Where first-time homebuyers are finding better affordability in South Africa

Average deposit requirements have fallen by 56% in Limpopo, 22% in the Eastern Cape, 10% in KwaZulu-Natal and 9% in Mpumalanga, suggesting buyers in these regions need less upfront capital to secure a home loan.

Where one buys their property can have a significant impact on both their affordability and the cost of entering the property market.

Although the recent interest rate increase has pushed up monthly bond repayments, there is encouraging news for first-time homebuyers.

Lower deposit requirements, supportive lending conditions and stronger earning power are helping to keep homeownership within reach, says Stephan Potgieter, CEO of BetterHome Group Mortgage Origination and BetterBond.

While affordability is improving nationally, the recent BetterBond’s Property Brief highlights significant regional differences in both pricing and deposit requirements.