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O Interest rate increases start to bite for commercial property market Business conditions less that satisfactory, given supply chain disruptions and the ripple effects of the war between Russia and Ukraine,among others
NLY the industrial property market’s activity rating is rising, according to FNB’s Commercial Property Broker Survey for Q2 2022. The percentage of broker respondents perceiving business conditions to be satisfactory, declined slightly in the survey, from 47% in the quarter before to 46%, says FNB commercial property economist John Loos. “This decline comes after a prior rising trend, remaining at a mediocre level. This reflects an economy battling to fully recover from the very deep recession of 2020 and, more recently, pressured by rising interest rates.” When asking brokers for their ratings of market activity levels, he says the group of respondents remain upbeat about the industrial and warehouse property markets. “Rising interest rates may have begun to dampen the spirits of the market. Prior to the Q2 survey, sales activity ratings had been on a rising trend in all three property classes following the easing of Covid-19 lockdowns. “We believe that this ‘normalisation’ from a Covid-19 point of view may have had a positive impact on the economy as well as property markets. But global supply chain disruptions had been contributing to building global inflationary pressures and, more recently, the war in Ukraine and resultant sanctions and boycotts on Russia, have further exacerbated the problem.” The result, Loos says, has been 1.25% interest rate hikes by the SARB since late-2021, with a further 1% expected this year. “Future broker surveys will give us insight about whether the events will dampen the commercial property market further but we would expect to see some weakening in the near term.”
COMMERCIAL property agents are, however, upbeat about the industrial and warehousing property markets. PICTURE: RICH HOWARD
Selling your home? Three inexpensive ways to upgrade your bathroom and kitchen
INSTALLING LED light strips underneath overhead kitchen cupboards is an easy way to modernise the room. PICTURE: MAX VAKHTBOVYCH/PEXELS
KITCHENS and bathrooms have long been known to be the most important rooms in a home when it comes to selling, with experts advising that these areas be the first to be upgraded if renovations are being made before listing a property. When you consider that kitchens and bathrooms tend to be among the most expensive rooms to update, it is no wonder they sell homes. However, for those who do not have the budget to undertake an expensive remodel,
Re/Max of Southern Africa shares three tips on how to upgrade kitchens and bathrooms without breaking the bank: 1. Replace handles and taps A quick and easy way to make a room feel more modern or add character is to change cabinet handles. Handles of all shapes, colours and styles can be found at hardware stores and can cost less than R15 each. Although pricier to replace, a rusty or outdated tap can also make the room feel like it needs an upgrade. You could get away
with spending about R1 000 to R3 000 to replace taps, which can create a whole new look and feel to the room. 2. Paint the walls and/or cupboards Replacing kitchen cupboards or the bathroom cabinet can be costly. For a more affordable solution, purchase a high-grip primer and a high-quality paint designed for cabinets. Depending on the size of the room and how much you have to paint, you could spend R1 000 or more on paint and related supplies. A fresh coat of paint on the
walls can also work wonders at updating the space – just make sure that the paint is moisture resistant. 3. Upgrade the lighting An outdated light fitting and inadequate lighting can make a room feel dark and dated. Replacing a light fixture is a simple and affordable way to brighten up a space. Installing LED light strips underneath overhead kitchen cupboards is also an easy way to modernise the room. Try shopping around at thrift stores or outdoor markets.
