There is no doubt that the financial climate in South Africa, and the world, is pretty volatile at the moment. Consumers are facing rising costs as a result of drought, interest rate hikes and the ever-weakening Rand. All this adds up to is a tricky place to look to buy your first home.
Despite these trouble times, the rental market has literally taken off. With banks less willing than ever to lend to consumers, many would-be first time buyers are forced into renting for longer and longer periods of time as they look to save enough for a deposit. Finally there is a solution: Rent2Buy.
Rent2Buy isn’t a new concept, but rather a revamped, 21st Century version peer-to-peer transaction. Effectively the owner and prospective buyer entered into an delayed payment sale, one that utilizes the rent the buyer would ordinarily pay to a landlord and maximizes its true potential, while saving for a deposit and having time to improve your credit profile and affordability.
Forget about paying back someone else’s bond – use your own monthly rent payments to fund not only the purchase of your own home, but also a deposit to put towards the property.
Rent2Buy is an initiative that looks to take the financial downside of renting, and instead turn those monthly payments into a positive. While this kind of deal often relies on having a seller open to it, Rent2Buy has entered into an exclusive agreement with the developers of Isabel Estate (Domito (Pty) Ltd) in North Riding, Gauteng to make buying a new apartment in the Rent2Buy style.
Isabel Estate offers innovative and sophisticated living in the heart of North Riding. Comprising of four contemporary, architecturally designed buildings, each with its own beautifully landscaped courtyard, tenants can enjoy all the modern amenities at hand. Each build comes with semi-basement parking, a clubhouse and swimming pool, within a secure complex that offers great value for both upcoming professionals and families alike.
By partnering with Rent2Buy, any prospective buyer will have the time to get his or her credit record score and/or affordability up to the standard most lending institutions require. The benefits of going the Rent2Buy way are:
– A portion of the monthly rental (T&Cs apply) can be used as savings to put towards a deposit.
– Levies and taxes to paid as normal.
– An option to buy the property within 12 months, if it were to become available.
– A fast tracked application for the Rent2Buy prospective buyer, using innovative, accredited online process.
Rent2Buy and Domito Ltd hope to make superior developments like Isabel Estate available to everyone that is almost ready to buy, but yet still declined by a bank to qualify for a home loan.
Their aim of a quality product at a competitive price meets the ideals of Rent2Buy – looking to help everyone achieve their dreams of owning a property they can be proud of.