Hi there, and a very warm welcome to my blog.
 
My name is Milla. I am a young female, professional (CA) SA in corporate South Africa (JHB). 
 
I capture my experiences in the world of work, my everyday style, weekend steeze, some travel, food, fun and fitness. Hope you enjoy viewing life through my eyes!

Buying your first car and home - the stuff no one tells you...

Those who know me, know that I haven't had much parental guidance for the latter part of my life - which made certain adulating steps quite difficult to figure out.. Like buying your first car, spending money wisely, investing, saving and now even buying your first home...The other issue I had was that I am a horribly impatient person, when I make up my mind to do something - I want it then and there and I will do whatever it takes to do it! For example - hardly 2 weeks into my articles (and mind you - we had training in these two weeks) - I bought my first car. I struggled to get to work everyday because there were few buses and taxis going that route - and the ones that did had all left me behind on one particular day...That day, it took me 2 taxis, a bus and a cab just to get home...not to mention the fact that `I had to walk through Joburg CBD in the dark at night...Besides, working and being able to buy a car was my biggest motivation for passing honors - I had taken buses and taxis my entire life, it was about damn time I moved on to something better! That said, I got my little Ford Figo - I even named her Betty, but only when I did Betty's first service did I find out - there is a huge difference between a warranty and a motor plan - and I did not have a motor plan for Betty! As an article clerk, living on your own, trying to make ends meet on a salary that was more of a stipend - this broke my bank! And these are the little things I wish I had a dad or even mom to teach me at the time...

That said, I did it on my own, I figured it out - albeit the hard way. Now I know things I can pass on to my kids some day and I learnt these all by myself - Google wasn't that big back then LOL

For the longest time I was putting off buying a home, because it would strain my cash flow. I've done property studies, I've done the numbers - home owners spend more than tenants, it's a fact. You don't necessarily pay levies as a tenant - unless it is a net lease, you also don't have to fork out about a minimum of 10% of cash as a deposit on the property that purchaser's do when they buy, and lastly - maintenance, rates, taxes and levies are not something you have to worry about as a tenant on a gross lease. Not to mention the agent's fees you have to pay if you decide to use a managing agent to find, screen and manage your tenants for you. But what is also a fact is that yes, as a tenant - you spend less, but have no asset after 20 years. An asset that could possibly be using to generate you passive rental income in your retirement. Catch 22 huh?! I always just say, do what you feel is right for you. Even though some may have approached 30 - it doesn't mean you HAVE to own a property - those things will come...Do everything in life at your own pace.

Gosh I have written paragraphs already and haven't even made the points I wanted to yet - which is the process around buying a home. People always tell you beware the transfer costs - but let me tell you - that is only one line item of costs you will have to deal with, so here's a video detailing it all. Hope you enjoy it