We all dream of owning our own homes. At Standard Chartered, we are committed to helping you turn that dream to reality. If you are over 21 years old, and are in full-time employment, come and talk to us about a mortgage solution to help you achieve your dream of home ownership.
Mortgage products available
Outright purchase of a house/ flat for residential purposes
Equity release: This means you can cash out up to 50% of the value of your existing property.
Balance transfer with or without Cash out: Allows you to transfer your mortgage to us and enjoy our competitive terms. You can also get the benefit of a cash-out depending on the value of your property
Higher amount of up to ZWL5,000,000
Longer loan tenure period of up to 20 years
Competitive Interest Rate of 45% (subject to macro-economic environment)
Minimum down payment of 30%
Only available for properties in Harare, Norton, Chitungwiza, Ruwa and Christon Bank
Eligibility
Zimbabwean citizens,
Non-resident citizens with salaries domiciled in Zimbabwe
Minimum age 21
Salaried customers meeting all the specified requirements
Employees and Directors of reputable companies
Professionals and Consultants who earn a regular monthly income and are purchasing a residential property for owner occupation
Documents required
Completed and signed application form
Certified copies of last 3 month’s pay slips
Certified letter from employer stating terms of employment
Certified copy of ID / passport
Sale agreement
Certified copies of bank statements for 12 months
3 colour passport-sized photos
Copy of title deed
For a mortgage transfer, mortgage statement for the last 12 months
Fees and charges
Application fee ZWL1,800
Facility arrangement fee: 2.5%
Conveyancing fees ( approximately 1-6% of property value)
Bond registration (approximately 1-6% of loan amount)
Property insurance (approximately 0.1% of property value per annum)
Mortgage protection insurance (approximately 0.1% of the loan amount per month)
Valuation fees (approximately 1% of property value, depends on where property is located)
A mortgage is a loan advanced to the customer by the bank towards the purchase or construction of a property. The customer provides the bank with his / her property as a security. At Standard Chartered Bank Zimbabwe, we are currently offering the mortgage facility for outright purchases, balance transfer and equity release.
Yes. The Bank allows you to make lump sum payments into your mortgage loan account. You however need to advise us whether you would like the amount to be applied as a capital repayment, intended to reduce the monthly balance or the loan tenure.
Valuation fees: This is paid to the valuers for the valuation of the property and is based on the value of the property.
Legal Fees: This is paid to the advocates for the preparation and registration of the security documents for the loan. It is based on the loan amount.
Stamp Duty: This is paid to the commissioner of lands for the registration of the transfer on the ownership of title documents on the property. It is based on the price of the property or the value of the property as determined by the Government Valuer.
Damage to property: This is insurance cover taken on the property to cover against fire. Premiums are paid annually to the Insurance company providing the cover and it is based on the value of the property.
Life insurance: This is insurance cover taken to cover customer in the event of death or permanent disability while servicing the loan. It is paid monthly and is based on the outstanding loan balance.
No, as a customer, you have the option to choose an Insurance Provider listed on our panel of approved Insurers. Proof of cover will need to be sent to the Bank annually confirming that the policy is still active.
Can I make lump sum payments into my loan account?
Yes. The Bank allows you to make lump sum payments into your mortgage loan account. You however need to advise us whether you would like the amount to be applied as a capital repayment, intended to reduce the monthly balance or the loan tenure.
What are the charges associated with a Mortgage loan?
Valuation fees: This is paid to the valuers for the valuation of the property and is based on the value of the property. (%?)
Legal Fees: This is paid to the advocates for the preparation and registration of the security documents for the loan. It is based on the loan amount.
Stamp Duty: This is paid to the commissioner of lands for the registration of the transfer on the ownership of title documents on the property. It is based on the price of the property or the value of the property as determined by the Government Valuer.
Property insurance: This is insurance cover taken on the property to cover against fire and damage to property. Premiums are paid annually to the Insurance company providing the cover and it is based on the value of the property.
Life insurance: This is insurance cover taken to cover customer in the event of death or permanent disability while servicing the loan. It is paid monthly and is based on the outstanding loan balance.
What would disqualify a customer who has applied for a home loan?
If the customer does not meet the Bank's minimum requirements.
If the property being offered as security is not acceptable to the Bank.
Who is eligible for mortgage loan?
Applicants with verifiable income (paid employment)
What is the loan tenure?
Maximum of 20 years subject to retirement age.
How much is the equity contribution by the customer?
30% of the cost of property
What documents do I need to submit to avail a Home Loan?
Duly completed application form indicating sub product sought – purchase, equity release, top up or remortgage.
Passport size photograph
Letter from employer confirming employment status
Copy of offer letter/ sale agreement duly signed- if purchase
3 Months Payslips- original sighted and copy verified.
Copy of National Identity Card or Passport
Copy of title deed if Equity Release
6 months mortgage account statements for off us refinancing/remortgage transactions.
