Not Selling? Drop The Price 1.5%!

Just got this in my email for this apartment:

Price Reduced by R 15 000 to R 935 000

I'm sure that 1.57% drop in asking price will really change peoples minds....

Update: And another - "Price Reduced by R 14 000 to R 985 000"

What's that.. 1.4% off? Be still my beating heart!

Sunday Open Thread

Just woke up from my Stormers-loss induced hangover. This is the Sunday Open Thread...

Ugliest House in Cape Town Still For Sale - Less R5 Million

The ugliest house in Cape Town is still for sale at R9 995 000. That's a R4 550 000 drop in price from R14 500 000 asking in April 2010. With that saved five bar you can buy yourself some taste.

PIC Syndications Looking Wobbly

After the pawpaw hit the fan with Sharemax it now looks like PIC Syndications is going the same way:

Property mogul Nic Georgiou has walked away from "guarantees" he supposedly made to thousands of investors in PIC Syndications.

For some time PIC Syndications, led by its apparent owner and CEO, Rikus Myburgh, and joint MDs, Ben van der Linde and Morkel Steyn, has been selling shares to investors with the assurance that their income and capital were "guaranteed".

Realestateweb and others have questioned this supposed guarantee, which was backed by Georgiou and his associated entities. We noted that while Georgiou appeared to be a wealthy businessman, his financial affairs are not open to public scrutiny. It was simply impossible for investors or their financial advisers to determine his net wealth - for all they knew, Georgiou could be mired in debt.

Saturday Open Thread

It's the Saturday Open Thread. This weeks topic: If you are buying now, what discount off the asking price should you be aiming for?

Sunday Open Thread

Too much sport, too many beers, too little time to post an open thread.

Saturday Open Thread - Stormers Vs Bulls

It's the Saturday Open thread. Here We Go Stormers!

Saturday Open Thread: SA Vs Inida Edition

It's the Saturday Open thread, but instead you should really be watching the cricket.

Rent Vs Buy: City Bowl - R1 000 000 Invested = 0% Return

Here's a 3 bedroomed 119m2 apartment in the City Bowl on sale for R2 100 000. That means with a 100% bond you can expect to pay R18 884/month.

It also rents for R9 500/month which also means you can expect to lose at least R9 394/month covering the difference between the rent and the bond payment. Take into account rates, levies and maintenance and you're probably losing well over R10 000 a month.

Let's take a look at the yield and payment graph and table:

Down Payment	Monthly Payment	Cash Flow	Annual Income	ROI	Cap. Appr. Required
R0	R18894.25	R-9394.25	R-112730.94		5.37%
R210000	R17004.82	R-7504.82	R-90057.85	-42.88%	4.29%
R420000	R15115.40	R-5615.40	R-67384.75	-16.04%	3.21%
R630000	R13225.97	R-3725.97	R-44711.66	-7.10%	2.13%
R840000	R11336.55	R-1836.55	R-22038.56	-2.62%	1.05%
R1050000	R9447.12	R52.88	R634.53	0.06%	-0.03%
R1260000	R7557.70	R1942.30	R23307.62	1.85%	-1.11%
R1470000	R5668.27	R3831.73	R45980.72	3.13%	-2.19%
R1680000	R3778.85	R5721.15	R68653.81	4.09%	-3.27%
R1890000	R1889.42	R7610.58	R91326.91	4.83%	-4.35%
R2100000	R-0.00	R9500.00	R114000.00	5.43%	-5.43%

Unless you put down at least a cool million you aren't breaking even on cash flow and paying in cash gets you 5.43% ROI. And that's before expenses are taken into account.

House Price Bubbles: Reality & Theory

Picture from House Price South Africa.

I've disabled comments here, click here to comment on House Price South Africa.

Saturday Open Thread

It's the Saturday Open Thread. This week's topic (not that you people ever follow it) is the 'renovation premium'.

Given a renovation that cost X how much more than X should you be expected to pay when buying a property that has been renovated by the previous owner.

