SA Lockdown: High-end property owners downscaling eNCA
Recent research by trends organisation New World Wealth shows at least 10 of the 12 most expensive locations in South Africa are in the Western Cape, but sellers in these opulent areas are having to accept offers much less than the original asking price.Political and economic uncertainty in the country is said to be behind the drop in prices – especially in areas on the Atlantic Seaboard.
The burden of spending close to R50,000 per month on maintenance is one of the reasons people are selling.This five-bedroom mansion is going for a staggering R200-million.“The market has been on a steady decline since the high of 2015-17, and with the effect of COVID-19 we are seeing a 50 to 80 percent decrease on prices across the board,” said Devon Tame, a property agent.
Property expert Jaco Rademeyer says many owners are choosing to downscale by moving to gated areas or smaller homes.“The prediction is that the whole property market will see a price drop of more or less five-percent," Rademeyer said. "But your top end will see a drop of up to 20 to 40-percent if you look at Cape Town the Atlantic Seaboard, you’re seeing properties that have already been reduced by R10-million.”According to Rademeyer, the interest rate is at its lowest since 1974 making borrowing money at the bank easier for buyers.“The property market will get back on its feet but it will take time but it is your safest investment vehicle,” Rademeyer said.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
SA must stop pretending it knows what the Fourth Industrial Revolution is all aboutWhen this year began we all had resolutions and plans on how we would make this calendar year count and our students had another year of school to tackle so they may one day graduate.
Read more »
WATCH: The dire warning the World Bank has for SAEfficient Group economist Dawie Roodt talks to Business Day TV about SA’s economic outlook
Read more »
COVID-19: SA reports 88 new deathsThere are 88 new COVID-19 related deaths: 73 from Western Cape, 9 from the Eastern Cape, and 6 from Gauteng Province.
Read more »
Cold weather remains over Gauteng and central SA until Friday, weekend set to be fairerA worsening of the already cold weather conditions is forecast for Gauteng, Free State, North West, Mpumalanga and parts of KwaZulu-Natal from Tuesday until Thursday, the SA Weather Service says
Read more »
SA needs more young people in politics - The Mail & GuardianYoung people are a critical demographic in South Africa, but their influence on national politics in the past two decades has been limited
Read more »