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panormaic view of table mountain, atlantic coast and cape town city bowl from lions head cape town relocation and property specialists  storm and rainbow over table mountain and twelve apostles  cape town wine farm  victoria and alfred waterfront cape town period cape dutch properties for purchase and rent in hout bay and constantia cape town
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Property Transfer Tax Increase Announced

Posted on: February 27th, 2015

Property Transfer Tax Increase:

Summary:

As usual there will be some pain and some gain, the average man on the street will benefit but people buying property for more than 2.5 million rand will be hit hard.

  • In a nutshell for sales on or after 1 March 2015, transfer duty will be eliminated for all property acquired up to R750,000 (previous threshold was R600,000)

 

  • Decreased for all properties acquired up to 2.6 million.

 

  • Increase for all properties above R2.6 million.

 

  • For property above R2.6 million the transfer duty will increase from an average of 8% to 11%, a massive increase.

Cape Town Property Favours Foreigners

Posted on: January 23rd, 2015

Cape Town :

Foreigners are continuing to invest in the Cape Town property market on the back of a weaker rand, the city’s popularity as a destination and value-for-money houses in the luxury segment of the market.

All the leading estate agency groups and property experts have all agreed that 2014 was the year of a notable increase in the level of foreign buyers and they expect this to increase year on year.

The majority of the foreign property buyers are mainly from Germany, the UK, Switzerland, UAE , Australia and USA.

Foreign buyers have been responsible for as much as 12% of the total sales in the Atlantic Seaboard.

We believe the increase is due to an improved economic outlook in the UK and Northern European economies resulting in tourism to the city improving, and to more confidence on the part of foreign buyers to once again invest in offshore property. The continued weak rand being a boon for foreign buyers.

However the highest prices for Cape Town property are still being paid by South African buyers.

The most sought after areas of Cape Town to buy property are The Atlantic Seaboard which includes Camps Bay, Bantry Bay, Clifton, Sea Point, Green Point, Hout Bay, Mouille point and The Waterfront. Parts of the Southern Suburbs including Constantia, Bishopscourt, Newlands.

There is still a real shortage of good property on the market, both the sellers and estate agents seem to be driving the prices up to levels not seen since the boom times of 2005-2007.

In one case an estate agent friend of ours said that he no longer values apartments in the traditional way of comparing what’s on the market and getting an average price per square meter, he now simply asks the seller what they want for their property and if its around 10-20% of their valuation it will be listed. It is then sold within a few days.

Cape Town City Bowl Penthouse Apartment Case History

Posted on: November 20th, 2014

Exciting new property that we recently sourced for a Joburg client:

  • Our Client contacted us after 2 years of searching for a Cape Town holiday home, he was frustrated due to the lack of good well priced property on the market, the lack of time he had, the lack of local knowledge and the poor service he was receiving from the local Estate agents.

 

  • Not being local to Cape Town and not having much time he needed someone to assist him, represent his interests, and source a superb property. Having used a buyers agent before in the UK he was familiar with our service and the added value we bring.

 

  • The brief was to find a 2-3 bedroom luxurious penthouse lock up and go apartment in a super deluxe building with great views of Table Mountain and the City. Cape Town City Bowl was his first choice as it offered a great lifestyle.

 

  • Currently its a sellers market which results in a real shortage of property so we had to dig deep into our connections and networks to find a great option, in a building were the apartments very rarely come on the market. The property is on the penthouse floor of a 5 star hotel so it offered the luxury security and location that my client needed. It includes access to a  5 Star health spa, swimming pool, 2 restaurants and 3 bars.

 

  • The apartment is a 2 bedroom Penthouse, 250 square meters with a huge 60 square meter deck, Cape Town City and Table Mountain views. Simply perfect and met the brief 100%, and we saved him 1 million rand so our service paid for itself and considerably more.

 

city_bowl_holiday_apartment_main city_bowl_holiday_apartment_4 city_bowl_holiday_apartment_2

African Buyers Outstrip European Buyers Atlantic Seaboard Cape Town Property.