Dear Agents: Please Try Harder - Show Houses

Reader KS writes:

Agents want to know why things aren't selling? Perhaps they should look at the effort they put into show houses. Supposedly it's the best way to sell a house but of the 4 show houses I went to on Sunday, 3 were staffed by house "sitters" who had no knowledge about the place. This was a typical conversation:

Me: How many metres under the roof
Sitter: Shoo... not sure... going to have to ask the agent cos he said the pamphlet was wrong...
Me: When was the kitchen renovated?
Sitter: Ja I don't know...
Me: How long has this been on the market?
Sitter: Can't say..
Me: Is there plumbing for a downstairs bathroom?
Sitter: *silence*

Agents, if you want to sell, then get off your asses and start sitting in show houses or at least put knowledgeable people in there not brain dead idiots. I don't have the time to come back during the week just to get answers. To quote Glengarryglenross: First prize is a cadillac, second prize is a set of steak knives, third prize is you're fired.

KS sent me a link to where that quote is from. Estate Agents should be watching it every day to pump themselves up.

Saturday Open Thread

It's the Satuday Open Thread!

Green Point: Asking Price Down R480 000

Back in Feb 2010 a 62m2 apartment in one77 Green Point had an asking price of R1 900 000. A year later a 61m2 apartment in the same block has an asking price of R1 420 000. That's nearly R500 000 down in asking price.

Saturday Open Thread - The Repo Rate: Going Up?

It's the Saturday Open Thread. This weeks topic: Interest Rates - Stable for 2011 or will we see a bump up in the Repo Rate before the end of the year?

Saturday Open Thread: Property Disasters

It's the Saturday Open Thread. This week's topic starter: Property Disasters - What do you know out there that have been utter real estate disasters. My contribution is Senator Park which still requires an armed guard when the landlords collect the rent.

Brooklyn: The Palms - Specuvestors Hoooooo!

Palm Springs is a newish development that was unfortunately built in Brooklyn. There are 354 units and of those 146 belong to a Trust, CC or (Pty) Ltd. Can you say 'specuvestor heaven'?

Reader JT writes:

Bought a unit here in 2008 to let it sleep for a few years for about R 450 000

Initial levy payable to Permanent Trust has now been increased by 50% from R 300 to R 502.

Reason for this is that they never accounted for the behaviour of the low budget/illegal immigrant/5 people in a single room scenario – not to mention the gym equipment being vandalised and communal areas falling apart.

I currently let my unit out for R 3200 a month

It was a bad choice as an investment – time will tell if it works out

So bought for R450 00 and currently reanting for R3 200 gross, with levies includes it's R2 700/month net.



If you bought it for cash you're earning 7% return. If you didn't put at least R150 000 down (that's a 33% deposit) you're losing money and judging by the way the levies are going up, will continue to lose money for a while.

However there seems to be a slight problem with the rates accounts. JT continues:

Turns out the developer never properly registered the units in individuals names – so the R 4000 in rates that I paid up to Feb last year to what I was told was my account is now frozen and I have to prove that I paid it.

I apparently have a new account that is in debt to the tune of R 4500 – but I have still to receive a rates statement.

Just a little legal note, if rates are not up to date the council will not issue a rates clearance certificate and no sale can proceed. If you need to sell you're going to have to get the bottom of that rates story.

Saturday Open Thread: Estate Agents

It's the Saturday Open Thead. This week's topic: "Estate Agents? Yeah! or Meh."

Vredehoek: Not Selling? Time To Raise The Price!

Reader KS writes:

This apartment has been on the market for at least a year at R1495000. Now it's asking price is R1535000. I guess when things aren't selling the logical plan of action is to raise the price R40 Gs.

Me thinks someone is trying to recoup some bond payments...

Saturday Open Thread - Other Cities

It's the Saturday open thread. This week's topic: What's happening in other cities? We're CT focused but if you're a reader in Jozi/Durbs/Bloom/PE let us know what's up!

