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Home owners’ insurance policies, to cover property damage and repairs, are usually mandatory when taking out a home loan. PICTURE: EMMA GONZALEZ/PIXABAY
INSURING YOUR FUTURE WHEN you buy a new home, the bank will usually insist that you take out a home owners’ insurance policy. Gerhard Kotzé, managing director of the RealNet estate agency group, says this will provide for the repair or replacement of the property in the event that it is damaged or destroyed by fire, flood, wind, earthquake or other disaster. “Such policies often
also provide insurance against less serious damage resulting from things like burst geysers, falling trees and collapsing garden walls. They provide home buyers with peace of mind in that they know they will not end up having to pay off a home loan on a property that has become uninhabitable, or have to pay for it to be repaired or rebuilt.” However, most lenders
are less insistent that you take out life insurance to cover the outstanding balance of your home loan in the event of your death. “This cover, usually referred to as bond insurance, can make all the difference to your family at a difficult time by enabling them to stay on in a home that is fully paid off and so you should consider it very seriously,” Kotzé says.
The spring to-do list for your home
Some landlords doing better than others Properties where tenants pay rents between R4 500 and R7 000 a month are most in demand. PICTURE: STOCKSNAP/PIXABAY
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ANDLORDS charging rents of R4 500 to R7 000 are currently in a better position than most. Not only are properties in this bracket most in demand – and making up around a third of all lease agreements – but most tenants in this segment (82.76%) are in good standing, says Michelle Dickens, chief executive of TPN Credit Bureau. Of this figure, 67.67% are paying their rent on time. “Landlords with properties at the lower end
of the market – below R3 000 a month – struggle to get their rents, with 16.08% of tenants unable to pay and a further 15.72% making only partial payments.” She says the traditional sweet-spot segment is monthly rents between R7 000 and R12 000. Although this segment continued to perform well in the second quarter of this year, there is concern that affordability is acting as a key constraint in this segment while rental escalation remains in negative territory.
DEMAND FOR LUXURY HOMES ON THE UP
Spring gives residents the opportunity to spruce up their gardens and home exteriors. PICTURE: INSPECTOR/PIXABAY
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HERE are many quick and easy measures homeowners should take to ready their properties for summer and repair any damage caused by winter weather, says Adrian Goslett, regional director and chief executive of Re/Max of Southern Africa. The first item he recommends to put on the spring maintenance list is to sand back and varnish any exterior wooden features, including decking; window and door frames; sheds and outdoor furniture. This will protect the wood and prevent any splintering.
Next on the to-list is to inspect the roof and gutters for blockages and leaks. “While homeowners might not have noticed any leaks or damage yet, there might still be potential blockages or cracks in the roof and gutters caused by winter weather.” Once all the checks and repairs have been completed, homeowners can look at setting the scene for the coming outdoor fun. One way this can be achieved is by trimming shrubbery and weeding flowerbeds and pathways. Last on the checklist, he advises homeowners to ensure the sprinkler system is working.
Penthouse apartments are highly sought after and offer good investment returns. PICTURE: ALICE KANG/UNSPLASH
ONE OF the noticeable trends in the freehold residential property market this year has been a discernible uptick in demand for luxury homes in the R10 million-plus band, says Dr Andrew Golding, chief executive of the Pam Golding Property group. “Much of this demand has been driven by local buyers who have identified specific areas of interest
and understand that the current market, characterised generally by motivated sellers and well-priced stock, presents opportunities which offer exceptional value for money.” Citing Lightstone data, he adds: “Freehold homes have clearly benefited from lockdowns and the shift to remote working. “They have seen a 6% price
appreciation since the start of the year (January to April) compared to 3% for sectional title homes.” In the apartment sector, Golding says penthouses are highly sought after and in limited supply. This means they offer very good returns on investment, sometimes enjoying a premium of 20% to 25% over other apartments in the same building.
