Weekly Newsletter
Friday, 09 January, 2009
Property Search | Estate Agents | List your property

Edition 1 of 2009, Friday, 9 January 2009

Dear Reader

2009 is no longer on our doorstep, it’s here! What will it bring? Looking at the news all the signs are, unfortunately troubling and consumers are warned that it is not going to be an easy year.

Mikhail Prokhorov, President, Onexim Group

Known as: Russian oligarch who is the world's 24th-richest person, according to 'Forbes' magazine

The world was too optimistic. Like every system and every model, the present one has come to an end. It was inevitable that the problems with real estate in the US would touch the banking system.

Richard Bowker CBE, Chief executive, National Express Group

Known as: Tony Blair's favourite mandarin, when chief executive of the Strategic Rail Authority

The successful firms in 2009 are going to be those that adapt best to the changing behaviour of their customers

Geoff White, Chief executive, Lonrho

Known as: a former aide to Sheikh Khalifa al-Thani, the Emir of Qatar

As a market, sub-Saharan Africa (excluding South Africa) is feeling the impact of the global financial crisis. But the good news is that due to its position as an emerging market, in a developing continent starting from an incredibly low socio-economic base, Africa has to a great extent avoided direct damage from the global credit crunch.

Tony Pidgley, Chief executive, Berkeley Group

Known as: the former Barnardo's boy who mangles his language but always calls the housing market right

The current level of interest rates does make housing attractive, but unless that feel good factor returns, prices could still soften further.

SA’s economy faces a rough ride this year, with job losses set to keep consumer spending in check and a slowdown in private investment likely to gather momentum. Falling interest rates, petrol prices and inflation will help ease the pain for consumers and companies, but will not make SA immune to the deepening global recession, they say. Economy faces tough times

Consumers are set for a year of falling prices, with interest rates expected to tick down slowly thanks to food and fuel inflation easing. Unfortunately for home owners, this trend of prices dropping is set to spread to the South African residential real estate market too. 2009: The year of falling prices - including property

Jacques du Toit, senior property analyst at Absa, says the market will hit bottom only around the middle of this year and gradually recover in the second half, on the back of lower inflation and interest rates, before showing a noticeable improvement next year. Du Toit has forecast that house prices, after adjustment for inflation, will drop by 4.5 percent this year, after a fall of about seven percent in real terms last year. John Loos, a First National Bank Home Loans property strategist, forecasts house price deflation of between three percent and five percent this year. Property prospects look bleak

It might seems like a tough year is laying ahead of us but good stuff happens all the time and will also happen in 2009. Yes, it might be the year of the unexpected but there is hope.

Best wishes for a 2009!

The editor


>> Real Estate news - Darkness at dawn: will light pierce the gloom in 2009?

Can British business pull out of the credit-crunched rubble disfiguring the start of the year? Are there any regions worth investing in during the recession? How many more companies will collapse? Mark Leftly, Simon Evans and Margareta Pagano put these questions to 10 leading corporate figures...

>> Economy faces tough times

SA’s economy faces a rough ride this year, with job losses set to keep consumer spending in check and a slowdown in private investment likely to gather momentum.

Several top analysts are predicting growth will slow to less than 1% this year — its lowest since 1998 — with a technical recession in the first half of the year looking highly likely...

>> 2009: The year of falling prices - including property

Interest rates, food & petrol prices set to fall, but so is the value of your home, warns senior analyst. New stats.

Consumers are set for a year of falling prices, with interest rates expected to tick down slowly thanks to food and fuel inflation easing. Unfortunately for home owners, this trend of prices dropping is set to spread to the South African residential real estate market too...

>> Naughty property publicists get desperate

Sales have been fantastic, scream the headlines. From Dubai to Cape Town, the facts are finally getting in the way of a good real estate story.

Whether they're punting property in Dubai or Cape Town, property publicists are pumping out positive real estate news. Now why don't we believe them?

The only way is up. Desperate times are calling for desperate measures. As the Dubai real estate market heads into a dark tunnel, the folks over at The First Group are still pumping out mountains of happy property news about the region...