Posted on: July 18th, 2014

Quite an interesting survey just released by about Cape Town Property, telling us were the property buyers have come from, who bought over the past 18 months in the most prestigious areas of Cape Town.

Every property house sale over the past 18 months in Bakoven, Camps Bay, Bantry, Clifton, Fresnaye, Green Point, Sea Point.

– 155 houses were sold at a cost of R1.715 billion.

– 79% were African buyers.

– Mainland European buyers 12%, France, Switzerland, Belgium and Germany.

– UK buyers 7%.

– Remaining 2% made up of UAE and the Far East.

The big surprise is that the African buyers were made up of 95% South Africans, blows the well used opinion out of the water that Foreigners were buying up all the expensive Atlantic Seaboard real estate and causing a false inflation affect.

Policy makers please take note !!!

Slight Increase In Cape Town Buy To Let Sales

Posted on: May 7th, 2014

First quarter of the 2014 FNB South African Estate Agents Survey points to a slight increase in the Cape Town buy to let buying market expressed as a % of total buying._GAA4741

8% last quarter to 9% this quarter.

Second consecutive increase in a row.

Significant increased demand in coastal areas of Cape Town.

Still remains a far cry from the height of buy to let in 2004 at 25% of all sales.

Reasons for the increase can be put down to the following :

Improvements in rental inflation due to rental stock constraints making buy to let more attractive to investors.

Capital growth in the property market currently 8.6%.

Most South African property investors tend to concentrate on capital growth rather than rental yields so the 8.6% is a big draw to aspirant investor

Rental Agents Cape Town Just Dont Listen ?

Posted on: April 7th, 2014

large family house in constantia cape town south africaThis statement is probably true for most property agents, whether they are rental agents cape town or sales agents cape town, they take the clients brief and then try and fit the square peg into the round hole, lets throw as many properties at the clients and they should take one.

One of my new clients came to me with details of their recent experience, you do have to laugh if it wasnt so absurd.

Client wanted a house for his family, 3 kids with a pretty reasonable budget, areas were specified so from a rental agents perspective it should be easy.

– Client was shown a house with a locked bedroom, he asked why one of the bedrooms was locked and the response was that the owner of the house sometimes comes and stays at the house, but it was okay says the agent because it doesnt happen too often and you will only meet him in the kitchen while he is having breakfast.

– Yes you can have this house but you need to look after the 4 cats, 3 chickens, a hamster and 2 goldfish.

– Ah a great property on 3 floors but the owner lives on the middle floor, the staircase goes through the whole house, so if you want to go from ground floor to 2nd floor then you go up the spiral staircase and dont forget to say hi to the owner when you walk past.

– We dont want any property that has empty plots nearby, he is shown a house with 2 plots either side, the rental agent states that the plots wont be built on, so why is the digger clearing next doors plot then.

The lesson is to use a search company, we will filter out all these weird offers of so called rental options, when the average rental for a nice house in Cape Town is averaging 30,000 rand it becomes even more important that you find the right house.

http://www.spacesa.com/rental-property-in-cape-town.php

Top Ten Things To Consider Before Selling Your Cape Town House

Posted on: March 20th, 2014

Things to consider before selling your Cape Town house.

1. The smell of fresh coffee
There was a time when any self-respecting vendor was keen to make his home smell like a Starbucks and fill the air with the smell of fresh coffee or baking bread. Sure, this is a vast improvement over the whiff of soiled nappies or of wet dog but studies in America suggest that freshly mown grass is actually a bigger pull.

2. Showers not baths
In a recent Go Compare survey 61% of potential buyers preferred to shower raher than to bathe. If you are cheering up your bathroom ahead of a sale then consider some mixer shower/bath taps.

3. Garden rather than garage
In the same survey, 68% of prospective buyers said they would prefer a garden to a garage. Since most people now use their garage as a store rather than somewhere to park the car this comes as little surprise. Still, if you already have the garage don’t be tempted to pull it down, it’s almost certainly worth more as a potential room than as a patio! This would be different here in Cape Town as buyers love garages to park their 4×4 in.