Dear Agents: Please Try Harder - Woodstock

Modern Townhouse - Brand New

And from the ad:

BRAND NEW! Never been on the market.

Maybe it's never been on the market before because it hasn't been completed yet!

A New Blog To Follow

House Price South Africa

Some great graphs and insights on property and population growth.

Orangerie: You Just Lost A LOT Of Money

Back in 2008 you could buy off plan a 2 bed/2 bath 120m2 duplex at The Orangerie for between R3 100 000 and R3 500 000. Today you can pick one up for R2 650 000.

That's at least a R400 000 drop in capital value not to mention the potentially hundreds of thousands of Rands in bond payments.

And the scary thing is a couple months ago a similar unit was on the market for R2 300 000!

Update: A reader just sent me a link to the latest (dated 3 Jan 2011) price list for the Orangerie

Here's how the prices compare:

Unit	Initial Price	Jan 2011 Price
AG 3	R3,31,2000	R2,850,000
AG 9	R3,445,000	R2,850,000
AG 10	R3,275,000	R2,850,000
BG 3	R3,289,000	R2,850,000
BG 4	R3,312,000	R2,850,000
BG 13	R3,346,000	R2,850,000

If you bought off plan back in 2008 I hope you negotiated your purchase price down. Waaaaay down. Also good luck selling your unit in the near future while it competes with unsold developer stock.

Saturday Open Thread: Marcus Holds Repo Rate Steady

It's the Saturday open thread. This week's topic - The Reserve Bank held the repo rate steady. How long will they do so?

Saturday Open Thread: Asking Price Drops

This is the Saturday Open Thread! This weeks topic: After yesterdays R40m to R23m price drop post what's the biggest asking price drop you've seen?

For us it was this post when we saw an asking price drop R800 000 from R3.7m to R2.9m.

Biggest Asking Drop Ever?

REDUCED FROM R40M TO R 23,5M TO SELL IMMEDIATELY

That is if you believed it was worth 40 bar in the first place.

But if it's true... R17m off? 42% of the asking price? Yikes!

Saturday Open Thread

It's the Saturday Open Thread!

Saturday Open Thread: Nuwe Jaar!

It's the first open thread for 2011. Predictions anyone?

Rent Vs Buy: Tamboerskloof - An 'Asset' Shouldn't Cost You R9K/Month

So you're thinking of buying an investment property? How about this 3 bed apartment in sunny Tamboerskloof on the market for a mere R1 690 000 and luckily it's renting for R7 000/month till November 2011. Or rather it's renting for R7 000/month gross, take away rates and levies of R1100/month the net rental income is R5 900/month.

Now with a purchase price R1 690 000 your monthly payment on a 100% bond is R15 205/month (and that's with 30 year record low interest rates) and the difference between rental and bond payment is R9305/month, over 1.5 times the net rental. Added to that the transfer costs are R120 000, nearly 2 years (20 months to be exact) of net rental income!!!

Here's the yield and cash flow graphs:

Right so if you put down the entire R1.69 million you can look forward to a max ROI of 4.19%, a ROI you'd get if you dumped all your money into a transmission account. To break even on cashflow a deposit of over a R1 000 000 is needed. Even putting down a hefty 50% deposit still requires 1.21% capital appreciation to not lose any money.

Christmas Open Thread

It's Christmas and time for the Saturday Open Thread.

Dear Agents: Please Try Harder - Claremont

If you're selling a house with a pool, please make sure the picture you post of said pool actually looks like a pool and not a mosquito ridden swamp:

Stunning!

Camps Bay: Nothing Says Class Like a Chrome Pole

So I'm busy trawling through the latest property releases on the market and come across this stately Cape Dutch style mansion in Camps Bay (asking price only 25 bar).

That's it on the left, looks pretty classy eh? It looks refined, stately. Dare I say it looks decidedly old money in the middle of noveau riche Camps Bay. Any minute you expect a dude with a monocle to come sauntering out in a tweed jacket saying things like 'Pip pip cheerio' and 'Good help are so hard to find these days'.

