Why choose Olemera Mortgage Originators

Buying a home is probably one of the single biggest investments you will make in your lifetime. It is a major financial commitment but also an emotional experience that can result in an exciting experience with Olemera by your side throughout the home loan application process.

Olemera is an independent bond originator company that specializes in home loan applications on your behalf and will simultaneously negotiate the best possible interest rates at various banks, eliminate your bond registration fees and take care of all the paperwork.

Olemera can also assist you to increase your home loan to the current market value of your property (2nd Bond) or register a new mortgage on your bond free property with no cost to you.

Whether you are building, investing or buying an established property, Olemera will provide a free service and give expert advice on your home loan application to structure the best possible deal for you.

Affordability

To meet the repayment requirements on the purchase of your new property, the banks will take the following into consideration when applying for your mortgage:

• 30% of your gross income and / or your nett disposable income combined or 25% individual
• Your current and future monthly expenditure
• Possible increase in the Base Home loan Rate

The Bond Repayment Calculator will assist you in determining your monthly bond repayments. It is advisable that you use the Base Home Loan Rate as a benchmark. A link is placed at the bottom of this page for a free Excel calculator download.

You should be in a position to afford repayments at this rate. Consider a 2% rise in the rate and determine your affordability - will you be able to afford an increase in your bond repayments? Naturally, a rate below the Base Home Loan Rate you qualify for is a bonus. The Income Qualification Calculator will assist you to determine your affordability.

Mortgage Options

Our expert consultants are available to discuss your various mortgage options.

VARIABLE RATE

This is the most conventional interest rate that would apply to most mortgages. The rate quoted is linked to the Base Home Loan Rate and is subject to the fluctuations of this rate. Your debit order will be adjusted automatically should the rates change.

FIXED RATE

This is the rate contracted between you and the bank for a pre-determined term, 12, 18, or 24 months. A three-month Fixed Rate option is available for those who qualify. The Fixed Rate will appeal to those who wish to fix their home loan repayments without the influence of the Mortgage Bond Rate, allowing for better budgeting. Fixed rate option only availible after registration of your home loan and not upfront.

                                        LOAN TO VALUE (LTV) GUIDELINES                                 

VACANT      LAND	R 0 to R 1.5m    > R 1.5m	= maximum 75% = maximum 60%	STD Current Account Holders		Maximum 70%   (Will consider higher risk if property is          situated in a low risk area)		Maximum 75%
			All Loan amounts	= maximum 75%
			Non STD Current Account Holders
			≤ R 1 m > R 1 m	= maximum 75% = maximum 60%
RESIDENTIAL  PROPERTY  ( Including   Building   Loans )	R 0 to R 2 699 999 ≥ R 2.7 m	= maximum 90% = maximum 80%	STD Current Account Holders		< R 3 m          > R 3 m	= maximum 95% = maximum 85%	R 0 to R 3 m > R 3 m	= maximum 90% = maximum 80%
			R 0 to R 300 000  > R 300 000 to R 2.5m  > R 2.5m     Business Mortgage	= maximum 95% = maximum 90% = maximum 80% = maximum 80%
			Non STD Current Account Holders		Same guidelines are applicable for Building Loans
			R 0 to R 300 000  R 300 000 to R 2.5m  > R 2.5m          Business Mortgage	= maximum 95% = maximum 85% = maximum 80% = maximum 80%
	APPROVED COLLATERAL SECURITY ** ·          Z573 (Gov/Municipal Guarantee)                       OR ·          ABSA Approved Group Scheme		APPROVED COLLATERAL SECURITY ** ·Z573 (Gov/Municipal Guarantee)                             OR ·      Covering bond over an un-bonded residential      Property (owner MUST be applicant).		APPROVED COLLATERAL SECURITY ** ·          Nedbank Fixed Deposit                         OR ·          Covering bond over an un-bonded        residential property.		Same guidelines are applicable for the FNB ONE ACCOUNT
FURTHER    LOANS	Same LTV guidelines as                above apply		STD Current Account Holders		< R 3 m  > R 3 m	= maximum 90%  = maximum 85%	Same LTV guidelines as                     above apply
			R 0 to R 2.5m  >R 2.5m	= maximum 90% = maximum 80%
			Non STD Current Account Holders
			All loan amounts	= maximum 80%
			EXCLUSIONS Ø       A Re-advance – difference between the        loan amount & balance of a/c. Ø       A Building Loan – loan to build a new        dwelling from scratch on a vacant stand        that is bonded to STD		Same guidelines are applicable for Further Building Loans & Switches
COST   INCLUSIVE     LOANS	Only offered on the ‘My Home’        Product (affordable market)		No cost inclusive product available		No cost inclusive product available		Only offered on the ‘SmartBond’ Product (affordable market)

** If approved collateral security is ceded to the bank, reducing the risk to the relevant permissible level, a higher loan amount may be considered.