Guiding consumers since 2009

Property market behind in townships

By Staff Writer
Despite South Africa's property market stabilising in metropolitan areas, the housing market in townships is lagging behind.

According to First National Bank's (FNB) township house-price index, in the fourth quarter of 2009 township house prices were down by 6.6% compared to the previous year and 2.9% on the third quarter of the same year. The index is based on transactions registered at the deeds office.

Here are some more facts:

  •  The average price of a township house is down from R268 021 in the fourth quarter of 2008 to R250 255 in 2009.
  • In contrast, the price of homes in more urban areas has increased by 0.1% compared to the third quarter of 2009 and the average price of a house in metropolitan areas is around R856 060.
  • The market's weak performance in townships is a vast contrast to that a few years ago when this market achieved growth of 38.1% in the fourth quarter of 2006.

Most people consider property to be a stable and good investment. Whether you are a first-time buyer looking to obtain your first home loan or whether you are remortgaging, it is always best to seek professional advice and shop around for the best deals. Buying a home is a big and life-changing decision.

If you already own a home and you are currently renting out your property, or you are considering doing so during the 2010 Soccer World Cup, one of your biggest concerns should be tenants wreaking havoc. Make sure you have the right type of insurance in order to save yourself some trouble just in case a football hooligan decide to take out his team's loss out on your couch.

Recent Articles

Featured New homeowner? Be aware of these extra expenses

You’ve overcome all the hurdles of buying a home. You’ve managed to pay your deposit and your closing payments, and now you’re a proud title deed holder. However, there are other expenses waiting around the corner. Are you prepared?

Your biggest credit conundrums – answered

Understanding your credit health is one of the most important factors in managing your finances. This is because it gives you insight into your debt, your borrowing ability, and your financial history. While many understand this, there are still many questions on how to do just that.

Avoid debt collectors, choose debt counselling

There are two things you can do when you are struggling to pay your debt. You can either let your creditors hand your debt over to debt collectors – or you can let debt counsellors help you deal with your debt.

Retail notes: easy investment option for new investors

Being a newbie in the world of investing can be challenging because you don’t know where and how to invest. With so many investment options, you could easily be befuddled. Justmoney looks at how retail notes can help you cut your teeth in the world of investing.   

Deals

Spur's South African Combo Special

Price: R80
When: Mondays
Where: Nationwide

Translux Student Discount

Price: Depends on destination
When: Daily
Where: Nationwide

Zimbali Senior Citizens Discount

Price: From R1342.00
When: Until 14 December 2019
Where: KwaZulu Natal