And then I came across this picture:



Now unless my eyes are deceiving me in my old age, that is a stripper pole mounted on a fully mirrored base, conveniently placed in front of another massive mirror...

What the Frikkadel!?!?

Here's a tip to any potential buyers: take a portable UV lamp with you when you check out the place because it suddenly doesn't seem so classy anymore...

Dear Agents: Please Try Harder

Here's an ad for a 2 bed apartment somewhere in the City Bowl on sale for R699 000. Now the place looks pretty crap but that's besides the point. Let's look at the ad copy:

2 bedrooms, both with parquet floors and built-in-cupboards. Living room opens onto balcony with wonderful city, harbour views. Tiled kitchen, bathroom and living room. Currently tenanted until end of Dec 09. Perfect for 2010 rentals!

Notice that last two sentences that I highlighted? This place has been on Gumtree for at least a year but the ad has not changed. Is the flat still tenanted? Who knows! Who cares! That attention to detail on the agents part plus the fantastic photos in the ad just compels me to make an offer!

Saturday Open Thread: Kinders Van Die Wind..

It's the Saturday Open Thread! This weeks topic: Windiest suburb in Cape Town?

Milnerton? Vredehoek? Grassy Park?

Sea Point: 2 Years = R40 000 Appreciation

In Feb 2009 this 2 bed/90m2 apartment was asking R1 150 000. Just under 2 years later a 2/3 bed/110m2 apartment in the same block has an asking price of R1 195 000. That 1.5%/year capital appreciation is about what you'd earn with your money in a transmission account (and no levies!).

Saturday Open Thread

Like sands through the hourglass these are the Saturday Open Threads of our lives.

Bad Architecture: Sea Point

Regular Sea Point reader JP sent in a link to this monstrosity:


JP writes:

This... thing... is on the market for a cool 5 mil. And nothing says Espana (or is it Italia... I don't even think the building knows) than that sheet metal automated gate.

Remember folks: Bad architecture is a crime against your eyes.

Saturday Open Thread

It's the Saturday Open thread!

Protea North Wharf: You Just Lost A Lot Of Money

Are you in the market to lose R400 000 in capital value over two years? Are you interested in buying into a resale market that is so small it might as well not exist? Do you enjoy having 'administrative' fees chop 20% off your rental 'income'?

Then buying a room in a hotel is for you!

Take, for instance, the Protea North Wharf situated in sunny Cape Town. In 2008 a room was on the market for R2.2 million, today they're going for a steal at R1.8 million. And with an estimated R10 000 income (in 2008, before fees) you'll only be losing R6 000/month unless you put down at least a R700 000 deposit and that's at today's rock bottom interest rate.

FNB: Prices Are Still Weakening

The Times reports:

Average house price growth has continued to slow, according to the November FNB House Price Index released on Wednesday.

"The average house price growth slowdown continues, with the November FNB House Price Index recording a year-on-year rate of increase of 3.8 percent," said John Loos, FNB Home Loans strategist, in a statement.

Here's a lovely little snippet from later on

Loos warned that long term, a high household debt-to-disposable income ratio would hold back the residential housing market. In the second quarter of 2010, this ratio was 78 percent.

Payment on debt still accounts for nearly 80% of disposable income. That is horrendous.

Rent Vs Buy: Glencairn Heights

Here's a 3 bed/2 bath house in Glencairn Heights currently on the market for R2 100 000.

But why pay R20 000/month in bond payments when the same house is rented out at R7 500 (for another year). The difference between the net rental income (before expenses) is R11 394/month, about 150% of the rental itself. You need a 60% deposit to break even on cash flow and your max ROI is 4.29%. Take off rates, taxes, maintenance and the numbers get even worse.

Here's the yield graph:

Saturday Open Thread: Cape Town's Contribution To Ireland's Woes

So as I'm sure many of you are aware Ireland is in a little bit of trouble, thanks in part to the various dealings of it's banks who funded many property developments that went ka-blam.

