FILTERS:

Property 24/10 - 414

26 July 2018

Why you can be optimistic about SA’s property market
If one were to believe everything you read, or take to heart everything the analytics and reports suggest, you may end up feeling rather gloomy, particularly pertaining to the performance of the property market over the past few months.

Recently the FNB Property Barometer reported that the second quarter of 2018 was a rather bleak one for the property market with very slow house price growth, properties remaining on the market for longer than average, and a lack of interest and movement in the buy-to-rent market. And to compound matters, there is concern around land expropriation.

Bruce Swain, CEO of Leapfrog Property Group, says this certainly paints a bleak picture, and while it is true that buyers are reluctant to put pen to paper, there’s no reason to believe that we are stuck in a downward spiral.
More

Cash versus a home loan when investing in property
There are certainly advantages to paying cash for your investment property. However Pieter Piek of Just Property Invest suggests an intriguing alternative.

“The advantages of an outright cash purchase are certainly appealing,” says Piek. “You will not be paying interest on a loan, and if you are disciplined, that money can be invested into a tax-free account, and you will own the property ‘outright’.”

But, he notes, there are disadvantages if you plough all your capital into one asset, leaving little to invest for emergencies. “And if the purchase price for the property drops, you have no gearing protection.”
More

Trends that will affect local and global property investments
The world is becoming increasingly urbanised and cities are being re-imagined. Rapid regeneration coupled with advances in technology have forced real estate developers to think of innovative ways to embrace the changing needs of residents in cities that are adopting a ‘smart’ approach to development.

George Radford, head of Africa at IP Global, says one of the biggest trends shaping future property development and investment is the fact that people are sharing properties. “The shared home space is no longer the domain of students, but it is also appealing to sophisticated professionals who demand certain services and amenities to support their residential choices.”
More

Surprising property buying trends predicted for Generation Z
Generation Z, or people born after 1998, are obviously the future of real estate, and the industry is starting to think seriously now about where they might live and what type of housing they are likely to need and prefer.

“This is especially relevant in South Africa where an estimated 38% of the population are currently aged 18 to 35, and another very large cohort is under-18,” says Berry Everitt, CEO of the Chas Everitt International property group.

He says Gen-Z is full of ‘early-starters’. “For example, we expect them to become homeowners much earlier than the millennials (born between about 1982 and 1998), who are typically only buying their first home now in their early to mid-30s.”
More

How much is your home actually worth?
In light of the upcoming City of Cape Town General Valuation in July, Greeff Christie’s International Real Estate explains why sellers should get professional assistance to value homes, understand what factors determine property values and how to add value to their property.

Mike Greeff, CEO of Greeff Christie’s International Real Estate, advises that a general valuation has the potential to have far-reaching consequences for property owners.

“More often than not, property values are lowered. The City of Cape Town’s pending valuations could in turn diminish the selling potential of individual homes and suburbs in general. The good news for homeowners is that value adjustments will only reflect on account statements in July 2019,” he says.
More

Submit your comment:
 
Name
EMail
Comments
Security Picture (click to change)
Word shown in picture: