19 February - 19 March 2015

Tel: 011 333 2296 / 011 042 8964 Cell: 083 898 4591 Email: swpropertygazette@gmail.com

Get your free copy from all Pick N Pays, Shoprites, Government Departments and Police Stations in these areas:Protea Glen Mall, Protea North, Protea Gardens, Chiawelo, Estate Agents, Property Developers, Maponya Mall, Southgate Mall, Jabulani Mall,

Baragwanath (Mall & Hospital), Carlton Centre and Government offices in the CBD. Also available at Municipalities and Conveyancers.

Your most comprehensive property newspaper

Free Copy

By Nodumo Makaza

Soweto residents have welcomed sec-tional title complexes with the num-

ber of homes under sectional titles dou-bling from 0, 5 % in the previous years to 1% this financial year. There have been a significant number of people returning from the suburbs and going back to Soweto. The sprawling township holds a sen-timental value for most people with its action-packed lifestyle. Sectional title ownership has posed a number of advantages to home owners, explains Adrian Goslett the CEO of RE/MAX.Benefits of sectional title ownershipAccording to Goslett security is guaran-teed for home owners in these homes. “Living in close proximity to your neighbors and in a more communal en-vironment is perceived by many to be more secure than living on a freehold property. Most sectional title develop-ments have excellent security around the perimeter and at the entrance of the development, which is all included in the monthly levies, “said Goslett. Goslett said that owners have to take full responsibility of their freehold properties as they will have to pay for protection in their own perimeters. “With regards to freehold properties on the other hand, owners are entirely responsible for their own security, they need to pay to secure their own perim-eter, and often for an armed response security company to patrol their area,” explained Goslett. Living costs are cut for title owners as compared to freehold property own-ers, there is an affordable fixed monthly cost for home insurance, gardening and maintenance of the pavements. “Unlike freehold properties, where the owners have to pay for their own home insurance and for the upkeep of the pavement, garden and exterior of their homes, owners of sectional title units pay a monthly levy instead. The levy in-cludes the costs of insurance premiums, maintenance of the common property,

wages and salaries of cleaners, security and other staff involved in maintaining the common property, as well as any water and electricity required for the common property,” said Goslett.Owners’ payment bill reduced and their cost shared Owners of sectional title units only need to pay for their rates and taxes, the unit’s insurance, the contents of their home, their own private gardens and for their monthly electricity and water consumption. The cost of maintaining pools, tennis courts, communal park ar-eas and clubhouses in the development is shared. Goslett said being a sectional title owner is reasonably priced than a free-hold property owner. “A sectional title unit within a com-plex is more affordable than a freehold house, on average communities living in sectional title schemes boast close-knit communities and far greater interaction with their neighbours when compared to freehold neighborhoods,” he said.RE/MAX Kairos is proud to be market-ing a security estate in Protea GlenThis 102 unit security estate is a Hlala Kamnandi initiative. Johann Grobler of Hlala Kamnandi is the 2012 winner for the best devel-opment in the Southern Hemisphere for the development of the Protea Glen Estate. The construction partner is Renico Construction, a reputable builder and developer. The sectional units at Protea Glen Manor range in prices from R445 000 for a two bedroom and one bathroom unit. A three bedroom unit costs R595 000. This is one of the best developments in Soweto as the units come fully tiled, with double curtain rails, a stove, a washing machine point, TV conduit, prepaid electricity and carports at no extra cost to the buyer. For more information call Ambrose on 072 116 9890 or SMS “Protea” to 33286 (SMS costs R1.50); or visit website www.remax-kairos.co.za

Soweto embraces sectional title complexes‘A sectional title unit within a complex is more affordable than a freehold house’

Affordable sectional title housing in Soweto.

2 South WeStern ProPerty Gazette 19 February - 19 March 2015

Buying a home - they keep asking for more money

PwC urges construction fi rms to right size

By Mandisa Constable

I cannot recall the number of irate clients I have dealt with in my corporate life, that have joyfully gone through the entire bond application process, however, come reg-istrations they are completely horrifi ed to discover that they still have to pay costs in order to fi nalize “the long walk to free-dom” they thought was their fi nance ap-plication. Before anything else, the client is frustrated from trying to get funds to-gether and eventually decides they’ve had enough of searching for money they didn’t prepare to have and then they pull out.As saddening as this story is, it is all pre-ventable with information. It is so vital when buying a property that one is well informed and asks the relevant ques-tions when they are not sure of anything. A property is a huge investment and one should never force you to take it lightly, but as per the usual, preparation is key. It is on that note that I shed some much needed light on this fact; more often than not, you will always be required to have money available to pay for transfer and bond registration costs. This money would be required after you have had your bond