>> Property prospects look bleak

The residential property market faces bleak prospects this year as distressed sales and sales in execution encounter reduced demand and the fall in house prices is likely to continue.

But the construction industry is defying economic difficulties, with some firms reporting order books at record levels...

>> FNB bonds 'reassessed'

'FNB bonds 'reassessed'' first appeared on iafrica.com on 11 August 2008. It is the most read 'Property/News' article of the past year.

First National Bank was not withdrawing already approved bonds, but rather 'reassessing' bonds where homes had not yet been transferred, FNB home loans chief executive Jan Kleynhans said on Monday...

>> Buying on auction
Rodney Hayter

Rodney’s Property Tip of the Day 98

With the current wave of distressed property auctions, you may find yourself looking for a bargain at an auction. Follow these guidelines:

* Firstly, have a clear idea of your limit before you start bidding, and stick to it!

* Then pay close attention to the terms and conditions of the auction - you will be bound by them if you are the highest bidder, and it is essential that you understand exactly what your rights and obligations are. For example, you must have your finances in order before the auction - if you need a bond, have it pre-approved. If you don't, and if the bank then declines your bond application, you stand to lose your deposit, and risk claims for damages and commission.

* If the sale is subject to a "confirmation period" by the Seller (usually 7 days), and if you hear nothing from the auctioneers within that period, don't just assume that your offer was rejected and rush off to buy another house. Auction conditions often override the normal rule that an offer to purchase only becomes a binding sale when acceptance is communicated to the offeror. Thus the Supreme Court of Appeal recently upheld an auction sale where the Seller signed the agreement within the confirmation period, but the Buyer only heard of the acceptance weeks later.

Don't take a chance - seek advice if there is anything you don't fully understand!

Article by: www.rodneyhayter.com

>> SA's hottest suburbs

'SA's hottest suburbs' first appeared on iafrica.com on 20 March 2008. It is the third most read 'Property/Hot property' article of the past year.

Leading local marketing insights company Knowledge Factory has released the annual South African Property Transfer Guide (SAPTG) 'Top Ten'. Part of the comprehensive information available to subscribers through the SAPTG portal, the figures specify the top ten suburbs in South Africa in 2007 by highest volume of sales, highest value and highest average value...

>> SA's priciest properties

'SA's priciest properties' first appeared on iafrica.com on 2 July 2008. It is the most read 'Property/Hot property' article of the past year.

Sought-after by those at the very pinnacle of the social hierarchy, South Africa's most expensive properties are everything you'd expect — extremely luxurious and very private. Personal lifts, scurrying housekeepers, a butler or three, spas and fully equipped home gyms are just some of the humble pleasures that the distinguished owners of these homes have come to expect.

>> Make a painless move

Moving day can be very trying for the whole family, but good planning can prevent a lot of unnecessary stress.

First of all, proper packing is crucial, whether you attempt it yourself or hire a professional team.

“And if you do hire packers, you should ask them to tackle the job a day or two before the move and make sure that you are present during the process,” says Berry Everitt, MD of the Chas Everitt International property group...

>> Severe housing shortage in Pretoria CBD

Growing demand among public servants for housing in central Pretoria has led to severe shortages.

Current estimates put the shortage in the region of 330 000 units, says Chris Swanepoel of the RealNet Sunnyside office. “Suburbs such as Sunnyside, Arcadia, Hatfield and the city centre itself are popular among public servants and other young professionals who are looking for housing close to the central business district...

>> News from – Nationlink / Sure you want a pool?

Are you sure you want a pool?

If you’re in the market to buy a home right now, you should think twice before you buy one with a pool or start making plans to put in a pool as soon as you move.

“Pool upkeep is time consuming and expensive,” says Dr Piet Botha, chairman of the Nationlink estate agency group, “so it is really only worth having one if you are going to use it often, especially in these times when everyone is trying to trim their budgets...

>> To the editor

To the editor:

In response to our of our articles end 2008 and what also appears on our blog;

From: Colin Brazendale

Great News!

But I think Rawson is very conservative. Look at what is happening all over the world. Interest rates of 0% in USA and Japan. UK to follow soon. Even Namibia is at 10% and they are pegged to SA!

