Cape Town market shows steady growth in property values
The recent findings from the Lightstone’s Cape Town Property Market 2019 overview show a steady increase in property values, with indications that this growth will continue over time.
Lightstone’s analysis includes the data from nearly eight million registered properties across South Africa, 83% of which are residential properties and 17% non-residential. The total of 6.7 million residential properties are valued at R5.4 trillion, a figure which is heavily supported by the R2 trillion Gauteng market.
Freehold properties remain the largest percentage of this figure at 67%, estates follow at 18.3% and sectional title at 14.2%. Estates consist of a much higher proportion of total value vs. volume as these properties are on average valued at three times more than normal freehold properties.
How to handle the problem of buying and selling your home simultaneously
Since most of us keep our equity in property, the process of buying and selling usually goes hand-in-hand, unless you are a first-time buyer. Though a common approach to conducting property transactions, buying and selling simultaneously can cause homeowners to make some rash decisions.
According to Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, the best way to avoid this is to consult a trusted local real estate advisor who can help you manage the timelines so that you do not end up making any decisions you might later regret.
Elaborating on this, Goslett explains that if homeowners receive an offer on their property, they might rush the purchase of their new home simply because they need to be out of their current home by a certain date. Similarly, if they find their dream home first, they might rush the sale of their current home and accept low-ball offers so that they can secure the necessary financing to purchase the new property.
How can estate agents earn South African consumers’ trust?
Gone are the days when property brokers were mostly stay-at-home moms knocking on doors to sell homes - but despite the industry now being far more sophisticated and bolstered by technology and full-time professionals, its image remains tainted, and it has become cluttered with a barrage of tacky messaging.
Yael Geffen, CEO of Lew Geffen Sotheby’s International Realty believes that if industry players want to create the perception that property brokering is a respected trade, this must be reflected in every aspect of the business.
“Agent and brand advertising on every second dustbin screaming ‘pick me, pick me’ does not elevate the public’s perception of our industry - in fact, it achieves quite the opposite. The same applies to signboards on street posts on every corner which all declare brokers as ‘area specialists’, because merely popping the term onto a poster does not make it so,” she says.
The 4 best ways to find serious buyers for your home
House hunting has advanced considerably over the last three years. Gone are the days where local flyer drops and property advertisements were the main source of buyers. These days, it is all about digital, from the web where buyers can find a host of properties to digital walkthroughs, and send immediate enquiries directly to agents through digital databases, but does this make show houses and sole mandates obsolete?
Although Propstats, for example, still lists buyer sources as boards, existing, shared, flyers, press, referrals, show houses, telephone enquiries, walk-ins and the web, it really now comes down to just four important aspects that sellers need to be aware of, says the Seeff property group. These are searches, sources, show houses and sole mandates.