Growth, Rental Return or Quick Buck?

In more than 6 years advising property investors in the blaauwberg, Cape Town area on buying property I worked with many different investment theories!

Some property investors are extremely conservative and are looking for a very safe no risk buy! They are looking for good growth and good rental return over a long period of time.
Other investors are looking for quick returns, buy cheap, renovate and sell.
I have favoured over time investing in properties that give a little of both.
In our area of Blouberg our beachfront properties give a lower rental return but have given better than average growth return.

In our slightly less expensive areas you can pick up a unit that has a very good rental return but might not grow as much as the beachfront area.
You can see the dilemma.

I would advise my clients that if they have got the cash to buy more expensive apartments on the beach.
You might not get good rental, but who cares if they are no hassle to rent out and are doubling up in price every few years.
If my client is bonding the property with a bank and my client does not have great cash flow then I would recommend buying a property with a high rental return and demand for rental as this can put 60 to 70 % of the finance towards the bond.

The smart way to buy is to really shop around and to try buy below market value.
If you renovate and sell for a quick buck then make sure you have other properties you can flip.

Remember once you have sold that property you will not be able to buy that same property at that price again.

So to conclude!

Buy properties below market value and hold onto them as long as possible.
Rental return and growth will almost always equal each other out.
Don’t buy brand new properties to rent out as often the damage that tenants can do will destroy that good feel a new place has.
Try to buy a property that is in good nick but can do with a coat of paint at a later stage.

If you decide to sell then you should do your renovation work to make the unit achieve a higher price.

Check out this report at Do not pay too much for your property.

You might find our Buyer's Toolkit very interesting before you go ahead and purchase that property.

The Husband and Wife Team have won the coveted platinum award three years in a row. 2005, 2006, 2007.Membership of the RE/MAX platinum club is one of the highest single year commission honours that Re/max bestows upon a sales associate.Ashley and Izelle are well known estate agents that service the blaauwberg area.There area includes, Milnerton, Melkbos, Sunset Beach, Big Bay, Parklands, Bloubergstrand and Table View.

Five steps home sellers need to know to sell in a buyers market!

As a real estate agent that has been in the business for many years I have learnt a few tricks to getting your home sold in a tough market.
I work in Blaauwberg, a suburb in Cape Town, South Africa.
We like the rest of the world are in the throes of a slowdown in the property market.
What are sellers to do?
Obviously the number one mistake sellers make is they come on to the market at an unrealistic price. In a tough market you need to be realistically priced from get go, otherwise you waste precious time and as the market gets tougher you end up getting into a desperate to sell situation.
Choosing a good estate agent is the first step a seller can make in getting there home sold. A good agent needs to know the market, have a strong web presence and have good selling and networking skills.
These few simple ideas will in my opinion make a huge impression on getting your home sold and will cost very little for the seller.
Step 1: Make sure your home is de cluttered! When a prospective client walks through the door they should be seeing the home not the stuff lying about. Pack stuff away and allow buyers to view your property without clutter.

Step 2: Get your home to smell good. Microwaving vanilla essence or brewing fresh coffee really get clients to feel good about your property. People use all there senses when buying a property and I have sold properties where the buyers motivation was that the home smelled good. Trust me this really works!!!

Step 3: Splurge a little money on a fresh coat of paint. Keep the colours neutral. Try paint your home just before going on market. If you cannot afford an outside paint job hire a high pressure spray gun and clean the paintwork of any dust. If your carpets are in a bad way replace them or alternatively have them professionally cleaned.

Step 4: Make sure your garden is cleaned up and the lawn freshly cut. Keep clutter at a minimum. If you have animals that make a noise then take them for a walk when clients are viewing your property Dog doodooz are a big no no and need to be cleaned up. Make sure your pool is sparkling and leaves are raked up.

Step 5: Open up your home for a viewing and make sure there is lots of light shining into your home. A dark house is a big turn off for many buyers. If your home smells great, looks good and has a sunny feel you are already 90% on the way of greatly improving the sale of your home.

Interested in some great reports on selling your home? Take a look at these reports on RE/MAX selling reports for sellers

Seller Guidance: I would encourage you to employ a professional estate agent to help you sell your home. When your agent or another agent is showing your house, go away and let them do your work for you. I also urge you to utilize my FREE SELLERS TOOLKIT
before selling your house.

Buyer Guidance: I would encourage you to really check out anything and everything you are told by a well meaning seller. Employ the services of a Buyer's Agent to help you discern what you read and listen to about the area you are thinking of calling home. I would also urge you to get AVOID BUYING ERRORS before heading out on the journey to find your new house.
To view our listings go to OUR LISTINGS
The Husband and Wife Team have won the coveted platinum award three years in a row. 2005, 2006, 2007.
Membership of the RE/MAX platinum club is one of the highest single year commission honours that Re/max bestows upon a sales associate.
Ashley and Izelle are well known estate agents that service the blaauwberg area.
There area includes, Milnerton, Melkbos, Sunset Beach, Big Bay, Parklands, Bloubergstrand and Table View.
You can check out there website at husbandandwifeteam
and there blog atOur Blog!