“Francois, our neighbour wants to sell his house. We'd like to build a little property nest egg of our own. Should we buy his property?”
That's a question I received from a family member over the holidays.
I'm sure you've been faced with a similar situation.
Looking at a property that's for sale and wondering whether it would be a good idea to buy it and get started with your very own... ››› more
I bought my first rental property at the age of 22. Luckily it turned out a great investment.
But since then I've learnt a lot.
Truth be told, there's a heap of things I wish someone had told me about when I first got started in property back then.
The time, the money it could've saved me... I sure as heck would have gone a lot further a lot faster if I'd had a clue about some things.
... ››› more
When you think of Europe's fastest growing economies, who comes to mind?
Switzerland?, Germany?, maybe Netherlands?
No it's none of them.
The fastest growing economies in Europe consist of countries you don't hear much about in the news. I'm talking about Malta, Luxembourg, Romania and Poland.
These countries' economies are expected to grow more than double the Eurozone's in 2016 and b... ››› more
There's no denying it. Property is one of the best performing sectors of the JSE, year in, and year out.
In fact, a quick look at the SAPY property index shows that it returned 1,035% between the start of August 2004 and August 2016.
In comparison the JSE All-Share index returned 626% including dividends…
Clearly property is a top performing sector.
What's even better - with list... ››› more
I was recently at a property auction. The developer of a complex had been liquidated and was left with 7 apartments that needed to be sold on auction.
Before the auction these properties were advertised for around R560,000. And there was not much interest in them.
Considering they could fetch around R5,200 in rental per month I hoped to pick one or two up for a bargain at the auction… ... ››› more
August is Women's Month. As South Africa celebrates the role women played in the liberation of the country against apartheid, the women of South Africa are now facing a new struggle. That's the fight for financial equality.
Not only is the investment world still largely dominated by men, a large number of households still rely on men for financial security.
The good news is that the stereo... ››› more
Right now there's a shift happening in the South African property investment space that's perfect if you're a property investor that wants to get your money into the rental property game.
Demand for buying property is falling quickly and more people are looking to rent property right now. This is because the weakening rand, banks tightening their lending criteria and the general increase in co... ››› more
“Investing in property doesn't make money any more. I should rather sell everything and put my money in the bank.”
That's the words of a friend of mine, Jaco, whilst we spoke about property investing the other day.
Jaco owns a number of properties but feels that he's not making enough money from them to keep on bothering investing in property.
The thing is, after investigating the ... ››› more
Many investors are afraid of investing in property because they simply don't know how to get started and what to expect from their property investments.
The truth is investing in rental property is a great way to increase your monthly income and grow your long-term investment portfolio.
Today, let's look at three benefits of investing in property and why you should consider property rental... ››› more
I made a grave mistake when selling my first property.
I had an apartment which was on the market for about six months. I wanted to sell it because it was underperforming the rest of my portfolio in terms of rental escalations. And due to certain changes in the neighbourhood it was in I didn't expect a recovery anytime soon.
So, when the tenant I had in the apartment made an offer to purc... ››› more
According to Stats SA 36,300 new houses was built in South Africa during 2015.
This has been part of a steady recovery since the 2008 crash.
But before you go out and buy the first best rental property you see first heed my warning…
You need to bring the interest rate risk into your equation
Looking at the vast bulk of property prices today it’s clear to me buyers simply aren’t re... ››› more
Building wealth over the years may be something you dream of, but are you on track to achieve it?
If you're not, you may be wondering what you're doing wrong, and how you can get your finances on track and start building real wealth.
So how can you do it?
Read on to find out…
Five ways to create wealth
If you want to create wealth, here is what you need to do, Mark Ford in Pal... ››› more
I can see the merits of investing in property. You buy property, you rent it out, you sit back and over the years watch the value of your property rise whilst receiving a monthly income from your tenants.
It's something I really wanted to do, but my lack of knowledge surrounding investing in property left me in limbo.
What I needed was a thoroughly comprehensive guide that would take me thro... ››› more
Property is one thing that I am really keen on. People I know who've invested in property over the years have done pretty well out of it.
Property as an investment seems to make perfect sense. For one, you own an asset that should appreciate in value over the years. And then there's the regular rental income too.
I have been desperate to start my own mini property empire and this is how I ca... ››› more
When you're young, you have hopes and dreams for the years that lie ahead. Retirement seems a far off notion that you won't have to worry about now.
As you age and you creep closer to retirement age, the reality dawns that you may not be in a financially sound position to ever retire. Things aren't quite like you envisaged them.
But you can make changes now that will help you live a comforta... ››› more
When it comes to buying a property, you may have your sights set on a particular house in a particular area.
But if you have to stretch yourself financially to get it, should you?
Let's take a closer look…
The financial side of buying property
Living in a large property with all the mod cons, and loads of room and space may be a dream of yours. But if you’re going to have to pu... ››› more
Investing in property is a great long-term investment. But for some investors, owning property isn't something they want to do.
So how can you benefit from the performance of the property market without having to buy property yourself? And how can you still secure an income?
Read on to find out…
The benefits of investing in REITs
Instead of directly investing in property, you coul... ››› more
If you want to start investing in property, you have a number of options.
You can look to buy existing properties, ones that need a bit of work done, properties coming up at auction and properties in new developments.
For the new property investor, new developments can be a good starting point.
Let's take a closer look…
The benefits of buying property in new developments
There ... ››› more
If you're looking for a way to grow your wealth over the long-term, property is well worth considering.
Investing in property to rent out can grow your wealth in a number of ways.
Read on to find out what these are…
Your investment property increases in value
Over the long-term, you should see the value of your property grow in value. This is thanks to an increase in demand, rise ... ››› more
When you invest in property, you can offset your expenses against the income you receive from it.
This means your money works even harder for you.
So what sort of things can you do to save on tax?
Read on to find out…
You can offset your bond against your rental income
If you have a bond on a property you invest in, you can offset the interest payments against the income you re... ››› more
Disclaimer Note that FSP Invest, a division of Fleet Street Publications (Pty) Ltd, is a research house and not a registered broker, financial advisor or financial service provider. Our editors and customer services teams also do not give personal investment advice. The advice in this website is general advice only and may not be appropriate to your particular investment objectives, financial situation or particular needs, so before investing or if in any doubt about your personal situation, you should seek professional advice from a stockbroker or independent financial adviser authorised by the Financial Services Board.
We research our recommendations and articles thoroughly, but disclaim all liability for any inaccuracies or omissions found in this publication.
Remember: Never invest more than you can afford to spare and that the value of any investment, and the income derived from it, can go down as well as up. The past is not necessarily a guide to future performance.
Editors or contributors may have an interest in investments commented on in this newsletter. However they have signed restraints to prevent the abuse of their position as contributors to this publication.