This is the time to get out of property investment in South Africa, rather invest in Australia where there is a continious growth in property prices.
Across SA, investors are moving distressed homes through the system far faster than lenders, according to Auction Alliance CEO Rael Levitt.
In areas such as Cape Town, Pretoria and Johannesburg's West Rand and East Rand, sale-in-execution speculators are offloading properties faster than ever.
South African consumer inflation accelerated more than expected in May, boosting chances the Reserve Bank might start lifting interest rates before the end of the year rather than early in 2012.
Government bond yields retreated, with the yield on the four-year issue rising to 7.49 percent from 7.445 percent prior to the release of the CPI numbers at 0800 GMT.
May inflation came in at 4.6 percent year-on-year from 4.2 percent in April, Statistics South Africa said, and also quickened to 0.5 percent month-on-month from 0.3 percent, the main drivers being accelerating food and fuel prices.
As yet, there has been little recovery within the housing market in 2011, with a decline in house price growth in real terms.
According to First National Bank, if one adjusts the average house price index with the Consumer Price Index, the April real house price growth rate remained negative to the tune of -2.4%, (CPI 4.2%).
Looking forward, if the residential market cannot achieve substantial house price growth after such a huge interest rate stimulus, a period of house price decline would be the likely outcome of a possible phase of interest rate hiking, or of slowing economic growth, or both.
Facebook entries claimed Perkins took sensitive data from Anne Porter.
"This is correct," said Porter. "Debbie Perkins did steal the database from Anne Porter Properties' Hout Bay office and installed it on a Lola Kramer Properties computer. On March 15, we obtained an Anton Piller order from the High Court in Cape Town to search the Lola Kramer Properties premises. The data was found during this search and deleted. The matter has been settled out of court."
Lola Kramer, however, hit back, saying Perkins was taught to manipulate the copyright of digital showhouse pictures while employed by Anne Porter.
"The dispute between the two companies has been settled, with no damages claimed," she said.
I'm interested to know what has been the tax effect in erroding wealth.
We seem to be taxed left right and centre these days. From personal income tax eroding how much you earn, to VAT increasing how much you spend. Not to mention transfer tax, capital gains, sin tax, etc. Was this the same in our parent's generation? Has it been adding to the fact that most people in our generation, earning a good salary, can't afford houses?
