. Rather set up pre-defined installments through your online banking profile to ensure that all your payments go off on time. If you’ve made some payment blunders in the past, allow yourself some time to correct it before you apply for another ABSA home loan. This can be achieved by bringing all your payments up-to-date and maintaining a clear credit record for a few consecutive months.
Something else that can reflect badly when applying for home financing is badly managed bank accounts. Make sure that your mastercard(s) is always up to date, that you don’t have unpaid debit orders and that you have a positive balance in your account. If the house loan provider sees that your bank account is permanently on zero they will think that you are not in a position to commit to a monthly mortgage loan payment and chances are that your application will not be successful.
Investing in a property is one of the most significant buys that many individuals will make in their lives. It is very important get your financials and your credit record in order from a young age – a good track record will definitely be in your favor!
Don’t forget to compare offers from more than one mortgage loan provider – you might be offered a much better interest rate at another company.