See More

More blacks applying for home loans

Jul 17 2012 15:37

Related Articles

Uptick in bond applications

SA housing market 'relatively healthy'

Most in SA don't qualify for home loans

Falling US house prices drag buyers down

Sabric: Beware of home loan scams

Handful of home loans approved in Africa


Johannesburg - Almost half of all home loan applications are now being made by black buyers, statistics from BetterBond show.

BetterBond represents 25% of all residential mortgage bonds registered in the Deeds Office.

The number has increased significantly compared with only about 12% a decade ago.

The statistics indicate that black home buyers accounted for approximately 48% of all bond applications in the past three months.

Futhermore, black home buyers accounted for between 37% and 39% of approved monthly home loans.

"It is very encouraging to see such an increase in the number of black buyers coming into the market and achieving bond approval, especially in the light of the slowing economy and slow progress on job creation.

"It suggests a growing appreciation of the wealth creation potential of home ownership," said BetterBond CEO Rudi Botha in a statement.

"It is also a clear indication of the effect that the current shortage of good rental housing stock and rising monthly rentals are having on the market, in that more and more tenants are seriously considering that it might now be cheaper to buy than to rent and exploring the possibility of becoming homeowners in their own right.

"This trend is being further fuelled by the current low interest rates and by improving access to bond finance, especially for first-time buyers," Botha said.

The BetterBond numbers also reflected an overall 5% uptick in the number of home loans made in June.

property  |  home loans



Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

We're talking about:


There are no formal training requirements for becoming a beautician in South Africa. But it is highly recommended you complete a course in beauty therapy.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

SA’s new visa regulations are:

Previous results · Suggest a vote