Now I remember the early 2000's Cape Town was filled with talk of Irish money coming in and throwing up new developments all over the place.

The Cape Royale in Green Point for example was originally backed by some dodgy Irish Developer and was called The Clarendon, before the The Clarendon in London forced them to change their name.

I also suspect our favourite Sea Point development The Ballinrobe was funded by money from the Emerald Isle - Ballinrobe being an actual town in Ireland.

So collective brain, what other Cape Town developments were funded with Irish Euros.

Saturday Open Thread: Bad Architecture Is A Crime Against Your Eyes

It's time for the Saturday open thread. As a topic starter have a look at this photo of a serious contender for the new ugliest house in Cape Town:

It's like a castle and a warehouse had drunk sex and disowned the offspring.

Marcus Fires Another Bullet

The Reserve Bank cut the Repo Rate another 50 basis points to 5.5%. And despite interest rates now at 30 year record lows the property market is still a dog.

Saturday Open Thread

Todays conversation starter is on the proposed new Amalfi development in Mouille Point. From an email:

Which stupid (wealthy) person will pay 4.5m for a 100sq meters 1
bedroom apartment when the going rate for a fully furnished 2 bedroom
apartment in the best blocks beach road is only 10,000 per month!!

Add the 2500 per month levy to the 4.5m purchase price as well!!

What about parking bays ?

Never mind Amalfi... when are they going to start building on the open pit next door to Newport Deli?

Saturday Open Thread: Grand Slam Tour Kickoff Edition

It's the Saturday open thread!

Today's topic starter: Decent property journalism? Does it exist?

Update: Here's a comment I'd like to highlight:

When I was freelancing and trying to break into “real” journalism I suggested pieces on SA’s property bubble to several editors – partly inspired by the things I was reading on this blog. I quickly learned that was the best way to ensure they stopped replying to your emails.

We're Heading Back To Negativeland

According to the ABSA House Price Index:

Price growth in the value of middle-segment homes for which Absa approved mortgage finance (see explanatory notes) continued to slow down up to October this year. The growth in the weighted average nominal value of small, medium and large houses came to only 1% year-on-year (y/y) in October, bringing the average price of a middle segment house to R1 005 800. Revised price growth of 3% y/y was registered in September. On a month-on-month basis the average nominal value of middle-segment homes declined further in October, but the pace of monthly contractions slowed down somewhat over the past three months.

In real terms the average value of homes in the middle segment of the market was down by 0,2% y/y in September this year (up 1,9% y/y in August), based on consumer price inflation tapering off to 3,2% y/y in September from 3,5% y/y in August. The September year-on-year drop in real price levels was the first since November last year, with prices declining in real terms on a month-on-month basis since May this year.

And have a look at this graph:



If you've bought in 2009 you've been 'renting from the bank' (and paying 2x-3x the market rent at that) with no price appreciation since 2008 in real terms. In nominal terms you've been doing the same since 2009. Add bond costs on top of that and you've lost a lot of money in the last 2 years.

And all this is happening with 30-year record low interest rates.

Saturday Open Thread: Currie Cup Final Edition

WP You Lekka Ding!

Also: Just noticed a massive dump of property on the Atlantic Seaboard this week. Selling season is officially here.

Same House: R800 000 Price Difference

I know the property market is volatile and agents will differ on the selling price of a property but R800 000? Really?

Leapfrog - R2 950 000.

Ronnie Matthews - R3 750 000

Either that or there was a massive asking price drop and not everyone was informed.

From The Comments

Just attended an auctionalliance auction. 313 Empire went for 2.1m + fees. Originally sold for 3.4m in 2007. And that's an awesome flat...

Sunday Open Thread

It's the Sunday Open Thread!

Blast From The Absolute Past: Fernwood

Here's a 3 bed house for sale in Fernwood for R12.5 million. If anyone thinks the bubble is over, back in 2006 (seriously that's like the fourth article we ever wrote for this blog) it was on the market for R6.5 million.