They are saying inflation will be in the 3-6% target range by July 2009. So I see below 10% interest rates be end 2009. Maybe 7%.

From the editor:

Send your response to news@cyberprop.com

>> In the area...

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

  • North Coast
  • Westville
  • Onrus
  • Sedgefield
>> In the area 1 – North Coast

North Coast property prospects looking up

Things are looking up for the KZN North Coast property market.

That’s the word from Ida du Plooy, principal of leading local agency Homenet Ballito, who says that the area’s property market is on its way to recovery and that a number of factors are coming into play that bode well for the future of the North Coast...

>> In the area 2 - Westville

Property market survey in KZN dishes up some surprises

Surprisingly, given current tough conditions in the KZN property market, sellers still persist in ignoring the advice of property professionals and insist on over-pricing their homes.

Russell Hayes of ERA Unique Westville says while this “maybe it will sell” mentality may not preclude a sale, it typically delays the process until the price is adjusted to more realistic levels and almost inevitably results in a lower price than the estate agent recommended at the outset...

>> In the area 3 – Onrus

Returning Perth packers pick Onrus

Professionals who packed their bags for Perth years ago are re-investing in South African property – notably in Onrus in the Western Cape.

Deon Esterhuyse of the local Aida office reports that expats living in Australia started making an appearance in the market three months ago. “They are mostly buying holiday homes that serve a dual purpose. Many are settling retired parents here and plan to join them for annual holidays,” he says...

>> In the area 4 - Sedgefield

Sedgefield shines amid the gloom

Sedgefield on the Garden Route is seemingly impervious to the property market downturn.

Mario Ferreira, principal of the local Chas Everitt International franchise says that properties in every category are moving well. He adds that while prices have remained essentially stable there has even been some price growth over the past six months...

>> Focus on Sedgefield, Western Cape, South Africa

Located between Knysna and George with the beaches on one side and the pine tree forest on the other side lies the town of Sedgefield. The village provides the perfect atmosphere in which to relax, have a sundowner on the shores of the lake, or to take a stroll along the beach at sunset...

>> View Properties in Sedgefield
>> View Properties in the Garden Route

>> Property of the week

Garden Route, Sedgefield, Cola Beach

Bedrooms: 4
Bathrooms: 4
Garages: 2

No expense was spared in the planning and construction of this magnificent wooden home. Offering the best of both worlds...

Search for property in your area

Enter City/Suburb:
>> Time for agents to think globally

Everyone knows that there are hundreds of thousands of South Africans living in Perth and London, but not many are aware that there are also 30 000 living in Florida in the US, and thousands in the states of Georgia and Michigan.

This emerged at the recent National Association of Realtors (NAR) conference held in Orlando, Florida and attended by several SA representatives, including Dr Willie Marais, national president of the Institute of Estate Agents (IEASA), who says: “Since 1994 the world has been open to South Africans and while many have chosen to emigrate permanently, many are also just working overseas to broaden their experience and before returning to SA...

>> Offering from Webmail

>> Software at its best!

Cell Phone enquiries from the public

Buyers driving past your advertising boards will be able to see an unique Internet Number allocated to the specific property. They will then SMS that number to 35476 and will receive an SMS back with all the details of the property. At the same time the agent / agency will also be informed of a potential buyer. How's that for technology working for you! The cost - mahala! Free to all CyberAgent subscribers.

Here's a diagram on the way this process will work...

  1. Agent captures the details of the property and pictures into CyberAgent
  2. Agent updates the property to the Internet
  3. The Internet server sends back a unique number for that property
  4. Agent puts up his "For Sale" board together with our SMS board
  5. Potential buyer sees the "SMS" board and SMS's the unique number to the Internet server
  6. The Internet server sends back an SMS with all the property details and a link to the website where he/she can view pictures on the propert

If you would like to know more about the above features and benefits that CyberAgent offer, visit: www.cyberagent.co.za or email: sales@cyberprop.com

For Sale Property:
Eastern Cape Freestate Gauteng Kwazulu Natal Mpumalanga North West Northern Cape Limpopo
Western Cape

To Rent Property:
Eastern Cape
Gauteng Kwazulu Natal North West Western Cape