Get a loan for a funky, low(ish)-cost container home
It’s not easy to get a home loan for what is considered a moveable property, but alternative means of financing does exist
Container homes are not cheaper than equivalent brick-and-mortar houses
Low-cost eco-friendly container homes could be the answer to South Africa’s housing shortage.
These premanufactured container homes are quick to build, cheap, and environmentally friendly.
Nevertheless, the banks remain hesitant to finance these structures and embrace this building philosophy.
Container homes are viewed as temporary structures; meeting building regulations can be an issue, which may be why home loans aren’t usually approved.
Lester Kiewit interviewed Shaun Rademeyer, CEO at Multinet Home Loans (scroll up to listen).
Kiewit asked him if banks allow home loans on these alternative options and what their reasons are.
Anywhere between R30 000 and R40 000 [cost of container] … It might eventually be the same cost as a brick-and-mortar home… We’re talking about a 30 square metre home that you still need land for… You’re looking at R600 000 or R650 000… A similar brick-and-mortar property could cost you R300 000.Shaun Rademeyer, CEO - Multinet Home Loans
There are always alternative financing means for movable property. The problem is your interest rate is higher… Not really an option for first-time buyers…Shaun Rademeyer, CEO - Multinet Home Loans
Most of these container homes are actually designed by high-end architects and bought by wealthy people… Some container homes go three or four storeys up…Shaun Rademeyer, CEO - Multinet Home Loans
When it comes to property, it [property stokvel] is a bit dangerous…Shaun Rademeyer, CEO - Multinet Home Loans
Source : https://www.123rf.com/photo_63513799_container.html?vti=mfbn036qsiqpik5c1t-1-8