An open thread by any other name would smell just as sweet...
17 comments:
Jules
said...
Here is a copy of an article on the Sunday Times website. Looks like prices are heading waaaaay south. C&P: The Lightstone annual national house price inflation dropped to -3.1% in January based on Deeds Office transactions, according to the latest Lightstone House Price index.
Extrapolating this forward to April based on mortgage applications during the interim period shows that house price inflation dropped further to -4.5% in April, said Lightstone.
Lightstone said that annualised national inflation (which looks at the most recent month’s inflation rate and converts it to an annual rate) showed that January inflation was -5.8%.
It said that this confirmed the view that the annual inflation rate would continue to fall in the months ahead.
It said that the biggest area of concern now appeared to be in the ’affordable’ segment for properties below 250,000 rand.
Annual inflation dropped from 18.6% in October 2008 to 4.4% in January.
In fact annualised monthly inflation in January in the low end segment was -28% which suggested prices were likely to come under immense pressure in the months ahead, said Lightstone.
I'd be interested to see the prices that people are getting at these rapid auctions compared to "market prices". Does anyone know anyone who knows anyone who could give us such information?
No I don't know what the closing prices are on the home auctions, but in general you will find that auctions can actually drive prices up. People sometimes get bidding fever. And if it's a slow day at the auction, then there will be a (high) reserve price to ensure that closing prices don't set a dangerous low level mark. The realtors wont shoot themselves in the foot. In fact they are hell-bent on keeping prices up. But at such high prices, they are making very little sales... if prices went down, say 20% or 30%, then at least there would be sales: estate agents would again be earning some commission. They need to realise that it's better to get a slice of something than nothing.
Fact is that the average person, earning an average income, no longer qualifies to afford an average home. Doesn't take a brain surgeon to see that pricing has lost touch with people's pockets! There are more homes than qualified buyers.
there is alot of comments being made on this pathetic website and others about how the market has dropped and all that shite.
there has never been a better time to invest in property now and the mere fact that interest rates are at a all time low indicates this.
You could buy property with a nett return of 10-12% per annum nowdays which would beat the banks interest rate given by the money market accounts by 50%. Its a no brainer.
Prices have stabilised yet there are alot of people, like the editor of this blog, who still punt what a shit buy property is. Its quite obvious that he cannot afford property and has no prospects of ever owning any so why would anyone want to listen to the crap that his says.
Property is a great wealth builder that has proven itself over time.
You need help... then again don't bother... just post here when your 10%-12% return turns into the lemon it's bound to become. I'm sure you'll find someone to take it off your balance sheet for a healthy discount.
Your 'obscure facts' as they are surrounded by profanity, clearly express your lack of real knowledge and an intellectual inability to express yourself properly.
This is rather tedious, but here goes....
"10%-12% returns?" where would that be and how does that project over the next 5 to 10 years? (You take a look at resource counters lately? Nah, I don't suppose you do)
"Prices have stabilised" G'an squire, pull the other one!
and of course the oft repeated greatest hidden secret... "Property is a great wealth builder that has proven itself over time"
UTINAM LOGICA FALSA TUAM PHILOSOPHIAM TOTAL SUFFODIANT!
Joe, I am also curious on how Annon gets to the 10% or 12% nett return based on current prices and possible rent.
And by the way, the notion that people on this site, who expect prices to fall, have no money is wrong. I, for example, have been working and investing in Toronto for several years. When I come back to Cape Town I will have around R2 million cash to buy a house.
It's not that I can't afford to buy: I can't afford to throw money away on an "asset" that is over priced.
To Anon that said "there has never been a better time to invest"... LOL I never knew we had estate agents and property developers on here LOL
Property is everything opposite to what you said you TART LOL
As a property owner myself, the facts are:
1. Property continues to fall every month (year on year) 2. Property market will still be in desperate mode for at least this whole year. I think we'd be lucky if 01 January 2010 comes and property is booming again! 3. Interest rates are doing NOTHING for the property market. People are using the excess cash to catch up on backdated payments from bonds to cars to clothing accounts and credit cards! And those that are debt free are saving in light of what the recession has taught us!!! 4. My point 1 above proves that property prices are far from stabilised!
