Home buyer trends: Millennial vs baby boomer and empty nester
As three distinctive buyer groups, millennials, baby boomers and empty nesters view the property market differently, and require agents to adopt a bespoke approach to meet their requirements.
“We look at some of the specific needs and trends that accompany each group,” says Mike Greeff, CEO of Greeff Christie’s International Real Estate.
“With market needs being so diverse, it is important for agents to offer good options to clients.”
Johannesburg homeowners: Property valuations update
The City of Johannesburg would like to provide residents with an update on our General Valuation 2018 process and the status of pensioner rebates.
Earlier this year, the City unveiled its 2018 General Valuation Roll, over a period of 45 days beginning 20 February to 6 April 2018. During this period, all property owners and interested parties were invited to inspect and, where necessary, object to property details as contained in the new Valuation Roll.
“Objections made by residents are currently being considered by the Municipal Valuer in terms of Section 51 of the Municipal Property Rates Act 6 of 2004. We are working diligently to ensure that we respond to all objectors and owners timeously,” stated Member of the Mayoral Committee for Finance, Cllr Funzela Ngobeni.
How safe is the province you're living in?
According to the 2015/2016 Crime Statistics report released by Statistics South Africa, trends over the last few years show that criminal activity usually peaks during June and July. On the bright side, though, after this month, the worst is behind us and the lowest crime month (November) is still to come.
“Criminal activity is a major concern for all homeowners. For those who are looking for the best place to purchase investment properties, crime stats can provide a useful tool for predicting the upward growth trend in property values. New crime stats by Stats SA are expected to be released in September 2018. Investors would do well to keep an eye out for that report,” says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
In the meanwhile, there are various other resources available to the general public that help provide an indication of how the current criminal landscape might look. According to Crime Stats SA, the worst precinct in 2017 for residential burglaries reported in the last six months was found in Mpumalanga. Four precincts in Gauteng made the top 10 crime capitals, and two belonged to Kwazulu-Natal.
All your home insurance questions answered
Owning a home comes with plenty of other considerations that might not always be top of mind, one of which is insurance. Homeowners must always ensure that they are correctly covered - knowing what is covered and what isn't can save you a lot of money and heartache in the future.
"Your home should be a place where you can always relax, and being adequately insured will give you peace of mind for when life happens. From the structure itself to the valuables inside, being adequately insured will ensure that you are not burdened with the financial loss whilst going through the emotional stress of the unexpected,” advises Craig Hutchison, CEO Engel & Völkers Southern Africa.
It can be daunting choosing the right cover, whether you're moving or want to renew your policy. Here are some basics that everyone should consider:
Estate agents earn less now than 15 years ago
The impact of a slow real estate market on estate agents has been considerable. Estate agents have had no earnings increases in 10 years. In fact, their earnings have diminished considerably in this time. Commission percentages in the early millennial years averaged 5.5% plus across the industry. They now average 5% or less. But it takes two to three times longer to sell a property than the just 35 to 48 days it took in 2001 to 2007 period.
Also, property prices have only appreciated at 4.8% per annum (less than inflation) from 2008 to 2018 i.e. flatlined. If prices don’t improve then estate agent earnings don’t either, and they haven’t. Today’s real estate industry is a far cry from the halcyon days that prevailed from the late 1990s to the early millennial period prior to the Zuma presidential reign.
The homes market flourished during that purple patch from 2000 to 2007. Real estate agents, well trained by big and well-established estate agencies, were earning commissions north of 5.5%.