Weekly Property News
07 September 2012
FROM THE EDITOR

Dear Reader

According to Dieter Deppisch from Knowledge Factory August was a month of extremes; The celebration that was the closing ceremony of the Olympics and the tragedy that was Marikana. Two Armstrongs in the headlines: Astronaut Neil Armstrong who may get a state funeral and Lance Armstrong who was stripped from hero to zero in one short announcement.

Economically, similar extremes were felt: The Rand weakened by 12% while platinum prices spiked by 11,4%. GDP growth numbers for 2Q2012 left champagne bottles firmly corked while further afield the Eurozone continued to play ping-pong with Greece.

The FNB house price index showed a further slowing in its year on year growth rate‚ to 6.6% in August from 7.8% in July‚ showing the average price of homes transacted was R865‚900. They also anticipate further slowing in the y/y rate of increase in house prices‚ with the FNB house price index expected to end the year on lower year-on-year growth of between 3% and 5%‚

Headlines: The commercial property market in South Africa has experienced a boom period in recent years, judging by the performance of the country's two largest cities - Johannesburg and Cape Town. The South African commercial property website reports that over a ten year period, these two cities recorded the strongest growth in property values around the world, of 7.5% and 9.5% respectively.

Market News: To invest in property has never been more appropriate than it is at the present, according to Paul Henry from Rawson Developer, several interlinked factors make property investment right now totally logical and suitable to the man-in-the-street, especially if he has limited means and is not in a position to take big risks.

Enjoy!
The editor

In This Issue


Upington, Northern Cape
, South Africa
House:
12 x Bedrooms, 12 x Bathrooms & 1 x Garages

CyberProp Property Count: 7/09/2012

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Properties for Sale: 128,732
Properties to Rent: 9,977

News

Lastest Property Clock

SEPTEMBER 2012: Knowledge Factory has kept its Property Clock unchanged this month at 21 minutes to the hour. The Clock measures high-level national trends in the residential real-estate market. It retreated by five minutes in 2011 and moved forward by one minute in March 2012.


House price growth slows to 6.6%

Johannesburg‚ Sep 3 (I-Net Bridge) - The FNB house price index showed a further slowing in its year on year (y/y) growth rate‚ to 6.6% in August from 7.8% in July‚ the bank said on Monday.


E-tolls will become “key factors” in property decisions

The implementation of e-tolling on Gauteng’s major highways could impact on where potential homeowners buy property, a survey has found.


A line-up of positive factors make now a good time to invest in property

Repeated advice from investment consultants to the effect that portfolios should always be 'balanced', by having a significant proportion of the assets in real estate, are only too easily shot down by those favouring other, possibly more volatile, asset classes, especially at a time when, as now, stock exchanges are hitting record highs.


SA commercial property market offers substantial opportunities

The commercial property market in South Africa has experienced a boom period in recent years, judging by the performance of the country's two largest cities - Johannesburg and Cape Town.


Banks tighten their purse strings again

A sharp drop in the number of 100% home loans granted in August compared with June and July indicates that the banks, concerned about the still-high levels of household debt, are once more tightening up on credit qualification requirements for prospective home buyers...


Dealing with foreign property buyers - and sellers - calls for in-depth knowledge

The 50 delegates attending the recent Rawson Property Group Western Cape Franchisees Conference were dismayed to learn from one of the independent speakers, Jo Williams, that estate agents dealing with non-resident buyers are frequently at a loss when advising buyers on how to go about achieving deals that comply with South African Reserve Bank regulations.


Buy a home and start getting rich

If you want to start getting wealthy, do whatever it takes now to get a bond and buy a home. If you want to stay poor, get a personal loan and spend it on all the things that make you feel rich now...


Beware of buying too much home

Given the strict provisions of the National Credit Act, it is virtually impossible these days for prospective homeowners to buy at the outside margin of their affordability....


Investing in student homes

Yes, it is that time of the year where parents should start to think about where their children will live when they finally set off to university, and the ideal time for investors to benefit from student housing...