Dont attack the owner of this blog for bringing people to the light! The light that property is NOT the all and end all of what people made it out to be over the past 6-8 years!!!
Errr... Anon: yes it's nice to own your own home, but is it not asking too much to want to buy a home at a fair price? Middle class property in Cape Town is over priced. Period.
If any of you clowns ever ventured away from your pc's and laptops and opened your eyes and curtains and went out to the real world, you will see that there is plenty of property being sold by sheriffs and auction houses that give in excess of 12% NETT RETURN per annum and thats in decent areas like Claremont, Plumstead and City bowl.
If you idiots still insist on buying the traditional way, then you obvioulsy wont get that return.
People like (cock)Sakkie Tshabala couldnt spot a good investment even if it banged his lard assed wife right next to him on his couch. But then on the other hand, working for the government leads to living in a square box too scared to think laterally.
It seems people like him think that if they repeatedly write something on this sorry excuse for a blog, it will come true.
There is oodles of money to be made in property at this point in time but it needs a bit of brain matter and some cash...something that you wind bags clearly dont have.
So stick to buying shares and antiques and leave the serious money making to people like us.
So long mofo's.... hope your wives lose some weight!!
Anon clearly has a few issues that need dealing with. May I suggest a good therapist to get you through this trying time while you make all this money while the rest of us are sent to the poor house for our stupidity and lack of taste in women what a dipshit!
LOL @ Anon! So I see that you take out your frustrations on your computer and the internet... cant make a sale these days, huh? LOL
Anon, no matter what you think or say, the people who really have the means to invest in MORE property have seen the light and and refuse to invest until affordability comes to the table.
Now if us blokes with the dough say this and think this, imagine how frustrating it is for the average, if not poor, Saffers out there?
R.I.P Anon! And refer to my previous points... all still valid, even a week later LOL
Judging by Sakkie's use of the owrd 'Saffers', i reckon this buffoon is overseas somewhere, most probably in London!
He is probably sitting there in a dead end job and living in a crowded council flat all because he couldnt cut it in South Africa and then gets off writing stupid remarks on this dead end website.
Well, for your info, with interest rates at 10%, the property market is set for another boom thanks to the fact that at that rate, it is cheaper to buy than to rent. All that is left now is for the banks to come to the party.
So you can sit there and cry each day about how unaffordable property is or you can invest now and reap the rewards in a few years.
But, judging by your constant use of teenager phraes like 'LOL', I doubt you have the brainpower nor the insight to make a informed decision on property so please spare us with your grade 10 business economics jibes and go back to stamping documents in the basement.
Anon, if I were you, I would also be ashamed to post my name on here... especially with that mentality LOL
Just for the record, lokal is mos lekker my broer... en ek is 'n lokal!!! :)
Anon, whatever will relieve you from not making any sales... let it out brother! Let it out... we are here to console you and the fact that your delusions will be be putting you out of a job in 3..2..1... now! :)
LOL LOL LOL Yes, you guessed it. I'm an advanced 5 year old learning to type... randomly LOL LOL LOL
Keep the the optimism... the property markets needs more than that, but its a start!
Hope you sell those 1 bedrooms in Gugulethu... its been on your book for like what? 18 months? And selling for R55k? You should think about setting up a stall at the train stations... Your R50 commission might just help pay off your internet bill for last month!!!
PS Tell me something... we got the first interest rate cut when? December 2008 was it? And we are still waiting for the effects to kick in?
PPS You obviously live in a bubble on Venus... with all the other ladies! Buying is cheaper than renting? Heres facts my broer:
Shutup dutchman. Anything you say and do in this country is meaningless as you are not welcome here. You have no right to talk as you are a foreigner. Go back to your country in europe and leave Africa for real Africans. You are racist and should be shippedback to your racist country!
17 comments:
Here is a copy of an article on the Sunday Times website. Looks like prices are heading waaaaay south.
C&P:
The Lightstone annual national house price inflation dropped to -3.1% in January based on Deeds Office transactions, according to the latest Lightstone House Price index.
Extrapolating this forward to April based on mortgage applications during the interim period shows that house price inflation dropped further to -4.5% in April, said Lightstone.
