Property News |
26 August 2011
Market players are debating over the possibility of a rate cut reduction in the near future while property owners stay optimistic that the property market will continue with its recovery and are holding thumbs that a rate cut will happen soon.
On the other hand not all is going well with housing prices. Property analysts expect the negative trend in housing prices to continue for another year and even longer. Erwin Rode property economist, Rode & Associates, expects a maximum of 2% per year growth over the next five years.
Do you think that house prices are only returning to more realistic price levels after the quick rise until 2008? Send your viewpoints to firstname.lastname@example.org
Headlines: As power and water costs rise billing inaccuracy is becoming critical for big listed property investment companies like Growthpoint, now theyre installing their own water and power meters to ensure correct invoicing by municipalities. Speaking on Summit TV Growthpoint CEO Norbert Sasse says this is putting additional pressure on investors. "We are having to install water and electricity meters to ensure we get accurate billing from councils its not been up to scratch and thats been a bit of a double whammy." Municipal billing hits property stocks
Market news: If housing activity is a barometer of a countrys economic health then SAs growth outlook appears decidedly grim. According to property portal Lightstone, the number of houses sold across SA plunged to a lowly 7000/month in the second quarter of 2011.Thats down a staggering 82,5% from the boom days when around 40000 residential properties were, typically, sold on a monthly basis, says Lightstone director Andrew Watt. Over the past 12 months alone, housing sales have halved and are now at their lowest level in more than a decade. So talk of banks relaxing their lending criteria has seemingly done nothing to support the ailing housing market. Soft demand for houses will no doubt negatively affect the outlook for house price growth. Property economist Erwin Rode expects house price growth of only 2%/year at most for the next five years. Residential Property - A grim picture
Property Count: 26/08/2011|
|Municipal billing hits property stocks|
Investment company Growthpoint posts a 8,1% rise in profit to 131c but theyre also taking unusual steps to ensure correct billing by municipalities...
|Rate cut expectations grow|
South African prices rose at their fastest pace in 17 months in July, driven by higher food costs, but markets mindful of a worsening global economic outlook continued to factor in more monetary stimulus via a possible interest rate cut...
|Residential Property - A grim picture|
If housing activity is a barometer of a countrys economic health then SAs growth outlook appears decidedly grim. According to property portal Lightstone, the number of houses sold across SA plunged to a lowly 7000/month in the second quarter of 2011...
|Residential property prices to deteriorate|
Should you rent or buy?
Housing prices have been coming down in real terms for much of 2011 and this negative growth trend is something that property analysts expect to continue for at least the rest of the year, probably longer...
|First-time buying booming|
Those looking for positive data about the South African residential property market, says Rawson Properties Director Sean McCauley, should take note of what the latest FNB Property Barometer says about the rise in the number of first time homebuyers...
|Opportunities abound even in lean times|
If there is one point that the latest highly respected Knight Frank/Citibank Wealth Report has confirmed it is that Ultra High Net Worth Individuals favour only two main channels for their money their own businesses and property...
|Property market on a slow ride back to recovery|
The commercial property sector, which has also been hit by the recession, is continuing to show signs of improvement as an increasing number of companies are starting to look for good commercial space. But the ever-present debt problems facing Europe and the USA could put a damper on any sustained recovery...
|Low-end drives recovery|
The value of recorded building plans passed by larger municipalities increased by almost five percent during January to June 2011 compared with the same period last year, Statistics SA said on Thursday...
|Big-ticket buyers spring into action|
With the scent of spring in the air, big-ticket homebuyers are back in the market with a bang to take advantage of some of the best investment and upgrading opportunities on offer in this sector for many years...
|Increased demand for rental properties|
The recent announcement by Tony Clarke, MD of Rawson Properties, that his group will be setting up a new franchise division for rental management - and that these franchises will operate semi-independently both in new territories and alongside Rawson franchise teams (where they do not already have a rental division) - is at least partially the result of a massive upswing in the demand for rented properties, says Gary Claven, the new regional manager of the Rawson rental franchise division...
|Do a financial health check|
According to the Consumer Credit Report issued by the National Credit Regulator for the first quarter ending March 2011, the total outstanding gross debtors book of consumer credit for the quarter stood at R1,21 trillion representing a quarter-on-quarter growth of 1,86%...
|Some more potholes to fill|
While the road agencies at last appear to be taking the pothole issue seriously, there are some pitfalls on the road to home ownership that first-time buyers have to fix themselves...
|Valuing of property|
The property media have done an excellent job in educating and informing the general public on property matters and their increased knowledge has become apparent in the questions they put to agents and the requests they regularly make for carefully researched information to back up the agents statements...
|Invest wisely and spread the risk|
There are very lucrative opportunities for investors in the Cape Flats, south eastern suburbs and surrounding areas, especially for those who intend to hold these properties as rental investments, says Mark Brickles, Broker/Owner of RE/MAX Ultra Select, which operates in those regions as well as Grassy Park, Strandfontein, Mitchells Plain, Lotus River, Ottery and Lansdowne...
|Don't show what you don't want to sell|
Theres nothing more disappointing than walking into your new home only to find that many of the items you thought were included in the sale like carpets and light fittings, the gas braai and the satellite dish have been removed...
|The importance school play in buying decision|
When considering buying a property one of the most important aspects to think about is location. But what are the elements of a good location and how does it influence a buyers decision?
For Properties |
Search for property in your area
the Area |
The areas we are going to take a closer look at
this week are;
- The Lowveld
the area 1 - The Lowveld|
Food shortages are becoming a worldwide concern, with current prices at the highest level in three years and the situation is no different in South Africa...
the area 2 - Centurion|
Demand for property in Centurion is set for a tremendous boost now that the Gautrain is up and running between Pretoria and Rosebank...
|Local news continue|
|Cape Town remains no. 1|
The second quarter FNB Estate Agent Survey for the City of Cape Town brought about little in the way of fireworks, which isnt entirely out of kilter with the rest of the country at present...
|Difficult people in sectional title|
Throughout our lives, we deal with people we do not like. After school and work, you can leave those pesky people behind and not have to deal with them in your down time. Unfortunately, this is not the case in sectional title: these pesky people are often your neighbours or a trustee and you have no option but to deal with them...
|ST trustees duties onerous|
It is regrettable, but true, that the trustees elected to the bodies corporate often do not understand the relationship that they should have with the members they represent and/or the managing agents they appoint...
|Green buildings-the key to climate change mitigation in the lead up to COP17|
With the international community poised to arrive in South Africa for the UNFCCCs 17th Conference of the Parties (COP 17) climate change talks in Durban in December 2011, the Green Building Council of South Africa (GBCSA) is urging South African industry, business and government to work together to achieve the mitigation potential offered by greening our built environment, and thereby set an example for the rest of the world...
|Comprehensive new property transaction kit|
Dianne Brock, the new general manager of the Western Cape Institute of Estate Agents, has recommended warmly a new computerised property transaction kit, the aim of which is to facilitate the sale and transfer of property in compliance with the stringent criteria of the new Consumer Protection Act...
|Attend the official building tour:|
SAs very first 5 star Green Star SA rated building!
In celebration of World Green Building Week (19 23 September) which aims to draw attention to the importance of creating greener, healthier, more sustainable buildings and communities...