“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
When you first decide to invest in a property the excitement pumps you up. Your heart starts racing, you already see the cash rolling in…
But before your ambitions run away with your good judgement you should take a step back and evaluate whether the property you're looking to invest in will provide you with growth - or is it a cash-trap that'll suck your wallet dry.
What to look for in ... ››› 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
Over the past six years I've worked with many estate agents looking to manage my rental properties. And whenever it took time to fill up an empty apartment they'd tell me “the market is slow this time of year”.
They weren't all lying to me. Considering the post-2008 property market it hasn't been smooth sailing for anyone.
South Africa's economy is struggling and people are finding it ha... ››› 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
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
Last week a property investors told me that: “Property in SA is too big a risk. New laws coming out soon will limit property ownership to two properties and there will be no foreign ownership allowed.”
Is this true? Should you up and sell your property right now, or is there hope left for the South African property sector?
The truth about new property laws – it’s not as bad as yo... ››› more
Over the weekend I was speaking to a friend of mine. He just moved into a new area after switching jobs. While he's checking out the property in the area he's renting a property.
One of the issues he faced was a rental deposit - and this actually affected which property he chose to rent initially.
You see, because of tenants not paying rent, or damaging property many landlords have been fo... ››› more
Right now there's an investment you've probably forgotten about. I'm not talking about your equity portfolio, your government bonds or even your retirement annuity.
I'm talking about a specific investment that will either contribute greatly towards your retirement or leave you struggling to make ends meet when you stop working.
You might have forgotten about this investment but right now, i... ››› more
Millions of South Africans have packed their bags and taken their knowledge, skills and families to other countries, never to return to South Africa. I don't blame them and I don't judge them. They're leaving because they want to protect their families and their wealth.
While I can't help you with your personal security, I CAN help you protect and grow your wealth.
Today, I'm going to show... ››› more
Whenever I hear mention of today's company, the first thought flitting through my head is: “How much does this pundit actually know about the eastern European property market?”
I mean, if you're looking for obscure geographical exposure you've found it. A company that invests in, and develops, shopping centers in Romania, Slovakia and Serbia.
And, yet investors who backed this strange J... ››› 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
When you buy an investment property chances are it'll be in a sectional title scheme.
Before you bought it, you made sure to check you could get a great rental income from it, that the price was good and the levies are low.
But a single rule written into law could turn this attractive investment into a bottomless pit, sucking in all your money. Let me explain…
How your Body Corporate c... ››› more
Investing in property is a sound long-term investment.
But it's not as easy as just picking a property to buy. You need to give it some thought and work out exactly what is the best property investment route for you.
By determining this, you can make the best investment you can that meet your needs.
Read on to find out more…
What are your goals from investing in property?
Ther... ››› more
The property market has had its ups and downs, but overall the trend is up. Over time, values increase.
So if you're looking for a great long-term investment, why should you invest in property? And what makes the best property investment?
Read on to find out…
Property as a long-term investment
If you want to grow your wealth over the long-term, you have a number of different avenu... ››› more
The financial crisis hit property markets hard across many regions of the world. In Europe, the crisis left its mark, with some countries seeing property prices topple 50% within a couple of years.
But things are changing. And for the savvy property investor, there could be great profit opportunities from the continuing recovery.
So where is property looking ripe for investment? And how can ... ››› more
Many investors see property as a great investment. Not only do you hope to see a property rise in value over the years, you have a tangible investment.
Decide to rent it out and your property can also pay you an income once you pay your bond off.
So if you fancy looking outside of South Africa to invest in property, where's looking good?
Read on to find out…
Why you should conside... ››› more
Investing in property can be a lucrative way to put your money to work over the long run.
But for most, investing in property means borrowing money to do it.
So what are your financing options when investing in property?
Read on to find out…
Why you should sort out your finances before you start looking at property
Once you decide to invest in property, there’s no point getti... ››› more
When investing in property to rent out, one key factor to consider before buying anything is the rental potential of the property.
If you can't achieve the rent you need to cover your costs and financing, a potential investment property may not be the right choice for you.
So how can you find out how much you're likely to achieve in rent for an investment property?
Read on to find out… ... ››› 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.