Perhaps you are thinking about selling your home but are not quite sure of the best way to do this? After all, you want maximum exposure for minimum input so you will likely be weighing up the options. Selling your home within a residential development takes a certain kind of agency – one that has intimate knowledge of the area, the estate and the kind of buyers who would be interested. Often, it is best to sell your home through the developer, like Devmco Group, who have their own in-house estate agency, Devmco Realty.
Estate agencies are professional organisations whose sole goal is to get your home sold for you. Agencies have the necessary tools and tech in place to make the sale of your home as smooth as possible. What’s more, is that agencies will have a database of buyers they can pitch the home to thereby helping to find a buyer in a much shorter timeframe.
An estate agent is already equipped with the knowledge and the skill needed to successfully sell your home. They will shoulder the lion’s share of the responsibilities and will do all the running around (that can take up valuable time). Estate agents are also adept at gauging a buyer’s interest in a property, as well as picking up on the subtle and unspoken cues which indicate a buyer may not like something. These are things that you may not pick up on.
An estate agent has a good in-depth knowledge of the area where your property is located and will therefore know what kind of price it can fetch. Sometimes you may pitch too high and miss out on a heap of interested buyers. An agency will always want to present your property in the most favourable way and will therefore highlight its best features and unique selling points. What you may think is a notable feature, may not be, and the estate agent will guide you on this.
When it comes to the administration and paperwork, your agent has got your back by taking care of all of this. What’s more is that the agent is suitably qualified and legally allowed to conduct the sale on your behalf. An agent is bound by the regulations of the Estate agencies Affairs Board (EAAB) and therefore has to ensure that he/she does what is legal and is best fiduciary practice in their capacity as an estate agent.
An estate agent will always provide honest and objective advice – they want to sell your home as much as you do. Your agent is your ally, and they are there to support you when it comes to the things you may not be familiar or comfortable with – especially the legal agreements. Estate agents are generally good with people, and are able to negotiate offers for you, in a professional, polite, and honest manner.
It pays off to list your home with an agency, like Devmco Realty, which has a good track record. Do some research to see what kind of homes the agency is selling and how successful they are at doing that
KZN is home to a number of key catalytic developments, one of which is the Sibaya Coastal Precinct. Its strategic placement on the North Coast of KZN has unlocked value for both property developers and homeowners. Due to the massive property value growth experienced within Sibaya, it has now become South Africa’s best performing residential precinct. The success of Sibaya’s placement is not only a result of its thoughtful, holistic design but also its placement within the province of KZN; which is fast becoming SA’s most investable province for a host of reasons.
Coastal property, like that in Sibaya will continue to grow in value. Using the nearby suburb of Umhlanga as an example, sea-facing homes have seen a sharp rise in the price-per-square-metre over the last decade. Much of this value is owed to placement and positioning, but there is also one key factor that adds massive value – infrastructure. Umhlanga’s value has steadily climbed over a fairly extended period, and its desirability has remained stable. Sibaya, however has set a new benchmark with 40% capital appreciation achieved in less than 5 years. Sibaya is vastly different in that it has been plotted, planned, and well designed to create value for its investors. Additionally, Sibaya’s infrastructure, for the most part, has been laid and upgraded by private developers like Devmco Group, in order to ensure uninterrupted services within the precinct. Sibaya’s strategic placement along the coastal side of the M4 draws on the best of KZN’s North Coast and is the golden key that unlocks true value.
Along with good infrastructure, Sibaya upholds a genuine sustainability ethos, seen through the 60% of undeveloped natural environment. With the value of natural assets, like those within Sibaya, being at the forefront of property development and urban planning, Sibaya’s 350-hectare coastal forest will lend even greater value to the homes within the precinct. Having a strict ‘no-development’ zone, the design of Sibaya recognises the importance of these natural areas, not only to property values but also to the long-term vision of a precinct that upholds sustainability and is future-proofed.
