Tag - Property

Bequeathing property in your will – how it can go wrong

By David Knott of Private Client Trust, the fiduciary services division of Private Client Holdings, and a member of the Fiduciary Institute of South Africa. When it comes to leaving fixed property to someone in your will, unless you have had professional assistance in the drafting of the will, you may be creating unnecessary complications for...

Predictions for the market

Marriott, the Income Specialists share their view on the various asset classes, both locally and offshore. Over the past five years retired investors have weathered a storm of negative real cash interest rates and historically low property and bond yields globally. Fortunately, this environment is starting to return to “normal” with interest rates...

How to save for a deposit

You can improve your chances of being granted a home loan or vehicle finance as well as the interest rate you are offered, if you have a deposit of 10 to 20%. With interest rates expected to increase over the next two years, banks are going to become more cautious about who they lend money to, particularly for home loans and vehicle finance. So...

Starting a property portfolio

“I am 22 years of age and I work as a risk manager earning R18 000 a month. I am moving to Boksburg to be close to work and will be renting, however I see that Cosmopolitan is building affordable houses selling at R320 000. I am thinking about buying two houses and renting them out to people,” writes Zeni. Maya replies: It is great that you want...

What determines your home loan rate?

“I bought a house 15 months ago and I have been paying about R500 extra. As a first-time buyer I received a +0.4 prime rate. Can I get the bank (Absa) to review and reduce my interest rate, if so what do I need to do and what will they be assessing?” asks Simphiwe Maya replies: The interest rate you have is pretty good when I compare it to what...

Investing in property as a club

Ewald Kellerman, Head of Sales at FNB Home Loans says that investing in property as a club brings with it certain challenges: Change in ownership/members of the rental club may be costly. The bank will hold the members liable for the loan, not the club, so if those members change it may have implications on the loan. The investment is quite...

Estate agents see weakening in property market

The latest FNB Estate Agent Survey found that after a much improved 2012 compared to 2011, the final quarter of last year showed a weakening in demand for property, possibly as a result of a weakening economy. A survey of estate agents is a good indicator of what is happening on the ground in terms of property as they are able to track activity...

Getting your admin in order

While it is very important to keep track of your day to day expenses as well as your longer term financial goals, you also need to ensure that your financial administration is up to date. If you need to urgently get hold of vital paperwork do you have any idea where you have filed it or even where you can find it? I have to confess that after my...