Home Loans normal given term for a new or second bond is 240 months (20 years). This is the optimum period to enable you to repay the loan amount at an affordable instalment each month. Interest rates will be variable, which means if the prime rate goes up or down, then so will your instalment.
Home Loans For South Africans
The 20 year home loans are normally available to clients who are purchasing a new home, switching their existing bond to another institution or to refinance their unbonded property.
Most home owners obtain new home loans over a period of 20 years. This is because it is the most affordable term to repay. The bond may be paid off sooner without any penalties though.
