The bank’s pay careful attention to the sources of your income when you apply for a home loan. All income taken into account must be of a permanent (provable) nature.
Income types:
Monthly salary – your gross monthly income before tax, pension and medical aid deductions.
Car allowance – you may add the full benefit amount to your income.
Company car – a percentage of the benefit may be included, provided you have full use of the car.
Housing subsidy or allowance -100% of your employer’s payment may be included as income.
Commission-based on your average earnings over a 6 month period, provided this continues.
Maintenance – in cases of divorce 3 months proof of payments are required. A copy of the court order stating the maintenance amount and proof that payments are received on a regular basis.
Overtime-based on your average earnings over a 6 month period provided this is permanent.
Joint income:
Where the property is to be registered in the names of all the people whose incomes are taken into account.
Income shared by a husband and wife – either can sign surety.
Income shared by a company, close corporation or trust.
The income of a surety who will be paying your installments.
Other income sources:
Income from permanent sources other than those mentioned above (including unearned income from investments, annuities and trusts) may also be included, provided the income is of a permanent nature.
Surplus rental income may also be accepted as well as gross rental earned on unbonded properties provided that a copy of the lease agreement is submitted.