Chas Everitt Internationa focus on - Randburg

Randburg rental market flourishing

The Randburg rental market is performing strongly thanks to rising inflation and the credit crunch.

As Dave Pride, manager of Chas Everitt International franchise in Randburg, notes, the nature of the property market is that when one segment stalls, another inevitably pulls ahead, and this is being shown by the strong rental market currently manifesting around the Randburg CBD.

One and two bedroom rental units in this area, he says, are extremely popular with young professionals looking to be within walking distance of their places of work such as Multichoice, Sasol, various insurance companies and banks.

These units generally rent for between R3000 and R5000 a month. Houses are less in demand but those that are let go for anything between R5000 and R12 000 a month.

As for sales in the area, sectional title units are the best performers at present. Sectional title accommodation in Windsor and Sundowner in particular are doing well with prices starting at R400 000 for a one-bedroom, one-bathroom unit in Windsor and topping out at R1,1m in Sundowner.

Factors influencing the Randburg property market currently include a proliferation of stock, hesitant buyers and the fact that the home loan approvals under the National Credit Act are proving somewhat problematic. This accounts for the booming rental sector, (with monthly rentals being much lower than the home loan instalment on the equivalent home).

Pride believes opportunity is at its greatest right now for investors to get into the market. With property prices adjusted to absorb interest rates, food and fuel prices, there are many bargains to be purchased and rented out and Randburg is the perfect area to invest in, due to its favorable location.

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