Determinants of real-estate mortgage loan accessibility in South Africa
Real-estate mortgage loan accessibility plays a significant role in the economy of the country, as it influences the housing sector, which in turn contributes to the domestic GDP. This study explores the determinants of real-estate mortgage loan accessibility in South Africa by examining how household income and individuals’ awareness of housing financing tools influence the uptake of real-estate mortgage loans. Data was collected using an online survey and analysed using cross tabulation, benchmarking, establishing trends and averages. Results suggest a general lack of awareness of what factors render one eligible for mortgage loan financing. Many individuals who technically qualify to get a mortgage loan are refraining from applying as they believe they do not qualify.
A research submitted in fulfilment of the requirements for the degree of Masters of Management in Finance and Investment (MMFI) to the Faculty of Commerce, Law and Management, Wits Business School, University of the Witwatersrand, Johannesburg, 2020