application approved, during the registra-tion of your property which is a period of 6 to 12 weeks and more often than not, this will come as an “out of pocket” expense for you, the prospective home buyer. Who would you get this information from? You ask. Well after completing your Credit homework, you could approach an attorney fi rm and simply ask for their list of estimated Transfer and Bond costs for properties within a certain price range. Once you have obtained this information, it will assist in giving you a good estima-tion of how much money you would need to get together before jumping into buying a property. Another point to consider is that sometimes if a client does not man-age to obtain a 100% bond, they would then need to gather money for a deposit to make up for the shortfall e.g. You got a 90% bond, you would need a 10% depos-it or If you got an 80% bond, you would need a 20% deposit and so on. Therefore in some cases, you need to budget for Trans-fer costs, Bond registration costs AND a deposit. And as frightening as that may sound, all your stress can be better man-aged through planning and information, information, information. Buying a house is defi nitely not an easy task, but it certainly does not need to be a complicated one. Not everyone likes surprises, so in the spirit of self education take charge of your bond application and fi nd out as much as you can to ensure you are always aware and informed. Hopefully, now that I have managed to provide some clarity on some grey areas, there will be even more prospective home buyers ready to take on the task of acquiring their very fi rst or even second assets. To stay current on further useful tips and notes to assist you on your home owning journey, kindly follow my editorials and share the knowl-edge with a friend or family member. “Each one enrich one”Mandisa Constable: Email: MandisaC@sahomeloans.com / Tel: (011) 436 8840

By Jethro Khuzwayo

South African construction com-panies had important decisions to make about restructuring as they struggled in the past few years and would continue to ex-perience challenges with margin pressure in the short-term. PwC energy and mining assurance partner, Andries Rossouw, told the South Western Property Gazette that there had been a signifi cant decline in the secured order book of South Africa’s nine listed con-struction fi rms in the year to June. “This refl ected the impact of sub-dued domestic economic growth and PwC didn’t know the margin on the orders at these companies. “PwC would like to think from the rhetoric coming from com-panies that they had pulled back from chasing revenue without any

regard for profi t and it was now time to start retrenching, “explained Rossouw. The companies that participated in the study included Murray & Rob-erts, Group Five, Basil Read, Esor, Aveng, Stefanutti Stocks, Raubex, Calgro M3 and Wilson Bayly Holm-es Ovcon (WBHO). The study highlighted that infra-structure expenditure by the pub-lic sector was a good indicator of the industry’s performance, and the government’s ongoing Na-tional Development Plan (NDP) and its continued commitment to public infrastructure investment of R810 billion over the next few years was positive. However, it said the reduction in planned expenditure over the next three years highlight-ed the tough economic environment experienced by the country and construction companies.

Rossouw said there was an R18bn shortfall in forecast public sector ex-penditure last year, the latest year for which fi gures are available, which indicated the expected in-crease in expenditure was not hap-pening in line with expectations. “The private sector plays a piv-otal role in terms of construction expenditure, but the challenging global mining environment and the 10-year low in real terms in commodity prices had resulted in mining sector capital expenditure falling by R16bn over the past two years,” said Rossouw. However, PwC is optimistic about the long-term future of the con-struction industry. Rossouw is of the opinion that infrastructure investment is re-quired in South Africa and in the continent, which should support the growth in the construction industry.

PwC energy and mining assurance partner Andries Rossouw

‘The private sector plays a pivotal role in terms of construction expenditure, but the challenging global mining environment and the 10-year low in real terms in commodity prices had resulted in mining sector capital expenditure falling by R16 billion over the past two years’

