Buying a home is more than just choosing your dream kitchen or the perfect neighborhood—it's also about understanding how you’ll own that home. Each property type comes with its own rules, responsibilities, and costs. Knowing the difference between them can save you time, money, and stress—and help you make a decision that truly fits your lifestyle and future goals.
Let’s break it down:
1. Freehold (Freestanding) Properties
Best for: Independence and full control
A freehold property—also known as a freestanding home—means you own both the land and the building. This gives you maximum freedom to make changes, extend, or even rebuild. But with great freedom comes great responsibility.
You'll need to budget for:
- Municipal rates and taxes, based on the property’s value
- Home insurance and possible security services
- All maintenance costs—from the roof to the plumbing
If you're someone who values privacy and control, this could be the perfect fit.
2. Sectional Title Properties (Townhouses, Apartments & Complexes)
Best for: Convenience, shared costs, and added security
When you buy a sectional title property, you own your unit (like an apartment or townhouse), but share the common areas—such as gardens, pools, driveways, and security—with other owners.
Each month, you’ll pay a levy to the body corporate, which handles:
- Building insurance
- Upkeep of shared spaces
- Security and other communal services
These properties can be easier to maintain, but don’t forget to check the levy structure and financial health of the complex before signing on the dotted line. Unexpected increases or mismanagement can affect your budget.
3. Off-Plan & New Developments
Best for: First-time buyers looking for value
Buying off-plan means purchasing a property directly from a developer before it’s built. It’s often more affordable than buying an existing home, and in South Africa, it comes with a major bonus—no transfer duties.
Here’s why buyers love it:
- You usually pay a small deposit upfront
- Bond registration happens once the home is built, giving you time to sort out finances
- Modern finishes, energy efficiency, and warranties are often included
Just be sure to buy from reputable developers and read the fine print carefully.
4. Vacant Land & Plot-and-Plan Options
Best for: Building your dream from the ground up
Buying land gives you a blank canvas—but it also comes with homework. You'll need to check:
- Zoning regulations
- Whether the land is serviced (with water, sewage, and electricity)
- What building restrictions or timelines may apply
If you want a simpler route, consider a plot-and-plan option, where you buy a plot with pre-approved building plans. This offers a more structured, cost-effective path to customising your home—with easier financing and faster approvals.
Keep in mind: Banks often require bigger deposits for land-only purchases, and may want to see your building plans before approving a bond.
From Property Search to Home Loan – We’ve Got You Covered
At MortgageMarket, we do more than help you secure the best home loan—we also help you find the right property through our in-house real estate arm, MM Property Solutions.
Whether you’re looking for a freestanding home, sectional title unit, or off-plan opportunity, MM Property Solutions connects you to properties that match your budget, lifestyle, and long-term goals.
Then, MortgageMarket steps in to make sure you’re financially ready:
Get pre-approved in 2 minutes: See what you qualify for before you even start house-hunting.
Compare multiple bank offers: We work with South Africa’s top banks to give you side-by-side offers—saving you time and money.
Get expert support: Whether it’s your first home or a long-term investment, our team is here to guide you through the process with confidence.
Let MortgageMarket simplify the journey—so you can focus on finding a home that fits your life, not just your budget.