Cape Town residential prices compare very favourably with those of almost all global cities favoured by tourists

Many of the Rawson Property Group's Cape Town estate agents have repeatedly stated that Cape Town property prices at present still offer exceptionally good value and this appears to have been given credence by a report by the respected Global Property Guide, which compares the price per square metre - and other comparative figures - of homes in the world's 60 most expensive cities....


Africa's most expensive home

Known as Enigma Mansion; it's the most expensive, luxurious residential property ever to come on the market in Africa.

This 7130m2 palatial residence is situated in the most prestigious and prime residential area of Cape Town, between Clifton and Camps Bay, and comes with a price tag of R300-million.


No signs of fast turnaround in fortunes for stakenholders in the building construction industry

Building costs and prices as per tenders for buildings to commence in January 2013 have now plummeted another 15% below what quantity surveyors estimated they would be, indicating that there are no real signs of a fast turnaround in fortunes for the stakeholders in the building-construction industry, said Org Geldenhuys, managing director of property development and marketing company, Abacus DIVISIONS...


Good schools raise the price of homes in their areas

Figures from the respected property analyst, Lightstone, have shown that suburbs in all the major cities in South Africa which have established good schools (both state funded and private), producing satisfactory academic results, are rated very highly by potential homebuyers, says Tony Clarke, Managing Director of the Rawson Property Group.


The Consumer Protection Act will place greater responsibility on estate agents

The 50 delegates who attended a recent Rawson Properties Western Cape Franchisee Conference were told by Elana Hopkins, an attorney with the Cape legal firm Dykes, van Heerden, Slabbert and Hopkins, that many members of the legal fraternity believe that the new Consumer Protection Act, which now governs the relationship between the buyer and the seller (if the seller is a "supplier" of properties) and the relationship between the estate agent, the buyer and seller in any residential property transaction, does expose the agent to a greater risk than ever before...


Many benefits attached to sole mandates

The award of sole mandates to an estate agent can lead to accusations of unwarranted favouritism and/or 'rigging' of clients' opinions. But these are seldom justified, says Lizette Joubert, franchise principal for Rawson Properties' Paarl franchise (and a former winner of the Rawson Property Group's Chairman's trophy)...


Going the auction route can have many advantages - but do not expect a "miracle" price

Members of the residential real estate marketing industry have pointed out regularly in the property media that one of their most difficult challenges is persuading sellers to accept market-related prices - but it may surprise people to know that this difficulty has also been experienced by auctioneers...


Rawson Auctions Western Cape principal welcomes higher compulsory educational qualifications for auctioneers

Tanya Jovanovski, who for two years now has been the franchisee principal for Rawson Auctions in the Western Cape, has commented that the new rulings requiring auctioneers to have recognized N2F4 and N2F5 qualifications (the latter in the case of principals) are to be welcomed because, she says, they will introduce a measure of regulation and stability to the auction industry. (Jovanovski herself has already achieved both qualifications.)


If a lease has expired with no renewal in place

If a lease has expired with no renewal in place, what is the legal position of the Landlord?

It often happens that private landlords and their tenants forget the date that their lease agreement is due to expire and months can go by where there is no signed agreement in place, said Lanice Steward, managing director of Anne Porter Knight Frank...


Overberg village draws price-conscious retirees

A new retirement and care centre in Greyton, the Overberg town known for its artists and art shops, is drawing discerning buyers thanks to very competitive prices and a full range of services...

Focus On

Upington, Northern Cape, South Africa

Upington is the chief city in the Northern Region of South Africa. This dry and hot area is characterised by desolate deserts and harsh landscapes.

However, do not let that deter you. Upington boasts a marvellous oasis: the fertile and lush Orange River valley which runs through it. This shimmering valley provides a green ribbon through the harsh landscapes bringing life-giving water from the distant highlands of Lesotho.

>> Properties in Stellenbosch
>> Properties in Western Cape


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Enter City/Suburb:

In the Area

The areas we are going to take a closer look at this week are;

  • Harfield
  • Cape Town
  • Cullinan
  • Atlantic Seaboard

In the area 1 - Harfield

Stock now available and very affordable in Harfield Village

After an absolute dearth of stock in the greater Harfield area for a long time, Anne Porter Knight Frank agents Jenny Zinn and Brandon Challis, the agents for this area, report that they have signed five sole mandates in five weeks...