19 February - 19 March 2015 South WeStern ProPerty Gazette 3

During a property sale transaction, selecting the right attorney for the

job can make all the difference to how long the transfer process will take. This is according to Jose de Abreu, Broker/Owner of RE/MAX Prop-erty Associates and Founder and Managing Partner of De Abreu & Cohen Inc, conveyancing attorneys. He explains that in the property trans-fer and registration process, there are usually three different conveyancers involved: the bond attorney, the bond cancellation attorney and the transfer-ring attorney. “During the property transfer process, the bond attorney will act on behalf of the financial institution that is pro-viding the finance to the buyer. Once a buyer has received bond approval from the bank or finance provider, the bond attorney will register the bond in favour of the financial institution (mortgagee) over the specific property in question, which occurs simultane-ously with transfer,” says De Abreu. He adds that if the seller has an ex-isting bond over the property, which would be the current bondholder, the bank holding that bond will instruct a bond cancellation attorney to attend to the cancellation of the seller's bond. Once guarantees have been provided for the outstanding bond amount and relevant documents are signed by the bank, the bond cancellation attorney will be ready to cancel the seller's bond. While it is generally the relevant bank that will appoint both the bond attorney and the bond cancellation at-torney, when it comes to transfers, in most instances, the seller will be able to appoint the transferring attorney. This attorney will be responsible for handling the transfer of the property into the new owner’s name, and will co-ordinate the registration process with the bond and cancellation attor-neys, as all these processes must regis-ter simultaneously at the deeds office. The transferring attorney plays an important role in protecting the in-terests of the seller and insuring that there are no unnecessary delays. “Sometimes it happens that the trans-ferring attorney is appointed to act in the capacity of one of the other roles as well, although this is becoming less usual due to the banks preference of appointing different attorneys,” ad-vised De Abreu Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Af-rica, says that it is vital to make sure that the chosen attorney has convey-

ancing experience. “Conveyancing is a complex series of tasks that require extensive conveyancing knowledge, so choosing an attorney that is well versed in the property transfer pro-cess will ensure that minor problems do not become major issues”, he said. De Abreu agrees, saying that it’s im-portant that sellers appoint transfer-ring attorney firms that are convey-ancing practices, and are therefore experienced in the process of dealing with property transfers. The legal fees for attending to a trans-fer are based on a tariff calculated ac-cording to the value of the property, so the amounts charged from one law firm to the next will generally be very similar, so why not choose an attorney that specialises in property transfers and who has the required experience. The transferring attorney used will have a large influence on the length of time that the process may take, so it makes sense to make the best deci-sion,” says De Abreu. During the transfer process the trans-ferring attorneys are also required to comply with various regulatory and statutory provisions such as the Finan-cial Intelligence Centre Act (FICA), the Transfer Duty Act and the Value Added Tax Act for the South African Revenue Service (SARS) and the Mu-nicipal Property Rates Act. De Abreu says that buyers should prepare for the property transfer by having the following documentation and information available:• A proof of address (not older than three months)• A certified copy of identity document• Income tax number• Details of marital and solvency status• Particulars concerning the identity of the attorney transferring the pur-chaser’s property if the purchaser is

utilising the proceeds to pay for his purchase• Particulars of the bond grantedSome of these documents will be need-ed to meet the FICA requirements.Sellers can assist in expediting the transfer process by having the follow-ing documents and information avail-able:• Details of marital and solvency status• Particulars of bond holder (account number)• Valid Electrical Wiring Certificate• Valid Electrical Fencing Compliance Certificates (if relevant)• Valid Gas Compliance Certificates (if relevant) According to De Abreu, on average the process takes around two to three months from the date of sale until the property is registered in the new own-er’s name. However, certain external aspects can delay the process, such as waiting for a stipulated condition in the contract to be fulfilled or obtaining a rates clearance certificate. South Af-rican law requires that before a proper-ty can be transferred, the transferring attorneys must obtain a rates clearance certificate from the local council. “Of-ten a seller will be required to pay for a few months in advance in order to obtain their clearance certificate. Any overpayment by the seller as at the date of transfer will be refunded back to the seller,” says De Abreu. During the selection process, De Abreu says although a critical aspect is the attorney’s extensive experience in the area of law for which you require, it is also vital that the seller is comfort-able with their choice and trusts their attorney. “Working with a reputable, experienced attorney will ensure that the process is as quick and hassle free as possible,” De Abreu adds. Article courtesy of RE/MAX Marketing

There are several benefits for home buyers who can put down a deposit when they purchase a property.This is according to Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.“Not only are prospective buyers more likely to be approved for finance, but they will also obtain a better interest rate, which will save them a considera-ble amount of money over the term of the bond,” explains Goslett. Goslett says putting down a deposit, even if it’s not a large amount, can pos-itively impact on a potential buyer’s home loan success as it shows intent and demonstrates the ability to save. *Banks see those who provide a de-posit as far less of a risk.“Banks typically ask for deposits of between 10% and 30% of the asking price of the property; however there is actually no right amount for a depos-it. A deposit of 5% of the asking price is far better than none at all,” Goslett explains. Depositing money after registration will bring down the capital and reduce the interest charged on the bond, but it will be far more advantageous to make a deposit upfront. Another important aspect to keep in mind is that there are other costs associated with purchasing a property that will need to be paid. “Deposits are not the only thing that prospective buyers should prepare for. They will need to have money set aside for the transfer duty, registration and initiation fees, not to mention attorney fees,” says Goslett. Having a savings plan in place will help buyers achieve their homeowner-ship goals and put them in a good fi-nancial position. He says while saving enough money may seem impossible at times, planning and discipline can make it happen, and owning a home is worth the effort. Goslett provides a few budgeting tips that prospective home buyers can use to assist them in saving for a deposit and other home-related costs:1. Keep track of every randWith the records of the monthly ex-penditures, a potential buyer can further break down their purchases into wants and needs. Using this list