Lightstone said that annualised national inflation (which looks at the most recent month’s inflation rate and converts it to an annual rate) showed that January inflation was -5.8%.
It said that this confirmed the view that the annual inflation rate would continue to fall in the months ahead.
It said that the biggest area of concern now appeared to be in the ’affordable’ segment for properties below 250,000 rand.
Annual inflation dropped from 18.6% in October 2008 to 4.4% in January.
In fact annualised monthly inflation in January in the low end segment was -28% which suggested prices were likely to come under immense pressure in the months ahead, said Lightstone.
What do they call this? A buyers market? ;-)
I'd be interested to see the prices that people are getting at these rapid auctions compared to "market prices". Does anyone know anyone who knows anyone who could give us such information?
did anyone catch that game last night. what a nailbighter!
Hi Mr.G
No I don't know what the closing prices are on the home auctions, but in general you will find that auctions can actually drive prices up. People sometimes get bidding fever. And if it's a slow day at the auction, then there will be a (high) reserve price to ensure that closing prices don't set a dangerous low level mark. The realtors wont shoot themselves in the foot. In fact they are hell-bent on keeping prices up. But at such high prices, they are making very little sales... if prices went down, say 20% or 30%, then at least there would be sales: estate agents would again be earning some commission. They need to realise that it's better to get a slice of something than nothing.
Fact is that the average person, earning an average income, no longer qualifies to afford an average home. Doesn't take a brain surgeon to see that pricing has lost touch with people's pockets! There are more homes than qualified buyers.
there is alot of comments being made on this pathetic website and others about how the market has dropped and all that shite.
there has never been a better time to invest in property now and the mere fact that interest rates are at a all time low indicates this.
You could buy property with a nett return of 10-12% per annum nowdays which would beat the banks interest rate given by the money market accounts by 50%. Its a no brainer.
Prices have stabilised yet there are alot of people, like the editor of this blog, who still punt what a shit buy property is. Its quite obvious that he cannot afford property and has no prospects of ever owning any so why would anyone want to listen to the crap that his says.
Property is a great wealth builder that has proven itself over time.
Dear Anon,
You need help... then again don't bother... just post here when your 10%-12% return turns into the lemon it's bound to become. I'm sure you'll find someone to take it off your balance sheet for a healthy discount.
Your 'obscure facts' as they are surrounded by profanity, clearly express your lack of real knowledge and an intellectual inability to express yourself properly.
This is rather tedious, but here goes....
"10%-12% returns?" where would that be and how does that project over the next 5 to 10 years? (You take a look at resource counters lately? Nah, I don't suppose you do)
"Prices have stabilised" G'an squire, pull the other one!
and of course the oft repeated greatest hidden secret... "Property is a great wealth builder that has proven itself over time"
UTINAM LOGICA FALSA TUAM PHILOSOPHIAM TOTAL SUFFODIANT!
Joe, I am also curious on how Annon gets to the 10% or 12% nett return based on current prices and possible rent.
And by the way, the notion that people on this site, who expect prices to fall, have no money is wrong. I, for example, have been working and investing in Toronto for several years. When I come back to Cape Town I will have around R2 million cash to buy a house.
It's not that I can't afford to buy: I can't afford to throw money away on an "asset" that is over priced.
To Anon that said "there has never been a better time to invest"... LOL I never knew we had estate agents and property developers on here LOL
Property is everything opposite to what you said you TART LOL
As a property owner myself, the facts are:
1. Property continues to fall every month (year on year)
2. Property market will still be in desperate mode for at least this whole year. I think we'd be lucky if 01 January 2010 comes and property is booming again!
3. Interest rates are doing NOTHING for the property market. People are using the excess cash to catch up on backdated payments from bonds to cars to clothing accounts and credit cards! And those that are debt free are saving in light of what the recession has taught us!!!
4. My point 1 above proves that property prices are far from stabilised!
Dont attack the owner of this blog for bringing people to the light! The light that property is NOT the all and end all of what people made it out to be over the past 6-8 years!!!
Viva La Revolution!
there is nothing like having your own place so if you can afford to buy a property you really like, just do it.
