select
|

South Africa’s Real Estate Market performs favorably compared to International Markets

World Cup’s Impact on SA Property will be seen 2 years down the Line
 
(November, Nov 30, 2009) – RE/MAX International’s Vice President  for Franchise Sales Peter Gilmour said the South African property market is performing exceptionally well compared to other global markets, and that the World Cup will impact on the real-estate market over a long term, attracting foreign investment in real estate.
“South Africa is one of the better performing global real-estate markets. When comparing sales activities and signs of market recovery with the other 72 countries RE/MAX International operates in, South Africa is one of the forerunners. Over the last two months, we have seen a gradual improvement in the number of national property sales transactions in the country.  This is a result of the change in the credit lending criteria from the banks, and the interest rate reductions by the MPC.


“We are anticipating a gradual strengthening of the South African property market over the next  three quarters along with improvement and growth in property values.  We expect a full recovery of the market will not happen for a couple of years..
 
Commenting on the 2010 FIFA Soccer World Cup’s impact on the real estate market, Gilmour said he is reserved about a major once-off boom. 
 
“I anticipate that the World Cup’s impact on foreign real-estate investment in South Africa will yield results over the long-term, more specifically over a 2 – 3 year period after the event. Foreigners visiting South Africa during the 2010 World Cup will be in a ‘vacation’ and not ‘property buying’-mode but will be impressed by the real estate opportunities they see.
 
“Europe is depressed and investment opportunities are few and far between.   However, investors with capital reserves visiting South Africa will have a renewed interest in the country based on its property investment returns economic stability and the opportunity to spend the European winter here.  US investors are at this stage weary of overseas property investment and are unlikely to be a factor in real estate investment
 
South Africa enjoyed a robust 10% year-on-year appreciation in the value of properties before the recession – in the US before annual growth on properties’ value was  3 – 5%.  “The country remains one that is high on the list for European investors who will be watching South Africa’s recovery with interest.



  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 22 Jun 2018
      The rental market in many Johannesburg suburbs has shown encouraging signs of revival this year but it remains a competitive market and landlords who best cater to their market’s needs will reap the healthiest returns.
    • 22 Jun 2018
      Home design is constantly evolving to reflect the changing needs of society. We look at some of the ways in which our use of space is changing.
    • 22 Jun 2018
      While estate agents can help the seller with correctly pricing the property and marketing a property to the right pool of potential buyers, at the end of the day it’s the impression that the property will make on buyers that counts the most.
    • 21 Jun 2018
      Anyone who’s ever been involved in a building project that’s gone wrong will appreciate the importance of adequate insurance cover in the construction industry.
    • 21 Jun 2018
      A recent news story about a blind tenant caught in a legal battle with his body corporate over letters and notices he was unable to read and consequently comply with has raised the question: what are the legal obligations for landlords with disabled tenants?
    • 21 Jun 2018
      A trend that’s taken the world by storm in recent years is that of hygge (pronounced: hue-guh), a Danish concept that is about creating intimacy, connecting with loved ones and taking pleasure in small, ordinary things.
    • 20 Jun 2018
      Buying or selling real estate isn’t as easy as it is portrayed sometimes, especially if there is a death of a party during the transaction which can make it awkward, tricky and inconvenient.
    • 20 Jun 2018
      With interest rates remaining at historic lows and banks continuing to compete for mortgage finance business, first-time buyers with funds at their disposal are currently well-placed to gain that initial foothold on the property ladder, particularly in the light of the slightly lower growth rates currently experienced in residential property values.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK