The short answer: a common rule of thumb is that your bond repayment should be no more than about 30% of your gross monthly income. At the current prime rate of 10.75% (since 23 September 2026), a R1,000,000 bond over 20 years costs about R10,150 a month — so banks would usually look for gross household income of around R34,000 a month. Each bank does its own affordability check, which also looks at your other debt and spending. Run your own numbers in the home loan calculator.
🧮 Free calculator: monthly repayment, total interest, transfer duty and the income banks look for. Open the home loan calculator →
🧮 Work it out for your income: the free bond affordability calculator uses your income, debt and living costs, and shows the transfer costs to budget for.
How much home loan can I afford? What banks check
- Your gross income — the repayment-to-income ratio above. Two applicants can combine incomes
- Your other debt — car finance, credit cards, store accounts and loans reduce what’s left for a bond
- Your living expenses — under the National Credit Act, lenders must assess whether you can afford the credit
- Your credit record — missed payments and judgments count against you. Check yours for free first
- Your deposit — some banks offer 100% bonds, but a deposit lowers the repayment and can improve the rate you’re offered
Repayments at 10.75% prime
| Bond amount | Monthly repayment (20 years) | Income at 30% rule |
|---|---|---|
| R500,000 | about R5,076 | about R16,900 |
| R750,000 | about R7,614 | about R25,400 |
| R1,000,000 | about R10,152 | about R33,800 |
| R1,500,000 | about R15,228 | about R50,800 |
| R2,000,000 | about R20,305 | about R67,700 |
Calculated at a fixed 10.75% over 240 months. Real bonds move with prime, so your repayment changes when rates change.
The costs on top of the price
- Transfer duty — 0% up to R1,210,000, then on a sliding scale. See transfer duty explained. Not payable on a new build where the developer charges VAT
- Transfer and bond registration fees — paid to conveyancers. Get quotes
- Bank initiation fee on the bond
- After you move in: rates, levies, building insurance, maintenance. Budget for them before you apply
How to improve your chances
- Pay down store accounts and credit cards — debt payoff calculator
- Get three months of clean bank statements: no missed debit orders, no bounced payments
- Save a deposit, even 10%
- Apply to more than one bank. Rates and decisions differ
⚠️ Scam warning
No legitimate lender asks for an upfront fee to “approve” a home loan. Never pay a deposit into a personal account; pay only into the conveyancer’s trust account after confirming the account details by phone with the conveyancer directly. Fake banking-detail emails are a known property scam.
FAQ
Can I get a home loan with no deposit?
Some banks offer 100% bonds to applicants who qualify. You’ll still need cash for transfer and registration costs unless the bank or seller covers them.
Does a rate hike change my repayment?
Yes, on a variable-rate bond, which most are. A 0.25% rise on a R1,000,000 bond adds roughly R170 a month.
Next step
Banks read your bank statements before they read anything else. The Money Reset Pack (R99) helps you clean up debit orders, plan debt payoff and build a budget that shows you can afford the bond. 🛒 Get the Money Reset Pack →
Educational content, not financial advice. Last verified 9 October 2026 · Sources: SARB repo rate decision, 23 September 2026 (prime 10.75%, via eNCA); SARS transfer duty table · Report an error
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