4 types of property buyers
When it comes to selling property in today’s competitive real estate market, sellers will need to have an edge to stand out from the crowd.
This is according to Adrian Goslett, CEO of RE/MAX of Southern Africa, who says the key is for sellers and their estate agents to make a distinction between the types of buyers they are targeting in order to market the property in the most appropriate way.
Goslett notes that establishing the type of buyer they are dealing with will assist in determining the buyer’s needs and how they should be approached.
He says different features of a particular home will appeal to different kinds of buyers, depending on their criteria and type of property they are looking for.
Goslett explains that generally property buyers will fall into one of four main categories:
- Buy-to-let investors
- Fix and flip investors
- Hybrid buyers
Credit history and home loan approvals
In today’s real estate market it is imperative for consumers to establish an excellent credit record and maintain it.
He says having a favourable credit record is essential for consumers who aspire to own property.
While lending criteria is not as stringent as it was when the National Credit Act (NCA) was initially introduced, the requirements in the current market are still strict and it is likely to remain that way for some time, he says.
“An established credit history that shows that the consumer can conduct their credit responsibilities in a favourable manner is just as important as a positive credit score. A consumer’s credit history will have an impact on whether or not the loan is granted and if the loan is granted, it will influence the interest rate at which the bank will finance the deal.”
He explains that financial institutions use this information to assess the probability of the applicant defaulting on their payments, which will in turn give them an idea of whether or not granting the loan is a high risk.
Sizwe Nxedlana, FNB chief economist
Sizwe Nxedlana has been appointed as FNB chief economist, taking over the role from Cees Bruggemans effective from 3 December 2012.
Prior to this role, Nxedlana held the role of senior economist at FNB Wealth and was a member of the investment and asset allocation committees.
He joined FNB in 2008 and was responsible for the analysis of South African and global economic trends and global markets, initially servicing the FNB Commercial and more recently the FNB Wealth segment.
Nxedlana replaces Cees Bruggemans, who is retiring from FNB after 28 years as the bank’s chief economist.
Govt set up online portal for heritage
For the first time ever, South Africans are now able to air their views online regarding the protection of their cultural heritage.
This after government through the South African Heritage Resources Agency (SAHRA) introduced a heritage resource management web based database portal, the South African Heritage Resource Information System (SAHRIS) (www.sahra.org.za/sahris).
SAHRA public relations officer, Berri Samuels said the portal is an exciting, first of its kind initiative in the country.
“It takes SA heritage and puts everything into one place; it is accessible by all South Africans, through visiting the website and registering.
“This is an administrative tool that can be used by Heritage Resource Management and other bodies,” she said.
Samuels said the website is created in a way that will show all online users how to explore the site, guide them on how to create and submit their applications.
“All records created from now on, may be recorded, tracked and followed up by users,” she said, adding that the application include permits for archaeology, sites, heritage objects, graves and wrecks.
Corporate real estate investors in SA
South Africa is seeing an interest from corporate investors particularly in the country’s real estate, with Gauteng being a firm favourite location.
This is according to the Jones Lang LaSalle report entitled: Perspectives on emerging markets.
Read the report here.
According to the report, South Africa, a BRICS emerging country, is a nation poised for business growth.
It is the world’s 27th largest economy and the only African member of the G20 - with vast mineral wealth - including the world’s largest deposits of gold, platinum, chromium and manganese - and a diverse economy ranging from export automobiles to advanced financial and professional services.
International access to local markets is relatively easy through hubs such as Johannesburg, which has one of the 100 busiest airports in the world.
Though not all business conditions in South Africa are perfect, the country compares well to other emerging nations throughout the world in several key measurements, notes the report.
The 4 biggest home buyer turnoffs
In a market that’s still largely geared to homebuyers, it’s tough to get them to come to show days or home viewings, and tougher still to hold their interest.
Dirty dishes and cluttered kitchen counters. Counters crowded with the blender, coffee-maker, toaster, kettle and slow-cooker may make it appear that the kitchen lacks work and storage space. And the remains of last night’s supper congealing on plates in the sink are sure to put buyers off.