First-time home buyers in South Africa: Common mistakes
First-time home buyers in South Africa: Common mistakes and how to avoid them
Buying your first home is exciting - but for many South Africans, it can also be fraught with costly mistakes. Inexperience, emotional decision-making, and poor preparation can create unnecessary financial strain if not managed carefully.
According to Antonie Goosen, principal and founder of Meridian Realty, one of the most common mistakes is focusing solely on the purchase price. “Many first-time buyers stretch themselves to qualify for the bond, without considering whether they can comfortably sustain the monthly costs,” he explains. “Affordability is about more than bank approval.”
Common mistakes first-time buyers make
1. Letting emotions drive decisions
“It’s easy to fall in love with a property and overlook practical considerations,” says Goosen. Buyers should step back and evaluate whether a home truly fits their budget, lifestyle, and long-term plans.
2. Misunderstanding the negotiation process
“Some buyers assume that because the market is balanced, they can make aggressive offers on any property,” Goosen notes. “Well-priced homes still attract strong interest, and unrealistic offers are often rejected outright.”
3. Skipping professional advice
Trying to save money by avoiding inspections or legal guidance can be costly. Goosen warns, “Hidden defects or contractual misunderstandings can be extremely expensive down the line.”
4. Underestimating the time and complexity involved
“Property transactions involve multiple parties,” he adds. “Rushing decisions usually leads to regret.”
5. Overlooking additional costs and planning ahead
Adrian Goslett, Regional Director and CEO of RE/MAX Southern Africa, emphasizes that buyers often underestimate the extra costs involved in buying a home. “First-time buyers need to budget not just for the purchase price but also for bond registration fees, transfer duties, insurance, maintenance, and municipal rates,” he says. “Planning ahead prevents unpleasant surprises.”
6. Ignoring financing options and pre-approval
Goslett advises: “Getting pre-approved for a bond not only clarifies your budget but also strengthens your offer in the eyes of sellers. Buyers who start without understanding their borrowing capacity often face disappointment or overspend.”
7. Failing to research the neighbourhood and long-term suitability
Both experts stress that location matters. Goosen adds, “It’s not just about the property itself - factors like schools, transport links, and future development can impact both lifestyle and investment value.”
Tips to avoid these pitfalls
- Ask questions and seek advice early. Approach agents, mortgage advisors, and property lawyers proactively.
- Focus on affordability, not just approval. Build a budget that covers all costs, not just the bond.
- Be realistic in negotiations. Know the market value and don’t make aggressive offers out of emotion.
- Plan for the long term. Consider whether the property will suit your needs for several years.
- Use professional expertise. Inspections, valuations, and legal guidance are essential to avoid hidden risks.
By combining Goosen’s insights on behavioural pitfalls with Goslett’s practical tips, first-time buyers can navigate the property market confidently, avoiding common errors and setting themselves up for a successful investment.
