Bonding an old house

[Dolby]

I've got a house that has been unbonded for the last 10 years.

If I want to open a bond, is it literally as easy as phoning the bank, saying I want the cash against the house, they open an account with the cash to the value of the house - and I could buy a car, transfer to my credit card or wtf I want?

 

[Pitbull]

I've got a house that has been unbonded for the last 10 years.

If I want to open a bond, is it literally as easy as phoning the bank, saying I want the cash against the house, they open an account with the cash to the value of the house - and I could buy a car, transfer to my credit card or wtf I want?

My dad buys his cars this way. Uses a second bond to finance the car. Pays the exact amount he would have over 48 months. Saving a HUGE amount of interest. Gives him huge bargaining power and he pays less interest on the amount. His Bond is open though even though it's settled. He just transfers funds in and out of it.

 

[supersunbird]

I've got a house that has been unbonded for the last 10 years.

If I want to open a bond, is it literally as easy as phoning the bank, saying I want the cash against the house, they open an account with the cash to the value of the house - and I could buy a car, transfer to my credit card or wtf I want?

Well, they will want to have a property valuation done by an expert and such, and then yes, they pay the bond money into whatever account is specified. Don't forget the bond registration costs that can be a few thousand.

 

[ToxicBunny]

I've got a house that has been unbonded for the last 10 years.

If I want to open a bond, is it literally as easy as phoning the bank, saying I want the cash against the house, they open an account with the cash to the value of the house - and I could buy a car, transfer to my credit card or wtf I want?

It will cost you at least R5k to do this....

They will need to register the bond against the property and such...

 

[Dolby]

Sounds fantastic though - to renovate or anything.

Thanks!

 

[Cray]

My dad buys his cars this way. Uses a second bond to finance the car. Pays the exact amount he would have over 48 months. Saving a HUGE amount of interest. Gives him huge bargaining power and he pays less interest on the amount. His Bond is open though even though it's settled. He just transfers funds in and out of it.

I did this for my last car, bond was partially paid - re-maxed it, paid for the car with the cash and saved a whole lot of interest.

 

[heartbroken]

Sounds fantastic though - to renovate or anything.

Thanks!

Just don't go spending it all on hookers and beer!

 

[hellfire]

I've got a house that has been unbonded for the last 10 years.

If I want to open a bond, is it literally as easy as phoning the bank, saying I want the cash against the house, they open an account with the cash to the value of the house - and I could buy a car, transfer to my credit card or wtf I want?

Well, they send an assessor around to determine house value, there's a myriad forms, have to wait for approval.
Once approved by the bank, there are initiation fees of R5700 (usually), a whole lot of lawyer fees for the bond registration - probably end up on R10k depending on the size of the bond that you want.