Is ZAR 709,800 enough to keep back after closing?

F

finch.wide

Buyer
We expect to close on a Cape Town condo in about 45 days. After the deposit and estimated closing costs, we should have roughly ZAR 709,800 left for moving, furniture and surprises. The unit appears maintained, although I know the inspection cannot predict every first-year expense.

Would you proceed if the mortgage payment felt comfortable, or delay to increase the reserve? I’m also trying to distinguish amounts legally required for the South African transaction from the cash buffer that is simply a matter of personal risk tolerance.
 
That sounds like a substantial buffer, but the total matters less than what remains after you protect an emergency fund. I’d ring-fence several months of essential household spending, the first mortgage payment, service charges and the insurance excess. Moving and essential inspection items come next; furniture can be bought gradually. Your conveyancer should confirm the transaction amounts and dates—your preferred post-closing reserve is a separate personal decision.
 
Is the ZAR 709,800 figure after actual moving quotes and the first service-charge bill, or are those still estimates? Also, what does the inspection identify as needing attention within 12 months? Without monthly essential spending, nobody can tell whether this represents a strong emergency fund or only a few expensive months.
 
I wouldn’t delay solely to reach a larger round number, but I also wouldn’t treat “well maintained” as a reason to spend freely after closing. Make a 12-month cash plan now: required transaction payments confirmed by the conveyancer, move, immediate inspection findings, recurring service charges, insurance excess, first mortgage payment, then untouched emergency cash. Put nonessential furniture last. If that plan leaves the emergency portion uncomfortably small, delay; otherwise ZAR 709,800 may be perfectly workable.
 
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