will enable them to determine where spending can realistically be cut. To know where to cut back means know-ing where every rand is spent. Pro-spective buyers need to keep track of everything that they purchase over the course of each month. It is important to categorise money into subsections such as food, enter-tainment and bills. This way it will be easier to track where the money is being spent and what areas can be reined in.2. Want or needWith the records of the monthly ex-penditures, a potential buyer can further break down their purchases into wants and needs. Using this list will enable them to determine where spending can realistically be cut. This does not mean that all wants should be completely cut out, but per-haps reduced and managed more effec-tively.3. Set aside fundsOpen a separate savings account for the deposit and home costs. This makes it easier to track how much is in savings and how close the potential buyer is to reaching their goal. Having the money blocked off in a separate account will also help alleviate the temptation to spend it. 4. Save automaticallyIdeally the best way to save is to have a debit order set up, so that a fixed amount is taken off your salary and placed into savings without you having to do anything. A potential buyer won’t miss money that they don’t see in the first place. Having a debit order set up also takes a lot of the discipline factor out of the picture.5. Seek professional assistanceOnce there is a reasonably substantial bit of money saved, talk to a financial professional about other places you might invest it to get a bigger return than you would by keeping it in your savings account. “For many, a property will be the largest asset they will own, so the more it can work for them and help create wealth, the better. This starts as early as when considering buying a property and saving for a deposit,” says Goslett.Courtesy of RE/MAX Marketing

Choosing the right attorney can expedite property transfer

Broker/Owner of RE/MAX Jose de Abreu

Save for a home deposit with these five tipsDepositing money after registration will bring down the capital and reduce the interest charged on the bond, but it will be far more advantageous to make a deposit

By Jethro Khuzwayo

GAUTENG premier David Makhura re-cently reshuffled his provincial cabinet after months of speculation. The premier recently appointed the former minister of arts and culture and current ANC provincial chairman Paul Mashatile as the new Gauteng MEC for Human Settlements and Local Government.

Mashatile, who also served as the premier before, replaces Jacob Mamabolo, who has been deployed as the new MEC for Infra-structure Development. Former MEC for In-frastructure Development Nandi Mayathula Khoza takes over as the new MEC for Social Development. Mayathula Khoza replaces former MEC for Sports Molebatsi Bopape, who has been sacked amid allegations of corruption in-

volving millions of rands. MEC Faith Mazibuko has taken over as the new MEC of sports, arts, culture and recre-ation. “I am proud I recruited a team player in MEC Mashatile as he has vast experience on how government works. I believe he will add value to our team as we strive to build new mega human settlements for our people,” the Gauteng premier said.

Mashatile appointed new MEC for Housing and Local Government

New Human Settlements MEC Paul Mashatile

4 South WeStern ProPerty Gazette 19 February - 19 March 2015

19 February - 19 March 2015 South WeStern ProPerty Gazette 5

Property Correspondent

There has been a signifi cant increase in the fi nancial pressure of the household sector. This has been attributed to the low levels of savings.Jacques du Toit, Absa property analyst, has forecast that the ratio of household debt to disposable income will remain high during 2016. Du Toit said growth in real household disposable income and consumption expenditure are expected to stay closely correlated in view of expected ongoing low levels of savings. “The ratio of household debt to disposable income ratio is pro-jected to remain relatively high in the rest of 2016,” said Du Toit.The growth in prices for residential property has alleviated for the past two years since 2014 and the property analysts anticipate that it will remain minimal throughout the year.“House price growth has softened since late 2014 and is forecast to remain in single digits in 2015 and 2016;price growth is set to be lower this year compared with the past two years against the background of trends in the outlook for the macro-economic and household sector related factors. Based on the current forecasts for nominal house price growth and consumer price infl ation, margin-al real price is projected for this year.” Du Toit said.

