Self-Employed – How To Get A Home Loan Easily


Whether you’re a contractor, freelancer or sole proprietor, applying for a home loan is still an option for new buyers. Self-employed South Africans have many ways to get a bond to buy their dream home.


The only difference is that as a self-employed citizen, you will need to gather a few extra things. And maybe get a little help from a professional if you are unsure. If your affairs are in order, there’s no reason for you not to get your home loan easily and quickly.


Buying The Home Of Your Dreams


As a self-employed business person, there are a few additional things you must get ready to apply for a bond. With a little due diligence and preparations, you will be fast on your way to owning your dream home. Here we list the things that you need to know:


  1. Check your credit score

Self-employed people have to do all the same things that others have to do. Checking your credit score still remains at the top of the list. Knowing what your score looks like will help you to improve where possible. A good score will ensure that banks are willing to offer you a loan.


  1. Get pre-qualified for a loan

Getting pre-qualified means that your income, expenses and credit score has already been checked. This makes buying a home much easier as most of the hard work is out of the way. Now you can simply focus on getting the right documentation together for the next step.


  1. Save for your deposit

This is another key step for those who are self-employed. Saving for a deposit shows the banks that you are financially responsible and reliable. The bigger the deposit, the less of a risk you will be to the bank. A smaller risk to the bank means that they will make getting a home loan easy!


  1. Create a file with all your documents

Here is the list of additional documents that you should have ready when applying for your home loan:

  • A letter from your auditor/accountant that confirms your income.
  • Copies of your personal and business bank statements.
  • A cash-flow forecast for your business for the next 12 months.
  • Your latest IT34 assessment – This is how SARS confirms that your tax is in order.
  • Financials for the latest two years.
  • A personal statement of your liabilities and assets.
  • If you are a sole-proprietor – Copies of your directors, members or trustees’ ID documents.


  1. Get the help of a professional

It is advisable to get the help of a professional bond originator. They will be able to make sure that you cross all your t’s and dot all your i’s. Especially in making sure that you have all your documents in order. They will also be able to apply for a bond on your behalf at various banks. This increases your chances in getting a loan without too much hassle.


With these tips, you will be able to get a home loan easily. The steps only vary slightly from those who are not self-employed, but they are vital for a smooth transaction.

The Milkwood Townhouse Complex is a brand-new development situated in Kuils River, Cape Town. Pay no transfer costs or attorney fees when buying at The Milkwood. Get the best possible interest rate on your bond and enjoy low levies. For more information or to book a viewing appointment, contact one of our agents today.

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