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Offer to purchase can still fall through
Property24.co.za - South Africa
When sellers accept offers on their properties, all parties are usually elated. But, warns leading KwaZulu-Natal south coast real estate principal Charles Alterskye, owner of Acutts Amazimtoti Coastal, an accepted offer does not always equate to a confirmed sale. That's because so much can go wrong prior to the sales agreement even reaching the conveyancers, let alone the deeds office.

Topping the list of reasons for sales crashing is bond applications being denied because of credit judgments or "adverses" on record against buyers, says Alterskye. This is a trend on the rise in his area of operation and one that now accounts for around 25 percent of accepted written offers not getting beyond the bond application stage. And that's even with attempts by enterprising mortgage originators to get finance through the four major South African banks as well as Ithala Bank and even approved off-shore institutions such as Standard Charter.

Steady fall in home price growth
Business.iafrica.com - South Africa
House price growth continues to decline, with nominal house price growth in November falling to 12.7 percent year-on-year, from 13.3 percent in October.

According to Absa's House Price Index, the average nominal growth in house prices were reported at 14.6 percent year-on-year in the period January to November this year.

"Nominal house price growth has been in a downward phase for the past two years after peaking at 35.4 percent year-on-year in October 2004," the Absa researchers stated.

Foreigners face SA property ban
Fin24.co.za - South Africa
The South African government is to take its first step to regulate foreign land ownership - particularly along the Cape coastal area - which it says is being increasingly sold off at excessively high prices which only foreigners and "the super rich" can afford.

Fuller detail of the Integrated Coastal Management Bill will be made known on Sunday by Environmental Affairs and Tourism Minister Marthinus van Schalkwyk.

Government spokesperson, Themba Maseko, said on Thursday that cabinet was extremely concerned about "the mushrooming of estates in many parts of the country particularly in the Cape".

Foreign interest in SA residential property drops
Business Day - South Africa
Anecdotal evidence suggests that the percentage of foreigners buying residential property in SA has dropped significantly over the past year.

One possible explanation is that there are just more local buyers, while another suggests that tighter US and UK economies may have dampened interest in emerging markets.

According to the latest First National Bank (FNB) Residential Property Barometer, foreigners made up 4% of property buyers in SA in the fourth quarter of this year, a significant reduction from the 7% recorded a year previously.

The FNB Residential Property Barometer measures the sentiment of 150 real estate professionals every quarter.
Business Day

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