House Price Indices - May 2013
Absa - South Africa
House price growth slowing down
House price growth slowed down in May 2013, based on nominal year-on-year growth in the average value of homes in the middle segment of the South African residential property market. This is the result of base effects and a downward trend in monthly price growth since mid-2012, which was expected to eventually cause year-on-year price growth to moderate. These trends are according to the Absa house price indices, which are based on applications for mortgage finance received and approved by the bank in respect of middle-segment small, medium-sized and large homes.
Interest rates were kept unchanged in the first half of 2013, and are forecast to remain at current levels in the rest of the year before rising around mid-2014 to keep inflation under control. This interest rate projection is based on current trends in and prospects for the domestic economy and inflation. Continued low interest rates will support the property market and benefit the affordability of housing and mortgage finance.
On the back of the latest trends in house price growth and various factors impacting the housing market, single-digit nominal year-on-year price growth is forecast for the full year. Real house price growth will continue to be driven by a combination of movements in nominal prices and consumer price inflation.
Absa House Price Indices May 2013
Provisions of a property lease agreement
Iol - South Africa
There are strict requirements in terms of the Rental Housing Act 50 of 1999 and the Consumer Protection Act 68 of 2008. These requirements are deemed or considered to be in the lease even if not written into the lease.
A landlord and tenant ought to have knowledge of these provisions because it affects their relationship during the lease period and when the lease ends. Parties cannot waive the requirements of both acts.
Deemed provisions of the Rental Housing Act: In terms of section 5 (3) of the act, a lease will be deemed to include the following:
- The landlord providing the tenant with receipts for all payments received.
- To pay a deposit, if required, before moving into the dwelling.
- The deposit must be invested by the landlord in an interest-bearing account with a financial institution.
Electronic Conveyancing: Just around the corner
NECD - Australia
Buying and selling property is set to become a whole lot easier, with the unveiling of Australia’s first national e-conveyancing platform, PEXA (Property Exchange Australia).
Like the ASX did for the exchange of shares, Property Exchange Australia (PEXA) removes the manual processes and paperwork associated with the exchange of property by allowing Land Registries, Financial Institutions and Practitioners to transact together, online, for the very first time.
With close to a million property transactions considered “in scope” each year, the unique PEXA platform will provide tangible time and cost efficiencies to the conveyancing industry by reducing the time spent preparing instruments, removing the need to physically attend settlement and using technology to greatly reduce the prevalence of errors and failures in land transactions.
NECD - Australia
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