Back in 2006 the going rent on this place was R16 000/month. I wonder if the rent it attains now will cover the R125 000/month bond payment?

Also... tweleve bar and only three bedrooms?

Saturday Open Thread

It's the Saturday Open Thread!

Saturday Open Thread: WP Vs Sharks Edition

It's the Saturday Open Thread. WP JOU LEKKER DING!

Parklands: Where House Prices Go To Die

Here's a bank repo property in Parklands with an asking price of R699 000. According to the ad in 2006 it sold for over a R1 000 000... Oh well... that's Parklands.

Saturday Open Thread

It's the regular Saturday Morning Opening Thread. This weeks conversation topic: One more interest rate cut? Yes/No?

Tuesday Open Thread

Sorry for the delay but I've been enjoying the fresh mountain air of the Drakensberg for the past 10 days. Normal posting will continue but here's an open thread anyway...

Saturday Open Thread

With 10 minutes to spare it's the Saturday Open Thread. This week's conversation starter: Shoddy building standards over the past 7 years.

Saturday Open Thread: Rate Cut Edition

The Reserve Bank cut the repo rate 50bps. That means property is going up right?

Saturday Open Thread

It's the Saturday Open Thread!

Sharemax About To Implode?

According to RealEstateWeb Sharemax have not made payments for August. If they implode expect half of Pretoria to go down with them.

Asking Prices Crater At The Orangerie

Remember back in the good old days when a 2 bed/2 bath at The Orangerie was on sale for R2 975 000? I guess the R2 300 000 they're asking for it now can't be too much of an encouraging sign for current owners.

The scary thing is waaaaay back in 2008 you couldn't find a flat with the same specs as the ones above (+- 120m2 2 bed/2 bath) for less than R3 100 000!

Saturday Open Thread

It's cold, it's rainy, it's the Saturday Open Thread. This weeks conversation starter: Double dip recession: Yea or Nay?

Saturday Open Thread: Sharemax or Ponzimax?

It's the Saturday Open Thread! This weekends reading: Realestateweb's (so far) 3 part series on the Sharemax Ponzi Scheme Property Syndication. It's nice to see actual journalism for a change from Realestateweb.

• Prakke takes issue with Sharemax valuator, auditor


• Sharemax MD starts "special project"


• Sharemax’s black hole syndications

Saturday Open Thread

It's the Saturday Open Thread!

Rent Vs Buy: Cape Town CBD

Here's a 1 bed apartment for sale in Long Street on the market for R1 195 000. It's tenanted till January 2011 at R4500/month. Rates and levies total R1441/month leaving a net rental of R3059/month. A 100% bond will require a monthly repayment of R11532/month meaning that the monthly shortfall is R8473/month, nearly 3 times the net rental! Here's the yield graph:

Down Payment	Monthly Payment	Cash Flow	Annual Income	ROI	Cap. Appr. Required
R0	R11532.01	R-8473.01	R-101676.10		8.51%
R119500	R10378.81	R-7319.81	R-87837.69	-73.50%	7.35%
R239000	R9225.61	R-6166.61	R-73999.28	-30.96%	6.19%
R358500	R8072.41	R-5013.41	R-60160.87	-16.78%	5.03%
R478000	R6919.21	R-3860.21	R-46322.46	-9.69%	3.88%
R597500	R5766.00	R-2707.00	R-32484.05	-5.44%	2.72%
R717000	R4612.80	R-1553.80	R-18645.64	-2.60%	1.56%
R836500	R3459.60	R-400.60	R-4807.23	-0.57%	0.40%
R956000	R2306.40	R752.60	R9031.18	0.94%	-0.76%
R1075500	R1153.20	R1905.80	R22869.59	2.13%	-1.91%
R1195000	R0.00	R3059.00	R36708.00	3.07%	-3.07%

Just to break even on cashflow will require a deposit of R878 000, over 70% of the selling price and paying full price in cash will get you a return on investment of 3%.