By Nodumo Makaza

Renico Group of companies was started by Nico Louwat the tender age of 19 when he invested in three properties. The company which is turning 18 years this year has had a tremendous growth. It has spread its wings into fi ve different spheres, these include, Con-struction, Plant hire, Earthworks and Civils, Property holdings and Quarry-ing and Crushing. The relationship between these subdi-visions has enabled the smooth running of Renico Construction. According to the company’s 2015 profi le, these divi-sions have been sustaining each other for the benefi t of the company. “The links forged between each division have proved invaluable as they com-pliment and support one another. This increases effi ciency and ensures and a consistent standard across all spheres of activity”, the profi le said.In its 18 years of existence Renico Construction has managed to suc-cessfully complete over 150 projects ranging from single residential areas to large industrial and commercial com-plexes and warehouses. Renico acquired a quarrying and

crushing company in 2007; this re-duced the pressure that’s usually felt by most construction companies in getting supplies of building material.The Marketing Manager Sonet Guy says the company has been involved in charity work. “As a company we strive to give back to our communities, Nico gives gen-erously to charities and organisations that serves the local communities and motivates many of his suppliers to do likewise” she said. Gateway village for the physically and mentally challenged has received assistance from Renico’s charity works. “The Gateway Village, who serve the needs of physically and men-tally challenged youngsters within the Gateway School and continue to help them through their lives, has benefi ted greatly from this with the construction of the Renico Hall at the school and the Gateway Home for the Aged,” Sonet said. Renico has remained trustworthy to its clients and continues to satisfy them. “Renico property holdings offer a reliable and knowledgeable service to many tenets who rent out prime residential, industrial and commercial property” she concluded.

By Nodumo Makaza

As we cross the threshold of 2016, some might be con-sidering investing in residential property, which is

a sensible thing to do considering the volatility of our South African rand. Property investment remains a lifetime achievement and a good asset; hence you need to be extra-careful when buying a residential property. There are a number of things that one should take into consideration when acquiring a residential property. It all depends on whether it’s your dream home or an investment property. If it’s a family home the most important factor to consider is the size of the mansion or the estate. Britney Spears thinks having a spacious home is synonymous to having a fancy lifestyle. “You want to live fancy, live in a big mansion,” she says. An opulent is ideal; the white house luxury is at the click of your fi nger tips if only you know the right people to deal with. You have to know who to trust with your investments. It’s advisable to deal with reputable companies before the conmen that are wide spread over South Africa rip you off. Trust worthy companies will protect you from people like Fikile Kwenyana the owner of Deenin properties who ac-

cording to SABC 2 (Speak out) has robbed more than 140 clients with the promise of building them houses. Beware! Do not purchase property from “street vendors.” Let your con-veyancer carry out the deal, they have the legal know-how. It’s highly recom-mended to shop around for a residential property. It will help you to compare the prizes as well as make you get the perfect place for that home that you have always dreamed of. Do not strain your budget; just buy something in your reach. It remains pointless buying a property that will cost you more than what you have budgeted for. Residential proper-ty owners have said having your own home gives them the much needed free-dom to keep as many pets as they want and they are free to leave the house in any state. “No landlords, no inspections and we can have as many different types of pets as we want,” they said.

We also have rooms from as little as R900 per month excl. For shop rentals contact Kobus on 081 499 2270

Renico Group celebrates 18 years

Company has created more than 380 job opportunities so far

Absa bank’s housing reviewBank decries low levels of savings as interest rates increased

Renico marketing manager Sonet Guy

ABSA property analyst Jacques du Toit

Become a residential property owner this year

Property investment remains a lifetime achievement.

Tel: 011 333 2296Cell: 083 898 4591

Email: advertising@thesowetobulletin.co.za

ADVERTISE WITH US

House prices to increase 6 South WeStern ProPerty Gazette 19 February - 19 March 2015

By Jethro Khuzwayo

HOUSE prices are set to increase significantly following the Reserve Bank’s decision to increase inter-est rates by 10% recently, says FNB economist, John Loos. Loos told the South Western Prop-erty Gazette that with interest rates having been hiked by 10% and elec-tricity tariffs escalating above in-flation, the cost of purchasing new property is set to increase signifi-cantly. “FNB’s house price index increased

by 6.8% last month. The rate of in-crease last month was similar to the revised growth rates of 6.7% in De-cember, 6.9% in October and 6.8% in November. Gross Domestic Product (GDP) growth of about 15% was achieved last year. “Water and non-electricity tariff per capita disposable income index has risen by 16% from 2008 to 2015, while home maintenance and repairs per capita disposable income declined by 4%,” Loos said. *Reserve Bank governor, Lesetja Kganyago, said the increase in in-

terest rates means that consumers will have to pay more for their bond houses and vehicles. The governor said property com-panies will be forced to increase their prices for real estate for a wide range of rental packages. Kganyago said 2016 will be a tough year for consumers and investors alike. When interest rates go up, banks also increase their interests to meet the shortfall that the Reserve Bank has set. Economists have warned that the increase will have consum-ers bearing the brunt. FNB economist John Loos

