10 Property buying myths that cost buyers time and money

• Waiting for the “perfect time” to buy often costs more as property prices rise faster than buyers expect.
• Many first-time buyers can qualify for home loans with smaller deposits or even 100% bonds.
• Understanding buying myths can help buyers enter the market earlier and start building equity sooner.

Why property buying myths hold many buyers back

Buying property remains one of the most important financial decisions many people will make. Yet it is also surrounded by misconceptions that often delay potential buyers from entering the market.

For many South Africans, particularly first-time buyers, uncertainty around deposits, affordability, interest rates and timing creates hesitation. These myths can leave buyers waiting on the sidelines while property prices continue to climb.

According to Samuel Seeff, chairman of Seeff Property Group, buying property remains one of the most effective ways to build long-term security and wealth.

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“With careful planning and informed choices, buying your own home provides stability and protection against rising rents. Starting early can make a meaningful difference to long-term wealth creation,” says Seeff.

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However, he notes that many potential buyers postpone their first purchase because of widely believed myths about affordability and timing.

Here are ten of the most common property buying myths and the realities behind them.

Myth #1:

You should only buy when you can afford your dream home

Many buyers believe they should wait until they can afford their “forever home”. In reality, property ownership is often a journey.

Starting with a smaller or more affordable property allows buyers to build equity. As the property value increases and the bond balance declines, that equity can later help fund an upgrade.

Waiting too long may simply mean paying more for the same property in future.

Myth #2:

You need a large deposit

While deposits were historically higher, the lending landscape has evolved.

Mortgage originators such as ooba Home Loans report that average deposits are around 12%, while many buyers still secure 100% home loans, particularly with strong credit profiles.

Although a deposit can reduce repayments, it is no longer always a barrier to entering the property market.

Myth #3:

Wait for interest rates or property prices to drop

‍Trying to perfectly time the property market rarely works. Interest rates are unpredictable and property prices in high-demand areas seldom fall significantly for long periods.

Buyers who wait often end up paying more later. The smarter strategy is to buy when you are financially ready and able to afford repayments.

Myth #4:

Renting is better when property prices are flat

When property price growth slows, some buyers believe renting is the safer choice.

While renting may appear cheaper in the short term, it does not build long-term wealth. Monthly rent payments benefit the landlord, while bond repayments gradually build equity for the homeowner.

Over time, property ownership generally creates stronger financial outcomes.

Myth #5:

Find a property first, then apply for a home loan

Many buyers begin searching for homes before understanding what they can afford.

Obtaining pre-qualification from a bank or mortgage originator helps determine a realistic price range before viewing properties.

Pre-qualified buyers also appear more credible to sellers and may have an advantage when making an offer.

Myth #6:

Certain times of the year are better to buy

Unlike some industries, property markets do not follow strict seasonal pricing patterns.

While activity may fluctuate during the year, there is no guaranteed “cheap” season to buy.

The best time to buy is when your finances are stable and you can comfortably afford the repayments.

Myth #7:

Self-employed buyers cannot get home loans

‍Many self-employed individuals assume banks will not finance them.

In reality, lenders regularly approve bonds for self-employed buyers, provided they can demonstrate consistent income and provide financial documentation such as tax returns and financial statements.

Mortgage originators can assist applicants in navigating these requirements.

Myth #8:

Avoid properties that have been on the market too long

Homes that remain unsold for extended periods often raise suspicion.

However, there are many reasons a property may take longer to sell. It may have been overpriced initially or appeal to a smaller group of buyers.

These properties can sometimes offer excellent negotiation opportunities, provided buyers carefully assess the price and condition.

Myth #9:

You must pay the asking price

The listed price is usually a starting point for negotiation rather than the final sale price.

While highly desirable homes may sell close to the asking price, many transactions involve negotiation depending on market conditions and seller motivation. Submitting a fair, well-researched offer is often the best strategy.

Myth #10:

Fixer-uppers are always a bad investment

Many buyers avoid properties that require renovations.

Yet fixer-uppers can offer lower entry prices in desirable areas. For buyers willing to invest in upgrades, these properties can create significant value.

The key is carefully assessing renovation costs and ensuring the improvements make financial sense.

Knowledge helps buyers enter the market sooner

According to Seeff, uncertainty and misinformation often prevent potential buyers from taking the first step.

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“Property ownership remains one of the most reliable ways to build long-term financial security,” he says. “The key is to start the journey with realistic expectations and sound advice.”

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For buyers willing to move past the myths and make informed decisions, the property market continues to offer one of the most powerful pathways to building long-term wealth.

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