4. Proximity to local amenities
Proximity to shops is more valuable than good schools according to buyers surveyed by Go Compare. More than twice as many wanted a local shop rather than a school around the corner. When writing up your sales details it’s easy to overlook the fact that many potential buyers won’t know where your local 7/11 is and many will consider a ‘mini-supermarket’ a serious plus.

5. Better a home that is too tidy than one that is too messy
Whilst you don’t want buyers to step over the dirty washing as they look around it’s equally important that they feel that the property is a home. Having to look in cupboards to see if anyone actually lives in the place can be off-putting when a buyer wants to find a home rather than admire a show house.

6. Energy efficiency is a hot topic
Buyers these days will pay particular attention to the central heating in a property and will want and expect you to know how old it is, what it costs to run and how efficient it is. Be prepared to explain how it works, when it was last serviced and why it is a warm and yet economical home to run.

7. Access to the World Wide Web
Broadband connection to the internet is a hot topic at the moment, expect buyers to whip out their mobiles to test your broadband speed.  These days people expect to be able to stream movies, surf the net and to be able to work from home in many cases.

8. Be clear what you’re selling
Speak to your estate agent and conveyancer before you show anyone around and prepare a list of the things you are including in the sale and a further list of what you might be persuaded to sell. Buyers like to know what they’re paying for and hate surprises .

9. Make it easy
It sounds obvious but if you want people to buy your property then make it easy for them to come and see it. If you can’t show them around yourself then make sure your agent has keys and that he will. Also, it may seem cool to say “viewings are from 1-2pm on Saturday, take it or leave it” but it sets the wrong tone for buyers who may not end up as the purchaser but whose interest will help bid up the one who is.

10. Some people are rude, others just insensitive
You’d be amazed just how ‘honest’ some people can be as they look around a place. Try not to be crushed by their plans for the place, they need to feel that they can make your house their home. Most viewers will pay you unnecessary compliments so be honest and listen to their concerns. Buyers are looking for faults and every home has some but help them to avoid the misunderstandings.

Cape Town House Prices Trends Upwards

Posted on: January 8th, 2014

family_life_in_south_africa_walking_and_swimming

The average Cape Town house price for 2013 rose by nearly 7% over the average price for 2012 according to the FNB Price Index released this week.

2013 saw the second successive year of growth following 4 years of Cape Town house price decline.

The outlook for 2014 is not to expect to see a large increase in the rate of Cape Town house price inflation on that of 2013 maybe up to 9%

While this growth may seem healthy compared to other countries, in real terms adjusted for inflation this means a growth of 3%.

During 2013 the main challenge we found as a business was to find good attractive property at market related prices for our clients.

We are dealing with the same challenges, sellers with unrealistic expectations for the value of their homes with real estate agents supporting these unrealistic expectations.

How The Exodus From State To Private Schools In Cape Town Is Affecting Property.

Posted on: October 23rd, 2013

schools_in_south_africaAlthough demand for property within close proximity of good schools is no new phenomenon, it’s less likely now that excellent state schools are found close to home. Thus the exodus from state to private schools in Cape Town is affecting property.

Although fewer excellent state schools, such as King Edward’s School in Johannesburg, Rondebosch Boys and SACS in Newlands remain, demand for residential property in these neighborhoods as well as that close to private schools is increasing leading to a shortage of good property to rent and to buy.

With our relocation business we are seeing a significant increase of clients looking to come to Cape Town with school age kids, the first priority is to find school places and the second is to find good property nearby to reduce the traveling time.

(more…)

Off Plan Developments, Are They Worth It ?

Posted on: October 18th, 2013

_GAA4741Up to 2008 off plan developments were all the rage in Cape Town, people only had to pay 10% deposits and then 12 months later they either keep the property or flip the property and make an easy 20% profit.

Our international clients loved them.

Since 2008 off plan developments have been few and far between, banks tightened up lending to both the developer and off course the purchaser, our clients needed to pay a 50% deposit and have a mortgage for the balance in place. (more…)