Rental market a hive of activity
Business Day - South Africa
Potential buyers 'sit on sidelines' as higher interest rates make property too pricey for many
The South African residential rental market is experiencing intensified activity as prospective first-time buyers and struggling homeowners opt to rent instead of buy. The residential property market has taken a battering since the beginning of the year thanks to higher interest rates, which have made property too expensive for many.
The National Credit Act, which came into being in June last year, has also made it increasingly difficult to qualify for mortgage bonds.
Andrew Schaefer, MD of residential property manager Trafalgar, says the group's letting consultants have "never been busier across all our branches". He says: "They are now run off their feet trying to secure rental accommodation for prospective tenants."
The next seven Biblical years
Rode.co.za - South Africa
This time last year, things looked rosy for South Africa; the country's top economic experts were forecasting robust growth of around 5% per annum. In their own, December 2007, forecasting publication, property economists Rode & Associates forecast great potential in real office and industrial rents over the next few years, predicting robust demand for office and industrial space that was expected to keep vacancies low and nominal market rentals growing in excess of building-cost inflation. Now things are looking less optimistic: so what's happened?
Swapping a property out of a CC
RealEstateweb - South Africa
Five questions to ask yourself before dissolving CC and buying real estate in your own name.
As a tax consultant I am often asked: "Is it worth dissolving a company (a property that is registered in a company) and buying the property in one's own name?"
Take the following factors into account:
- How long do you intend keeping the property?
- What is the market value of the property?
- What are the annual accounting fees of the entity?
- How much is your personal marginal tax rate?
- Are you using the property as your primary residence?
Real Estate Web