Affordable Rent2buy units are now available from property developers in three new and existing residential developments in locations ranging from Bloemfontein in the Free State to Parklands and Blue Downs in Eerste River, Cape Town, in the Western Cape.
This is according to Meyer de Waal, a Cape Town attorney who developed the Rent2buy product.
De Waal says Rent2buy buyers can get prequalified and move into a home, soon to be called their own home.
“We approached property developers and requested them to provide us with a limited number of residential units for sale through the Rent2buy Finance concept. The response was overwhelming from these property developers. They all are very excited and keen to assist current tenants, home buyers and property investors to achieve their dream to own their own homes,” says De Waal.
Parklands in the Western Cape
In the Nouveau Estate, working with the C5i Group, the prices range from R915 585 to R1 026 685, and current tenants are first offered the opportunity to buy their own units.
“It was discovered that many tenants had already made a home for themselves in their rental apartment, settled in and fell in love with the quality finishes, location and amenities the development offers, and that the tenants wished to continue living in their current home,” says De Waal.
The Nouveau Estate units are also available for property investors who aim to get their foot in the property door. As an investment buyer, De Waal says one can buy the unit with an existing tenant and lease agreement and calculate the investment return from day one.
The Nouveau Estate units are now available to buy to the open market under the Rent2buy Finance concept, as well as a direct purchase, cash or with the assistance of a home loan.
A Rent2buy deposit of 5.4% is required to secure any of these available units.
A deposit of R49 500 will secure the purchase price of R915 585, and a deposit of R55 500 is required for the R1 026 685 unit.
The Nouveau Estate development is situated on the outskirts of Parklands on Parklands Main Road in an upcoming residential area in a quiet neighbourhood - ideal for first-home buyers and investors. The location is close to well-established schools and the future Curro Private School, and 3.8km from Blaauwberg Hospital.
For more information on Rent2buy options available in this development, click here.
Raceway Park in Bloemfontein
Working with Aquacor Developers, Rent2buy units are available in this development with prices that range from R580 000 to R680 000.
A Rent2buy deposit of 3.4% is required to secure these units available.
A deposit of R19 800 is required for a R580 000 unit and a deposit of R23 200 is required to secure the R680 000 unit, once a Rent2buy Finance affordability assessment is completed and approved. No extra transfer costs are payable.
Property investors can also buy a unit with an existing tenant and lease agreement.
Raceway Park is a brand new Bloemfontein neighbourhood situated a mere 5km from the CBD and only 3km from the Bram Fischer International Airport. Currently at the heart of new growth and development in the Mangaung District, future elements and community facilities include a school, crèches, churches, a 12 000sqm retail precinct and numerous public park and recreational spaces.
All construction at Raceway Park is of brick and mortar, and currently comprises 400 freestanding houses, ranging from two bedroom units to four bedroom, two bathroom family homes. Two new developments of two bedroom apartments in three-level walk-up blocks provide Raceway Park with additional residential stock for both the rental market and the sectional title sellers’ market.
For more information on Rent2buy options available in this development, email Janine Grobler.
Belle Vue Estate in Blue Downs in Eerste Rivier, Cape Town
Working with Power Group, Rent2buy units are made available in the Belle Vue Estate development in Blue Downs, with prices ranging from R570 800 to R625 200.
A Rent2buy deposit of 3.4% is required to secure any of these units available.
A deposit of R19 400 is required for a R570 800 unit, and a deposit of R21 300 is required to secure the R625 200 unit, once a Rent2buy Finance affordability assessment is completed and approved. No extra transfer costs are payable.
“This low deposit makes it a very attractive for investment purchasers, as a financial institution often requires a 10% deposit,” says De Waal.
Belle Vue Estate is located in Blue Downs, Eerste River, adjacent to Stratford Avenue, and is a fully-walled secure living estate close to schools, shops and public transport.
The estate consists of 197 freestanding opportunities, with a selection of 42sqm to 65sqm homes in two or three bedroom configurations now selling in phases 1 and 2. Buyers can choose from various optional extras, some of these being a garage or carport. All the freestanding homes come standard with burglar bars, security gates, alarms, oven and hob and are fully walled with a washing line.
For more information on Rent2buy options available in this development, email Janine Grobler.
100% approval rate for a home buyer
The benefit of a Rent2buy Finance prequalification is that once pre-approved, the Rent2buy buyer is 100% sure of securing a property within their price range once the property valuation is approved and the required Rent2buy deposit is available.
De Waal explains that on average, 50% of home loans are declined. “If a buyer goes through a home loan pre-qualification process, the success rate of home loans submitted are up to 75% approval rate as financial institutions dig deep to find a reason to decline a home loan - it still means 25% are declined.”
Often a home loan is ‘approved’, but as few as 100% of home loans are granted, the huge deposits required by the bank as well as the cash required to pay for the attorney transfer and bond registration fees often ‘sinks the deal’ and makes it impossible for the home buyer to proceed, says De Waal.
“With Rent2buy Finance, once you are approved and your deposit is available, you are 100% assured to secure your property. Our prequalification process is so good, that a Rent2buy pre-approval is as good as a final approval.”
The Rent2buy Finance deposit ranges from 5.4% to 3.4% of the property purchase price, depending on the type of property purchased. No other transfer costs are payable to secure the Rent2buy property, says De Waal.
The Rent2buy buyers then rent the property for a period of 24 months. Just before the expiry of the rental period, the Rent2buy buyer will be offered an option to convert the rental agreement into an instalment sale and pay off the purchase price over a period of 15 years, or alternatively, they can apply for a home loan, with their much-improved credit score and affordability track record. Transfer and bond registration fees are then payable by the buyer, and when they take transfer they can use their Rent2buy deposit refund to cover these costs.
Purchase price frozen for 24 months
With the Rent2buy Finance product the benefit is also that the purchase price is frozen for the purchaser for the 2-year rental period after a small extra amount (the option fee) is added to the purchase price.
How to get started
Watch this video on how the Rent2buy concept works:
To apply online and also check the Rent2buy price you can afford, visit the website.
For more information on Rent2buy options available in these developments, email Janine Grobler.
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