Secondly, shop around for a best home loan interest rates. A 1% difference in interest rate charged on your home loan could mean you’ll be saving R30 000 over term of your bond – depending on size of your home loan.

You, as a property owner, can have your property revalued and apply for a further advance on your home loan of up to 100 percent of new value of property.

And finally, ensure that you are aware of total costs involved in registering your home loan. Transfer costs are normally about 8-9% of home loan, but these costs could be included in your loan. Always clarify this beforehand with your bank.

Get more SA Home Loans information at www.propertyloans.co.za

Since lending landscape is a constantly moving target, “alpha” broker guides client, mindful of client’s desired loan structure, incorporating late-breaking news and knowledge of shifting market dynamics to fine-tune his approach to best achieve client’s objective.

You may be asking how, exactly, this knowledge can benefit borrower, so here are two possible examples:

Lender X recently lost two valuable employees, shop is overwhelmed and broker absolutely knows that even though he’s closed hundreds of millions of dollars of business in past with lender X, and borrower likes lender X, at this moment in time lender X is not right choice, and broker must advise client accordingly.

Treasury rates drop significantly – prompting a suggestion by broker to suddenly switch from lender “A” to lender “B” because lender “A” (despite fact that it offers a better spread than lender “B”) will not be able to lock interest rate for two more weeks. Lender “B”, on other hand, can rate-lock immediately. The borrower should employ broker that will offer him this option when circumstances so dictate, not broker that will sit tight knowing that client is already signed up. The broker that is willing to disclose any problems that arise immediately and help borrower switch to “Plan B” is (of course) infinitely more valuable than one that doesn’t want to rock boat.

Clearly, you want broker that will dig deeper and seek to protect your interest, which brings us to next rather important point:

What to absolutely avoid in a commercial mortgage advisor: brokers who tend to utilize a small number of lenders regardless of diminishing effect that will have upon advice that they can offer their clients. As efficient and convenient as this may be for them, it screams disrespect for their clients. You want a broker that enjoys going extra mile and pushes to find best solution in any market condition. Also to be avoided are firms without enough support staff to truly serve borrower’s needs. The phrase “the devil’s in details” must have been coined with complex commercial mortgage transactions in mind. There is a lot of work that must occur between acceptance of a term sheet and closing of deal. Make sure that firm you put your faith in is adequately staffed to keep paperwork flowing smoothly.

Make most of your next commercial real estate transaction by taking time to identify right advisor to assist you. Tap into wellspring of knowledge and expertise as needed, knowing your broker is up to speed with all nuances of current lending environment. Bringing that expertise in at an early stage will almost certainly ensure that your project will go more smoothly.

Gregg Winter - President Winter & Company Commercial Real Estate Finance 13 East 37th Street, NYC 10016 gregg@winter1.com www.winterandcompany.com