Foreigners absolutely qualify for mortgage bonds, and banks are very receptive to foreigners.
“Of the R6 billion worth of transactions registered in the deeds office, a third have been purchased by foreigners," says Paul Berman, CEO, Berman Brothers Group.
The Cape Town property developer says that it is one-third of the market, recorded in the deeds office and not estimated. It adds that of those foreign purchases, 18% are funded by South African mortgage bonds.
It says that the banks are not just open to lending to foreigners; they are actively writing the paper.
“The data tells a different story from the rumour. The Atlantic Seaboard is not a market that happens to accept foreign buyers. It is a market that has, quarter after quarter, been substantially built by them.”