Saturday Open Thread

It's the Saturday Open Thread. This weeks topic to riff on: "Sunset Beach - Worse architecture or worst architecture?"

Saturday Open Thread

With an hour to spare it's the Saturday open thread.

Saturday Open Thread

It's the Saturday open thread!

Upper East Side: New Development, Same Old Problems

Upper East Side is a mixed development in Woodstock that was highly touted as a 'green building' and a leader in urban renewal. Reader GS sent us a link to a blog started by residents who chronicle it's slow descent into, as they describe it, 'An Urban Khayelitsha in the heart of Woodstock'. Here's a sample from their latest entry:

-The lift was in-operational last night and many of the tenants were yelling at each other banging on the steel doors to 'stop jamming the lift', it was kind of like a prison movie with people on several levels yelling and banging on the steel. I figured that it had to be construction workers, whom still bang on things past 5pm (despite the Body Corporate Rules), because it was on the 6th floor for over 15 minutes (this was the only operational lift) and the stairs were closed off. Then the lift zoomed down to the -1 floor without stopping anywhere else which I've discovered that you can only do with a builder key. It was strange though because it was at about 630pm and they should be cleared out the building each night at 5pm, but I think some of them live here now because they often are here way past hours.
-Though I'm all for getting along with all walks of life, it's kind of a nuisance when the construction workers try to pick you up in the mornings and in the evenings while they shower with the door open and strip down to their underwear in plain sight, and I'm really hoping the developer will perhaps tell them it's inappropriate to say 'Hey mommie' and 'hey girl' to residents, not to mention running around past my car while I'm unlocking the doors. So I've been parking in a different spot because it's actually quite scary as this is how I was hijacked once upon a time.
-Also, the lake that floods the parking lot every day is still a problem, but I have a SUV so I'm okay, but I'm surprised the developer hasn't sorted it out yet, it's kind of funny the residents here affectionately refer to as "Lake Victoria East", and then when it rains it's "Upper Victoria Falls", because it seriously comes down from the ceilings in the garage.

Follow the rest of the drama at Upper East Side Cape Town.

Saturday Open Thread

With 15 minutes to spare, it's the Saturday Open Thread!

Post World Cup Open Thread

The World Cup is for all intents and purposes over. It's time for the post-partum depression to kick in.

Saturday Open Thread

It's the Saturday Open Thread! Vamos Argentina!

Buy The Bachelor Pad, Get The Bachelor Car

Here's a 43m2 bachelor apartment for sale in the CBD for only R1 300 000. That's a bit steep for 43m2 right? Well to sweeten the deal the owner will throw in a used Mecedes SLK 350.

I guess he's trying to kill two depreciating assets with one stone....

Saturday Open Thread

It's time for the Saturday Open thread!

Saturday Open Thread

It's the Saturday Open thread!

Sunday Open Thread

Shooweee... with all the sport on the go I clean forgot the Saturday open thread...

Saturday Open Thread

The World Cup is 5 days away and it's time for the open thread!

Super 14 Final Saturday Open Thread

LET'S GO STORMERS LET'S GO!!!

And feel free to discuss and property news...

Saturday Open Thread - Stormers Vs Waratahs

It's Saturday, it's the open thread and if you'll excuse me I'm off to Newlands...

Saturday Open Thread - Stormers Vs Bulls

It's the Stormers Vs Bulls Saturday edition of the Open Thread!

Ballinrobe: Take The Fork Out! It's Back!

Much maligned (at least here) development The Ballinrobe in Sea Point seems to be back in action after construction stopped because they violated height restrictions. Sea Point reporter JP writes:

Drove past The Ballinrobe the other day and looks like building is back on. Guess the developers managed enough snot and trane to get City Council to retroactively approve their height restrictions.

This place was supposed to be finised over a year ago and now it looks like they're going to miss t he world cup tourists!

JP also sent a link to an ad from Ballinrobe on Gumtree. Read it and smell the desperation:

The developers are willing to combine Unit 103 and Unit 104 or Unit 104 & Unit 105 – Only possible with a full commitment from YOU!