Certificate of marriage to prove marriage in case of joint mortgages.
How do I repay the mortgage loan?
From your income which will be domiciled with SCB
What are the stages involved in taking a mortgage loan with SCB?
Pre-assessment Stage
Processing & Approval Stage
Bond Perfection Stage
Can I purchase a house anywhere in the country?
We currently only finance the purchase of residential property in Harare, Norton, Ruwa, Chitungwiza and Christonbank.
What are the bond perfection charges, and must I pay them when I am granted the loan?
Bond perfection fees are the fees paid to the government for the transfer of ownership of title from the original owner to the customer. It is also used for the registration of Legal Mortgage to note the Bank's interest. Yes, you will be required to pay these fees upfront as it is a condition precedent to drawdown of the mortgage facility.
Are interest rate fixed for the entire term of the mortgage loan?
The interest rate for our mortgage is subject to prevailing market conditions.
What is DBR?
DBR refers to your debt burden ratio. This is the percentage of your monthly net income (after tax and other deductions) which we would permit you to use to service your mortgage facility.
How does it work?
Clients with titled properties in their names can apply to the Bank to have funds released against the property upto 50% of the value of the property. This means for example client A has a property registered in his name valued at $100,000- the client can access upto 50% of the $100,000 i.e. $50,000 subject to normal qualification criteria for mortgages. The client will be required to have the property valued and they can access the funds for any purpose they want. The Bank will require a bond to be required over the property.
What is a mortgage?
A mortgage is a loan advanced to the customer by the bank towards the purchase or construction of a property. The customer provides the bank with his / her property as a security. At Standard Chartered Bank Zimbabwe, we are currently offering the mortgage facility for outright purchases, balance transfer and equity release.
What bank charges apply when taking out a Mortgage loan?
There is an arrangement fee that the customer is expected to pay upon acceptance of the loan. It is 2.5% of the loan amount, minimum $150.
If I have a life insurance with another reputable insurance company do I have to use the Bank's Insurance Provider?
No, as a customer, you have the option to choose an Insurance Provider listed on our panel of approved Insurers. Proof of cover will need to be sent to the Bank annually confirming that the policy is still active.
If I lose my job and am not able to service my loan, will you auction my house? How long will you take before you auction my house?
In the event that you are having difficulty in paying your loan, please come and discuss with the Bank. There is a legal process to be followed before we can auction your house. This is normally the last action resorted to after exploring other avenues.
What is the maximum loan amount on a mortgage?
USD300,000
What is loan to value (LTV)?
LTV refers to the part of the purchase value of the property the buyer must provide. It is currently a minimum of 30% of the value of the property being purchased i.e. for a property worth USD100,000, the buyer must provide a minimum of USD30,000 and the bank finances USD70,000. Conversely, loan to value refers to the portion the bank finances, that is, up to a maximum of 70% of the market value of the property.
What is the minimum loan amount on a mortgage?
The minimum loan amount we offer is USD10,000.
Can a Joint Mortgage be packaged for spouses?
Yes. How does it work?
Do I need to open an account with SCB to access and service the mortgage loan?
Yes.
Can I take out a mortgage to buy land and then build my own house?
No, Standard Chartered Bank Zimbabwe currently offers mortgages for the purchase of already completed residential properties only.
What proof of ownership(s) is/are accepted by SCB?
A registered Title Deed in the names of the customer
How do you calculate interest on the mortgage loan?
Interest is calculated as a percentage of the principal amount outstanding on a daily basis i.e. on a reducing balance basis. The interest component of your monthly repayments is therefore larger at at the start of the loan and reduces progressively over the life of the loan.
How much must I earn to be able to secure a mortgage loan?
The minimum you must earn to qualify for a mortgage is USD500 Net Salary.
What is Equity Release?
Equity release allows you to release cash from your property. To be eligible for one of these plans, you need to be a Zimbabwean homeowner aged 21-65. The money released can be spent in any way you want. You can apply for a loan of up to 50% of the value of your property as equity release.
Standard Chartered Bank (the “Bank”) is committed to maintaining a culture of the highest ethics and integrity, and in compliance with all applicable law, regulation and internal policy. As part of this commitment, the Bank has a ‘Speaking Up’ programme through which genuine concerns in this regard can be raised. Members of the public can securely raise Speaking Up concerns through this hyperlink, which is hosted on behalf of the Bank by a third party ‘InTouch’. Examples of concerns that can be raised through this website are concerns that relate to accounting, internal accounting controls or auditing matters and concerns relating to bribery or banking and financial crime. Concerns received will be forwarded to the Bank’s investigations team for review. Complaints relating to SCB banking services should not be raised through this site in the first instance, but through the SCB branch network, contact centres, Relationship Managers or the ‘Contact Us’ webpage.
Disclaimer
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