The turn of this decade presents some intriguing opportunities over the South African home industry. As it stands, home price growth is slow and financial threats are plenty. However, after reviewing internal revenue statistics for 2019 along with other business reports, Regional Director and CEO of RE/MAX of Southern Africa, Adrian Goslett, considers that the 2020 property market will hold as many chances as it retains challenges.
WW”The weight of those challenges will be shouldered largely by vendors as we continue to experience a buyer’s market where supply outweighs demand. The chance for sellers lies in when they decide to list their dwelling. If, as an instance, they decide to list soon following the announcement that interest rates have dropped to 9.75percent (prime), they could capitalise on the possible uptake in buyers that are incentivised to take on house loans while interest rates are low,” Goslett advocates.
Buyers also might enjoy the chance of securing a fantastic rate on their home loan if they employ now while interest rates are reduced. Alternately, Goslett indicates that buyers take this opportunity to better their credit report using the money they save on interest rates to reduce their debts. Beyond this, buyers are encouraged to capitalise on the fact that house price growth has been slow. Buyers must purchase today before home prices begin to grow at greater unaffordable costs — that I presume will happen when the market corrects itself,” says Goslett.
Just as the current market favours buyers, Goslett indicates that certain realities might also be utilized to the benefit of sellers. WW”For instance, by installing eco friendly alternative energy resources to their own home, sellers can choose to turn the continuing crisis around our national power source into a chance Concerning the challenges that sellers may confront, Goslett warns that bigger homes are taking much longer to sell than previously. Sellers in this price bracket are therefore advised to partner with a skilled real estate professional backed by a brand with a strong local and worldwide presence so the probability of the selling at full value will improve.”
In the same way, buyers will continue to feel the strain of this struggling economy that could hurt their chances of qualifying for a house loan and securing the necessary, I’d recommend that buyers get in contact with a bond origination business, such as BetterBond, to get pre-approval for their home finance and increase their chances of securing.
