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More first-time buyers are getting 100% bonds

100% home loans remove the need for a deposit, making homeownership a reality for first-time buyers who can't afford one. Find out more.

100 Bonds

Article summary

  • 100% home loans remove the need for a deposit — a major obstacle for first-time homebuyers.
  • ooba Home Loans reports a 68% increase in 100% home loan applications.
  • Applying to multiple banks increases your chances of securing a 100% home loan.

Most home loans require a deposit; an upfront payment that usually amounts to 10% of the purchase price. This is a major obstacle for first-time buyers.

But they have another option: The 100% home loan. The purchase price is completely funded by the bank, removing the need for a deposit. This makes homeownership a reality for many first-time homebuyers.

100% home loans on the rise

ooba Home Loans reports a 68% increase in 100% home loan applications, 80% of which were approved.

Why 100% home loans are a good option

Competition between banks is strong, resulting in increased willingness to approve home loan applications to secure customers.

The current climate makes it a good time to apply for 100% home loans as banks are more willing to take the greater risk.

100% home loans versus deposit

It’s better to make a deposit if you’re able, as this will reduce interest rates and monthly repayments.

But the 100% home loan removes short-term costs and thereby knocks down a major obstacle for first-time buyers who can’t afford a deposit.

The cost of a 100% home loan

100% home loans require higher monthly repayments, so you need to ensure you have sufficient income to manage these payments.

You can use our Bond Repayment Calculator to determine what you will owe per month on a 100% home loan. This will allow you to budget more effectively.

Your chance of 100% home loan approval

This depends on:

  • Your credit record.
  • Your ability to afford monthly repayments.
  • The value of the property. Banks are more likely to approve 100% home loans in the R1 000 000 to R2 000 000 mark.

Your credit record, which is already an important factor when applying for a home loan, becomes even more important in the case of a 100% home loan, as the bank is taking a greater risk.

A credit record of 660+ is recommended.

Improve your chance of home loan approval by applying to multiple banks

Applying to multiple banks will grant you the best chance of 100% home loans. Competition between banks means some may be more willing to grant this package than others.

You can apply to multiple banks by applying through ooba Home Loans. We submit your application to all the major banks, allowing you to compare deals so you can choose the most favourable.

Find out what you can afford by getting prequalified

You can determine your chances of approval before you even apply by getting prequalified with ooba Home Loans. We calculate your chances of approval and what home loan you’re likely to qualify for.

You can get prequalified by contacting an expert at ooba Home Loans or by using our free, online prequalification tool, the Bond Indicator.

Get prequalified for a home loan today

DIY with our online prequalification tool, or speak to an expert.


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Average rating of 4.86 from over 4 550 reviews

Simply The Best

Ooba home loans services are simply the best. My Consultant Bianca Dancer was so hands on and helpful from the get go. She guided me through the entire process and put me at ease being a first time buyer. I highly recommend their services.

Tia J

Excellent Service

Jay Govender and Maleshini Reddy from OOBA provided outstanding assistance and guidance in securing our home loan. Response times were excellent and they were professional and friendly.

Brice G

Bond Application

Estelle Vorster was really helpful in securing the best deal for my home loan, she not only negotiated a lower interest rate she went as far as securing 50% discount on the transfer costs.

Butana M