Saturday Open Thread

It's the Saturday Open Thread!

Glencairn Heights: 18 Months Later, R290 000 Cheaper

Back in November 2008 this house in Glencairn Heights was on sale for R1 985 000, along with a used Land Rover as an incentive. 18 months later the same house is for sale for R1 695 000, although this time there's no car thrown in to sweeten the deal. I can't tell from the ad if it's still the original seller who couldn't sell the house and is now selling it R290 000 cheaper than they were asking 18 months ago or if it's the person who bought the house back then and now realises they're paying a massive bond and the days of 25% price growth they were pegging everything on are long gone and has decided to get rid of the albatross.

In this market either of those are feasible.

Saturday Open Thread

It's the Saturday open thread.

Saturday Open Thread - Cheese Edition

Nearly missed posting the open thread... that's what you get when you spend the day eating cheese washed down with copious amounts of Sauvingnon Blanc.

Ugliest House Ever Built In Cape Town Still For Sale

Who would've thought that the ugliest house ever built in Cape Town is still for sale at the bargain price of R14 500 000. This crime against your eyes has been on sale since at least August 2008. Buying this place will cost you not only a cool 14 bar but also your sense of style and the respect of your friends...

Saturday Open Thread

It's the Saturday Open thread...

Saturday Open Thread - End of Summer Edition

Folks, I'm calling it - Summer is over. Get ready for the wind and the rain. And an open thread!

Saturday Open Thread

It's the Saturday Open Thread!

Saturday Open Thread - Rate Cut Edition!

What effect will the 50bp rate cut have if any?

The Rockwell: You Just Lost A Lot of Money

In September 2007 a 1 bed apartment in the Rockwell had an asking price of R1 520 000.

2 1/2 years later a 1 bed apartment in the Rockwell has an asking price of R1 550 000.

I bet that R30 000 in capital appreciation really takes the sting off the R300 000+ in bond payments.

Your Architecture Is Bad - Crappy SA Architecture Blog

With the mad rush to throw up developments in the last couple of years there has been a rise in just some terrible architecture in South Africa. Luckily Your Architecture Is Bad is on the scene to document these crimes against your eyes. Check it out!

Ballinrobe: Why The Pawpaw Hit The Fan

Seems the developers decided to ignore height restrictions right before the Cape Town City Council decided to start cracking down on such offenders. Here's a comment from a previous thread:

So the developers are Irish and if they finish the building the top floor will contravene their zoning height restriction.

They started building the building too high.

Am pretty sure that the top floor is where all the cream is, so they are faced with some tough decisions...

Saturday Open Thread

It's the Saturday Open Thread!

Ballinrobe: Stopped Building, Still Selling

So the Ballinrobe stopped building a while ago but that hasn't stopped the developers trying to sell units. I guess the thing is basically built they have to complete it, so keep on selling...

Saturday Open Thread - Selling Season Wind Down

The summer selling season is winding down. Were sales targets met? Are there more Estate Agent culls on the horizon?

Defence Minister Stops Paying Bond On Unfinished Home

IOL Reports:

Defence Minister Lindiwe Sisulu stands to lose the luxury Sandton home she owns with her husband after failing to pay bond instalments and R160 000 worth of levies.

The former housing minister and her husband, Professor Rok Ajulu, borrowed almost R2-million to build the Riverclub, north of Joburg, house in 2004. Ajulu believes it's now worth over R3m.

Now the couple will have to launch a legal bid to keep the unit from going under the hammer at a public auction set down for March 23.

The Cape Times has learnt that, due to their bond account falling into arrears, Standard Bank turned to the courts to repossess the property.

Saturday Open Thread - New Developments

Yea or Nay? Personally I wouldn't touch anything built in the last seven years.

Saturday Open Thread - Eskom

So Eskom will be raising electricity tarriffs 25%. If you're an estate agent do you tell customers this is good for house prices or great for house prices?