select
|

Great opportunities for first-time buyers in new developments

If there’s a sure sign that the property market has turned the corner and is on its way up again, it’s the fact that there are now billions of rands worth of new housing developments under way all over the country.
 
So says Berry Everitt, MD of the Chas Everitt International property group, who notes that developers – and especially residential developers – are tremendously cautious and conservative, and won’t buy land, plan new projects or start building anything unless they are really sure of a good response and rapid sales.


2 Bedroom Apartment for sale in Ballito
 
“However, as Absa reports in its latest housing review, the levels of residentialbuilding activity are rising significantly. In the first five months of this year, the volume of building plans passed for new housing increased by 11,3% year-on-year to 21 583 units, while actual housing starts increased 8,6% year-on-year to 17 878 new units.
 
“And this is very much in line with an improvement in building confidence over the past few months, as reflected in the performance of the FNB/ BER buildingconfidence index. This rose four points to 41 in the second quarter of this year – it’s highest level since 2008, and the first time since 2005 that the index has risen for three consecutive quarters.”


1 Bedroom Apartment for sale in Cape Town
 
Writing in the Property Signposts newsletter, Everitt says this also accords with his group’s experience on the ground “as most of our offices across South Africa are now reporting new residential development in their areas, as well as the revival of many projects that were mothballed when the recession hit in 2009”.
 
But the best news, he says, is that most of these developments will deliver homes at prices that are affordable for young buyers and others who have not been able to become homeowners before.


3 Bedroom Cluster for sale in Maroeladal
 
“Enabling more people to enter the market now is what will give it real impetus in the future and the homes in these developments, being new, will be even more accessible to first-time buyers because they don’t attract transfer duty.
 
“In addition, developers are quite often prepared to pay the bond registration and legal fees for buyers in their projects, and the banks are quite often prepared to give buyers 100% bonds for homes in developments that they have approved.In short, this is really not an opportunity for prospective homebuyers to miss, especially while interest rates remain at their current 40-year lows.”


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 16 Jan 2018
      The start of the new year is symbolic of new beginnings. A good time to take stock of one’s possessions as well as how necessary they actually are. However, seeing as the process may appear daunting – a plan goes a long way.
    • 16 Jan 2018
      The Western Cape is still in the throes of a severe drought and many households have to adjust the way they use and save water. It is a little more complicated in sectional title schemes, however, as it is not that easy to implement grey water systems for multiple users and it is also difficult to monitor water usage accurately if there are no separate water meters
    • 15 Jan 2018
      In ideal rental situations, when a lease is signed the tenant will stay for the full duration of his lease without any complications and the landlord will uphold his obligations, creating a win-win situation for tenant and landlord.
    • 15 Jan 2018
      The Atlantic Seaboard’s housing market has stoically withstood the brunt of the growing economic and political instability, consistently achieving double digit growth way above the national average, however, in 2017 South Africa’s most resilient market finally began to yield to the pressure.
    • 15 Jan 2018
      Sectional title insurance can be a little confusing and, as a new owner, you may be tempted to just assume your body corporate has you covered. While this may be the case, understanding the extent of your coverage and your personal liability is the only guaranteed way to protect yourself against potentially costly oversights.
    • 12 Jan 2018
      After an exceptionally good 2016 during which the Winelands residential market outperformed the national average by a considerable margin, 2017 was marked by a difficult winter which saw a notable slump in sales and demand.
    • 12 Jan 2018
      Small spaces can make a big impact. Irrespective of size, an aesthetically pleasing outdoor space can be a major selling point for prospective buyers. “Even if the outdoor area is small and only enough to sit and have a cup of coffee, it might just be the feature that makes the stand out from others in the neighbourhood,” says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
    • 12 Jan 2018
      The boom of the digital age has opened up many doors to the way we buy and sell property. In the past we used to pop out and pick up the latest copy of the property magazines available, today we switch on the PC or grab our smart phones as online property portals & Facebook has become the new ‘go-to’ for anything, including shopping for your new home from the comfort of your couch.
        
    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