Publishing EditorLeonard Vundla

Tel: +2711 333 2296+2711 042 8964

Cell:+2783 898 4591Email: leonard@thesowetobulletin.co.za

EditorNodumo Makaza

Tel: +2711 333 2296 +2711 042 8964Cell:+27612293141

Email: nodumo23@gmail.com

Accounts Manager

Clara VundlaTel:+2711 333 2296

+2711 042 8964Email: admin@thesowetobulletin. co.za

Sales / AdminCarol Miller

Tel: +2711 333 2296+2711 042 8964

Published by Leonard Marketing Services84 Helen Joseph (President) StreetOffice 740 Markade Bld, Jhb CBD

Tel: 011 333 2296Cell: 083 898 4591

Email: advertising@thesowetobulletin.co.za

The Soweto Bulletin subscribes to the South African Press Code, which prescribes news that is truthful, accurate, fair and balanced.

If we don’t live up to standards set out in the Code, please contact the Press Ombudsman

at the Press Council on:Tel: 011 484 3612/8Fax: 011 484 3619

www.presscouncil.org.za

Roodepoort - With affordable housing, a beautiful natural environment and no shortage of choice when it comes to shopping, West Rand residents seem to have it all, as well as easy freeway access to Johannes-burg and Soweto, Sandton, Midrand and Pretoria. This is according to Liana van Loggerenberg, Raw-son Property Group’s franchisee in Roodepoort, who says it comes as no surprise that prospective home buyers are increasingly heading to this part of Gauteng, or that housing stock here is “flying off the shelves”. “Many people are avoiding Johannesburg’s more expensive suburbs now and seeking more modest homes to lower their transfer costs and their ongo-ing homeownership costs such as rates and munici-pal charges,” she says. At the same time, Van Loggerenberg says they are not prepared to compromise on lifestyle and ameni-

ties, which the West has in spades, as well as value for money. “There are really not many other areas where you can buy a home with four bedrooms, two lounges, a television and entertainment room, kitch-en, laundry, pool and lapa, plus a granny flat and huge carport on 1 000sqm for R1.2 million,” she says. Van Loggerenberg says buyers are snapping up family homes like this in West Rand hotspots as in-termediate or “stepping stone” properties, enabling their current owners to upgrade to more upmarket homes in estates such as Featherbrooke. Prices in this luxury enclave bordering the botanical garden start at around R3 million and at the top end are fast approaching R9 million. “But it is the affordable homes that are attracting the most buyers at the moment. And with seven schools in the vicinity, good transport infrastructure and shopping centres such as Westgate and the new Cra-

dle Stone Mall, nothing beats the Witpoortjie area for overall value,” she says. According to Ané Prinsloo, the Rawson franchisee for Krugersdorp, buyers are also uncovering good value in established suburbs such as Monument Park and Noordheuwel. “The real gems here are small houses on large stands that give first-time buyers the opportunity to enjoy homeownership now and room to build on and create a larger family home as time goes by,” says Prinsloo. “These houses generally have spacious rooms and heritage features such as wooden floors and pressed ceilings. In Monument Park, stands can be as large as 2 000sqm and prices range from R1 million to about R1.7 million at the top end. In Noordheuwel there is more variety, but R1.5 million will buy you a three bedroom home with a swim-ming pool and flatlet on a 1 200sqm stand.”

Value-for-money homes in West Rand

19 February - 19 March 2015 South WeStern ProPerty Gazette 7

Complexes to meet demand for homesSoweto - According to Rachel Vickers, Broker/Owner of RE/MAX Kairos, which operates from Jabulani, Soweto, most buyers are between the ages of 25 and 35, in fact the majority of buyers (61%), are between the age of 18 and 35. Around 28% of the buyers are be-tween 36 and 49 years of age, while just 8% range in age between 50 and 64 years, and 2% are pension-ers. The buyer profile of those buy-ing affordable homes varies based on the type of homes being sold and the life stage the family finds themselves in. Most families with a mother and father are looking for freehold full title homes. It is im-portant for them to have reasonably sized stands from about 250sqm. “Many developments have much smaller stands, anything from 150sqm to 200sqm, but buyers in the affordable market expect larger stands allowing for expansion over the years. Traditional ceremonies cannot be conducted on sectional title land, therefore a family oriented to-wards the traditions of their tribe will elect to buy a home that is full title.” Talking about trends in the afford-able sector of the market, Vickers says sectional title is a new concept in the townships, with few complexes represented. We are, however, start-ing to see a significant shift in the