In the area 2 - CT attracts most repeat buys

The Western Cape continues to outperform the other eight provinces in SA in terms of its ability to attract repeat home buyers from other provinces‚ according to the latest FNB Home Loans Property Barometer findings‚ announced on Wednesday...


In the area 3 - Cullinan holdings offer good value

Lifestyle and agricultural holdings around Cullinan and Rayton are attracting buyers thanks to competitive prices. Joop Coetzee, owner of the RealNet Plotte & Plase Noord franchise, says holdings of about 8,5ha with a home sell at prices from R1,7m, while larger holdings of 40ha with a home sell at prices from as little as R2,6m...


In the area 4 - SA buyers brave the winter to snap up Atlantic Seaboard trophies

Freezing weather has not been the usual off-season deterrent to property sales in Cape Town this winter, as evidenced by a flurry of sales just concluded in Camps Bay by Sotheby's International Realty...



To the editor

Share your comments with us by sending it to news@cyberprop.com


Local news continue

Huge prices and modern home designs characterize Glenvista

Being decidedly upmarket, Glenvista and Bassonia have proved to be anything but typical Johannesburg Douthern Suburbs

For the last five years, Rawson Properties' Glenvista franchise, sited 12 km south of the CBD, has been the top performing franchise in the Rawson Property Group (which today has some 180 franchises countrywide)...


Enigma mansion in Camps Bay

Luxurious "ENIGMA" mansion in the Glen, Camps Bay on the market

Sited on a piece of land just over 7 000m² in size in The Glen in Camps Bay, one of Cape Town's most prestigious residential areas, is the 1 586m² "Enigma" mansion, with unashamedly luxurious finishes and fittings, which is now on the market through Anne Porter Knight Frank at a price of R300 million...


Making fines stick

The executives in many sectional title schemes and home owners' associations (HOAs) use fines as a way of discouraging rule breaking by members or residents...


Adding value - on an ongoing basis - should be part of every landlord's strategy

The Rawson Property Group's commercial franchise division has embarked on a campaign to get all the landlords for whom it is mandated to sell or let property to become more conscious of the need to add value to their buildings - whether or not they are under pressure to do so right now.


Cape Town residential prices compare very favourably with those of almost all global cities favoured by tourists

Many of the Rawson Property Group's Cape Town estate agents have repeatedly stated that Cape Town property prices at present still offer exceptionally good value and this appears to have been given credence by a report by the respected Global Property Guide, which compares the price per square metre - and other comparative figures - of homes in the world's 60 most expensive cities....


View obstruction: another case comes to the high court

Following up on his recent critical comment on a High Court case in which a client's sea view was obscured by a follow-up project by the same developer who had sold him his unit, Tony Clarke, Managing Director of the Rawson Property Group, has drawn attention to yet another, more recent, case in which a sea view has again been affected, this time by a home owner building a full 9,5 m above the local height restrictions...


Why follow the career path of an estate agent after school?

Real estate plays a major role in our lives as it is not only an investment and an asset, it is also essential to have a place to live in. It's very seldom that matriculants choose to become an estate agent or sales advisor.


Collaborative Consumption - one of the top ten ideas that will change the world

Sharing is caring. Although a phrase much favoured by Barney the dinosaur, it is now one that is taking the world by storm through a new movement called Collaborative Consumption...


Rising Green Star - New Green Leadership Awards announced

Are you a pioneer in the field of green building? A Rising Green Star? To celebrate the 5th birthday of the Green Building Council of South Africa (GBCSA), and in recognition of the significant transformation that has taken place in South Africa, the GBCSA has announced the launch of the 'Green Star Leadership Awards' which will acknowledge green building champions who have demonstrated their unwavering commitment to the green building movement...

 
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"This is not advice. Clients should not act solely on the basis of the material contained in this newsletter. Items herein are general comments only and do not convey advice per se. Also changes in legislation may occur quickly. We therefore recommend that formal advice be sought before acting in any of these areas."