06 March 2008

Century City Asking Prices: Down And Up And Down Again

We first spotlighted this 1 bed Century City flat waaay back in September 2007. Back then it was going for R799 000 and had a net rental of R1843 a month (R3 000 - R1 156 in rates/levies), a horrendous 2.2% ROI if you bought it in cash. Then in November 2007 the price dropped to R780 000 and the rent climbed to R3 500 a month. Then in January 2008 the price jumped back up to R800 000. Now it's back down to R780 000 again. Here is the return on investment you could expect:












Down PaymentMonthly PaymentCash flowAnnual IncomeROI
R0R9983.98R-7639.98R-91679.79
R78000R8985.58R-6641.58R-79699.01-102.18%
R156000R7987.19R-5643.19R-67718.23-43.41%
R234000R6988.79R-4644.79R-55737.45-23.82%
R312000R5990.39R-3646.39R-43756.67-14.02%
R390000R4991.99R-2647.99R-31775.90-8.15%
R468000R3993.59R-1649.59R-19795.12-4.23%
R546000R2995.19R-651.19R-7814.34-1.43%
R624000R1996.80R347.20R4166.440.67%
R702000R998.40R1345.60R16147.222.30%
R780000R0.00R2344.00R28128.003.61%

3.61% when you buy in cash with an 80% deposit required to break even on cash flow. I think some houses in De Waterkant have better yields.

2 comments:

Anonymous said...

well done, i see you now get referenced by Realestateweb in their articles: http://www.realestateweb.co.za/realestateweb/view/realestateweb/en/page206?oid=7871&sn=Detail

Anonymous said...

Thanks. Funnily enough it had absolutely no impact on the number of pageviews I get.