appetite for sectional title properties, especially among families with a sin-gle parent who works. The benefits of sectional title properties, for both investors and owners, are starting to change the mindsets and landscape of affordable housing,” she says.“In Soweto, for example, there are 166 900 freehold homes and just 973 sectional titles. The upcoming developments within this area, both commercially and residentially, will see over 30 000 homes added to the precinct in the next five to 10 years. This market is booming.” Vickers says the successful sectional titles being built are predominantly freestanding homes as opposed to

apartments or semi-detached homes. The walk-ups are mainly owned by investors and rented to those who are not able to enter the property market as owners. Adrian Goslett, regional director and CEO of RE/MAX says South Africans have a deep seated desire to own their own property. Location is just as important for buyers in the affordable space as it is for any other buyers, with proximity to hospitals, transport nodes, retail facilities and schools rated as the most significant. “Safety for their families, especial-ly their children is also important to these buyers. This is why closed es-tates that have security features such

as a guardhouse and a secure perime-ter with electric fencing are sought.” Some of the current homes on the market are properties within the Sha-ron Park Lifestyle Estate in Nigel. This estate is being developed by Johann Grobler of Hlala Kamnandi, who is partnering with Renico Con-struction to bring freehold homes within an estate setting to the afford-able market. Vickers says buyers are given an op-portunity to choose from eight differ-ent design styles and 10 different floor plans to not only match their lifestyle, but also their pocket. “We have seen growth in the property prices at this estate of 13% year-on-year. The two

bedroom, one bathroom homes start at R365 000.” She says Protea Glen Manor in Soweto is another great development catering to buyers looking for an af-fordable home. It is also being de-veloped by Johann Grobler of Hlala Kamnandi and Renico Construction, and is an exciting sectional title de-velopment that offers a selection of two bedroom, one bathroom and three bedroom, two bathroom free-standing homes. The three bedroom homes have an en suite bathroom leading off the main bedroom. Protea Glen Manor is within walk-ing distance of the Protea Glen Mall and is close to excellent transport routes. The two bedroom homes are selling for R445 000 and the three bedroom homes for R545 000. Vickers says the best features of these developments are the finish-es and additions that are included at no extra cost, as is the case in some affordable developments. This in-cludes features such as space for a double-door fridge, a stove, a wash-ing machine point, built-in cupboards and more. “We call these ‘plug and play’ homes, the buyer has all the fin-ishes already in place. Many homes in the affordable market are sold as shells and buyers still need to invest in aspects such as tiling or carpeting, burglar proofing, towel racks, medi-cine cabinets, curtain rails and more.”

A property in Protea Glen Manor in Soweto.

Buying old property for developmentNodumo Makaza

It is always economic to buy property that looks deserted and refurbishing it to that stunning home that you have always wanted. I will take you through some steps that you might go through in making it achievable. Using a good, reputable and credible contractor can make the process less cumbersome and can take some pres-sure out of the process. If you are to use a contractor, ask for their list of past clients and their current projects and examine the work they have done before. Some home refurbishments

are almost guaranteed of a good return es-pecially when planning to resell later on. Updating bathrooms and kitchens is al-ways attractive to prospective buyers. Before starting you should consider budgeting for the intangibles like your time, energy that you are going to need and the skill required. Most people are usually parsimonious when it comes to money needed for the renovations. Make sure you include at least 10% overages. Trying to use old or salvaged material may be more expensive in the long run than you might think. It is economic to buy a property that looks deserted and refurbish it.

By Jethro Khuzwayo

Business confidence in the building industry has slightly improved in the first quarter of this year, driven by increased activities in residential building contractors and hardware merchants. The latest FNB/Bureau for Mar-ket Research Building confidence released recently, highlighted that confidence improved by four index points on a 100-point scale to 48 points after declining by nine index points in the previous quarter. John Loos, a property economist at FNB, said growth in the building sec-tor regained momentum in the fourth quarter, as reflected by the increase in the index, after slowing significantly this year. Loos believes that this slight im-provement was underpinned by an increase in retail sales of hardware materials and an a increase in resi-dential building activities, while the non-residential building slowed.

“The outcome for the sector re-mained uncertain, despite the im-provement in the fourth quarter. “Although there is evidence to suggest that the residential market should continue to grow, a faster than expected rise in interest rates may cause this to stall. In addition, pressure on consumers may weigh on hardware retailers, while weak growth in architect and quantity surveyor could see non-residential buildings remain low, “said Loos. The current level of the index indi-cates that almost half of respondents were satisfied with prevailing busi-ness conditions. Four of the six sub-sectors surveyed recorded higher confidence. Loos attributed the lower confi-dence of main contractors largely to a sharp deterioration in the confi-dence of non-residential contractors. According to the survey, non-residen-tial building activities fell sharply dur-ing the quarter, leading to an uptick in competition.

