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I am a qualified Attorney. I specialise in Property Law, Commercial Law, Corporate Law and Trusts.
 
Please visit our website at www.prop-law.co.za for more details.
 
I am an elected Committee Member of the Property Committee of the Association of Pretoria Attorneys and through my involvement, I like to ensure that I am constantly at the "sharp-end" of Conveyancing Practice.

I am the elected Chairman on the Gauteng Council of SAPOA. The South African Property Owners Association (SAPOA) is the biggest and most influential institution in the property industry. SAPOA members control about 90% of commercial property in SA, with a combined portfolio in excess of R150 Billion (about $22 Billion). I am also on the National Council and the National Legal Committee of SAPOA.
 
Member of the Institute of Directors South Africa and Member of the Sirdar Governance Panel.

07 November 2013

'Consumers still hungry for homes and loans'

'Consumers still hungry for homes and loans'

According to the latest statistics released by BetterBond Home Loans the number of home loan applications received by the group increased by 5,06% in the 12 months to end-October, compared with the previous 12 months, while the total value of those applications showed a 12,26% y/y increase.

In addition, says BetterBond CEO Shaun Rademeyer, the total value of home loans formally granted through the originator showed a huge year-on-year increase of 23,85% at end-October - by contrast with the 2,7% y/y growth in overall household mortgage balances reported by the Reserve Bank at the end of the third quarter.

'This shows,' he says, 'that there has been healthy increase in the demand for property over the past year, in spite of all the cost-of-living increases that consumers have had to contend with, and the fact that home prices have been rising.

'Secondly, these figures indicate that applying for a home loan through an originator like BetterBond really does give prospective homebuyers a better chance of being granted that loan, with the value of bonds that we were able to secure for clients having grown at about six times the rate at which household mortgage lending grew in the general market.'

The BetterBond statistics also show that its initial decline rate (the percentage of applications declined by the first lending institution to which they are submitted) showed a y/y drop of almost 9% at end-October, to 38% of applications submitted.

'This speaks to the quality of applications we submit as well as an improvement in the banks' willingness to lend,' Rademeyer says. 'Being familiar with the banks' application requirements, we assist clients to assemble all the required supporting documentation before submitting an application.In some instances we may also refer a client for credit repair before making an application.

'And of course we are able to motivate applications individually and submit them to a number of different banks if necessary.' Indeed, he notes, the ratio of applications declined by one bank but approved by at least one other showed a y/y increase of 18% at end-October, resulting in a 9,5% y/y increase in BetterBond'soverall approval ratio.

'In other words, we have been able to secure a bond for three out of every four applicants that have come to us in the past 12 months - and in real terms, we have been able to help more than 25 000 SA families fulfil their dreams of home ownership.'

BetterBond Press Release

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