Errr... Anon: yes it's nice to own your own home, but is it not asking too much to want to buy a home at a fair price?
Middle class property in Cape Town is over priced. Period.
If any of you clowns ever ventured away from your pc's and laptops and opened your eyes and curtains and went out to the real world, you will see that there is plenty of property being sold by sheriffs and auction houses that give in excess of 12% NETT RETURN per annum and thats in decent areas like Claremont, Plumstead and City bowl.
If you idiots still insist on buying the traditional way, then you obvioulsy wont get that return.
People like (cock)Sakkie Tshabala couldnt spot a good investment even if it banged his lard assed wife right next to him on his couch. But then on the other hand, working for the government leads to living in a square box too scared to think laterally.
It seems people like him think that if they repeatedly write something on this sorry excuse for a blog, it will come true.
There is oodles of money to be made in property at this point in time but it needs a bit of brain matter and some cash...something that you wind bags clearly dont have.
So stick to buying shares and antiques and leave the serious money making to people like us.
So long mofo's.... hope your wives lose some weight!!
Anon clearly has a few issues that need dealing with. May I suggest a good therapist to get you through this trying time while you make all this money while the rest of us are sent to the poor house for our stupidity and lack of taste in women
what a dipshit!
LOL @ Anon!
So I see that you take out your frustrations on your computer and the internet... cant make a sale these days, huh? LOL
Anon, no matter what you think or say, the people who really have the means to invest in MORE property have seen the light and and refuse to invest until affordability comes to the table.
Now if us blokes with the dough say this and think this, imagine how frustrating it is for the average, if not poor, Saffers out there?
R.I.P Anon! And refer to my previous points... all still valid, even a week later LOL
Judging by Sakkie's use of the owrd 'Saffers', i reckon this buffoon is overseas somewhere, most probably in London!
He is probably sitting there in a dead end job and living in a crowded council flat all because he couldnt cut it in South Africa and then gets off writing stupid remarks on this dead end website.
Well, for your info, with interest rates at 10%, the property market is set for another boom thanks to the fact that at that rate, it is cheaper to buy than to rent. All that is left now is for the banks to come to the party.
So you can sit there and cry each day about how unaffordable property is or you can invest now and reap the rewards in a few years.
But, judging by your constant use of teenager phraes like 'LOL', I doubt you have the brainpower nor the insight to make a informed decision on property so please spare us with your grade 10 business economics jibes and go back to stamping documents in the basement.
Anon, if I were you, I would also be ashamed to post my name on here... especially with that mentality LOL
Just for the record, lokal is mos lekker my broer... en ek is 'n lokal!!! :)
Anon, whatever will relieve you from not making any sales... let it out brother! Let it out... we are here to console you and the fact that your delusions will be be putting you out of a job in 3..2..1... now! :)
LOL LOL LOL Yes, you guessed it. I'm an advanced 5 year old learning to type... randomly LOL LOL LOL
Keep the the optimism... the property markets needs more than that, but its a start!
Hope you sell those 1 bedrooms in Gugulethu... its been on your book for like what? 18 months? And selling for R55k? You should think about setting up a stall at the train stations... Your R50 commission might just help pay off your internet bill for last month!!!
PS Tell me something... we got the first interest rate cut when? December 2008 was it? And we are still waiting for the effects to kick in?
PPS You obviously live in a bubble on Venus... with all the other ladies! Buying is cheaper than renting? Heres facts my broer:
Blouberg area: 2 bedroom, 1 bathroom, 1 designated parking:
Rent: +-R4,500 (max!!!)
Buy: +-R600k (reduced price). Repayments are R5,800 (at prime minus 2). Levies approx. R550. Rates approx. R250.
Lets see, R5800+R550+R250. Lets add electricity of R250. TOTAL TO BUY = R6850.
Um, rent is R4,500 boet!!! Buying is R6850!!! Go do the maths... oh, sorry, didn't mean to offend your (lack of) maths skills!
Shutup dutchman. Anything you say and do in this country is meaningless as you are not welcome here. You have no right to talk as you are a foreigner. Go back to your country in europe and leave Africa for real Africans. You are racist and should be shippedback to your racist country!
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