Although there are areas where non-res-idential building activity remains ro-bust, in general underlying conditions have worsened over the last 12 months. Confidence among residential contrac-tors was virtually unchanged, despite

the underlying indicators improving, with building activity in particular ris-ing markedly. Loos said the residen-tial building sector had outperformed the non-residential market in terms of building activity over the past few quarters, but the gap was much more

noticeable this quarter. “Hardware retailer sales probably benefited from the rise in residential building activity during the quarter, although informal building activity and the building renovation market might have lifted sales,” Loos says.

Slight improvement in building industry

Statistics indicate an improvement in the construction industry.

Tel: 011 333 2296Cell: 083 898 4591

Email: advertising@thesowetobulletin.co.za

ADVERTISE WITH US

Checklist to moving into new homeRegional director and CEO of RE/MAX Southern Africa, Adrian Goslett says when it comes to mov-ing homes, there are also legal mat-ters that require attention. “Each situation will be different, and as such there will be unique aspects that should be taken into account. For example, if the new home buyers were renting their pre-vious property and are still bound by the lease agreement, they will need to read through their contract to see what their options are. They might be able to be released from the lease agreement early, or fi nd another tenant that could take over the property until the terms of the lease ends. This will require some research and a discussion with the landlord.” Goslett shares some advice and important considerations for buyers moving to a new home:

1. Ensure the move is coveredHe says a vital aspect when making arrangements with a moving com-pany is to check whether any mis-haps are covered by insurance. The home buyer should read through all documentation provided by the moving company to see what falls under their insurance coverage during the move, and what doesn’t. While the moving company will provide some insurance, depending on the contract, it might be worth-while to take additional coverage.2. Send change of address to the relevant partiesGoslett says a change of address notifi cation will need to be sent to all creditors, along with being changed on any bank accounts. This will ensure that no payments or important notices are missed by the homeowner that could affect their credit record in the future.

He says as a precaution, home buyers should also ask the post of-fi ce to forward all post to their new address. The change of address should also be sent to family and friends, as well as any publications that the home buyer has subscrip-tions with.3. Transfer or disconnect utilitiesUtilities or services will need to be transferred to the new address or discontinued if they are no longer applicable. These would include items such as water and electrici-ty services, newspaper delivery, a telephone landline, DStv subscrip-tion or a private security company. Goslett says there might be a de-posit that can be refunded from certain service providers. Home buyers should also advise service providers where fi nal bills are to be sent, he says.4. Obtain all the necessary fami-

ly, legal and health recordsAlthough not as important if the buyer is moving to a home within the same area, for those who are relocating to another city it is im-portant to get a copy of all vital documentation, says Goslett. This will include medical records from the family doctor, along with any chronic prescriptions that need to refi lled or transferred to anoth-er pharmacy. Buyers with families should also get their children’s school records such as copies of report cards and a transfer card. Other records would include birth documents for all family members and any legal records. “While relocating can be a rather tedious exercise, if the home buyer has a checklist and systematically deals with all the necessary aspects involved, it will be a far more man-ageable experience,” he says. Remax Regional Director and CEO Adrian Goslett

A vital aspect when making arrangements with a moving company is to check whether any mishaps are covered by insurance

Address: Shop 71

Maponya MallNext to Pick n Pay

Chris Hani RoadSoweto, 2127

Tel: 011 938 3867Fax: 086 732 8790

E-mail: soweto@seeff.comCell: 082 431 2311

Thando Madimabe - PrincipalCell: 079 325 2462

Kage Kgiba - Principal

Kage Kgiba 0810202000 kage.kgiba@seeff.com

Thando Madimabe 0823256494 thando.madimabe@seeff.com

Thabiso Mokoena 0792402486 thabiso.mokoena@seeff.com

Zandi Masombuka 0789091044 sandile.masombuka@seeff.com

Thuli Nkosi 0833640158 noku.nkosi@seeff.com

Dindiwe Sibiya 082 478 3705 dindiwe.sibiya@seeff.com

Jacky Rampedi 0760838874 jacky.rampedi@seeff.com

Stephen Mthimkulu 0837373150 stephen.mokoena@seeff.com

Jane Tshezi 0728468656 jane.tshezi@seeff.com

Barbara Madonsela 0732609705 barbara.madonsela@seeff.com

Dindiwe Sibiya 0824783705 dindiwe.sibiya@seeff.com

Samuel Sikhakhane 0719610111 samuel.sikhakhane@seeff.com