Running along a portion of one of Durban’s major highways, the M4, makes getting to and from Sibaya quick and easy. This is one of the factors which resonate deeply with buyers from Gauteng. For many, the commute between work and home takes up a fair portion of their day, and with that valuable time for business or leisure. The ease of commute is one of the lifestyle factors which adds value to an area like Sibaya. Another facet of accessibility is where schools are placed in relation to one’s home – just between Ballito and Umhlanga area host of the country’s top private schools operated by top education providers, which continue to attract people from all over Durban. Sibaya itself will also include a Curro school from Grade R to Matric, and a private university and modern student residences. This creates a development model is unseen in SA; the ability to live within a new, well-planned, holistic precinct which offers sea-facing homes, is secure and well-managed with a new, modern university within. In light of this, KZN is poised to set a new benchmark by offering students the chance to attend a top-class private university which is literally in walking distance from home. Furthermore, the proximity of the university to the various residential estates within Sibaya means that it will undoubtedly attract many more families from outside of KZN’s borders. Over the last 10 years, the corridor between Durban-Umhlanga-Ballito has experienced approximately R54 billion in wealth growth, which is largely owing to the influx of families into the region.
Business confidence and busy airports
King Shaka International Airport has become one of SA’s busiest airports. An easy 10-minute drive from Sibaya, the airport’s accessibility makes it ideal for those who commute in and out of the province for business purposes – you could touch down after a 55 minute flight from Joburg, walk off the plane, get in your car and be home within 20 minutes. Many families are choosing to semigrate to KZN for a host of reasons – from top schools and pleasant weather to less congestion and traffic, and also the chance to live a slower pace of life. Families from other provinces like Gauteng, have bought up property in Sibaya for primary residential use knowing that the proximity of the airport enables business travel to continue seamlessly.
Business confidence is not only an indicator of a growing regional economy, but also an indicator of where to invest. KZN is undergoing a huge transformation and is becoming the destination for business. Durban’s new CBD has established itself in Umhlanga Ridge, with the likes of Investec and Nedbank having set up there. Further north, the Dube Tradeport forms part of the growing Aerotropolis, which will link business, manufacturing, freight, and cargo together in one strategically planned region.
The volume of greenfield development taking place in KZN indicates the growth and desirability of the region. By way of its design, Sibaya has set a new regional and national benchmark for what a city of the future looks like. The Sibaya Coastal Precinct is one of the factors which makes KZN South Africa’s most investable province.
We had an exciting Q&A session today, and thank you to those of you who sent your questions through. If you were not able to join today’s session, here’s a quick recap of the highlights:
Watch the full session here:
We are facing an unprecedented time in South Africa and people are looking for something to hang their hopes on. Just last week Moody’s downgraded South Africa to sub-investment level while Fitch’s downgraded 5 of SA’s top banks to BB+. What does this mean for the average South African caught in the disarray of the ongoing COVID-19 crisis?
There were a few silver linings post-Budget Speech such as no increase in personal taxation, a lowered interest rate along with low oil prices globally (and the cascading benefits of that) and just recently, a debt reprieve, from banks and lenders, for consumers.
These unprecedented times are forcing the hand of the Government and we hope, with that, concrete solutions coming to fruition whether that be much needed fiscal reform in the likes of the recently announced Vulindlela Unit (established to spearhead structural reform), a reduced public sector wage bill or further interest rate cuts. The current COVID-19 crisis has certainly taken the foot off the gas when it comes to the great debate around State-owned Entities; perhaps Government may be forced to close down or at least, sell off some of these ailing SOE’s.
The COVID crisis has certainly shown the Government, private and public sectors can act cohesively and decisively however the real fruits of this labour will only be seen in time to come. The other glimmer of hope is that the collective efforts may pave the way forward for a broad-based, inclusive, accessible and feasible national healthcare system.
Investors have been pleasantly surprised by SA’s swift and decisive action in a bid to avert a potentially overwhelming health crisis – some say we have beat our European counterparts, who are now in the midst of an overwhelming health battle, to the mark.
Our immediate future is one of safeguarding South Africa from following the same harrowing COVID trajectory seen elsewhere. This means greater efforts are needed in it rolling out mass mobile testing and much-needed medical PPE. That aside, our long-term future will most certainly be about propping up our deflated economy once this is over and the individual South African will be wondering where to put his money right now, how to grow his wealth or how to safeguard it. Share markets are far too volatile with the megaliths, like Steinhoff and SASOL, having crumbled. What’s more is a return is not guaranteed and share value is beholden to forces beyond our borders. Buying shares requires a liquid cash investment which is something many just don’t have right now.
“People who were looking to move money offshore are now rethinking their moves and with that, will be looking for other investment vehicles within South Africa. Many people don’t have the appetite for risk that comes with investing in the stock market- especially older folks of retirement age, in fact many are likely to be actively minimising their exposure here.” Shares Charles Thompson, Director of Devmco Group.
Property has proved to be a stable asset in recent times, as Thompson explains: “At the moment banks are offering some loan and credit amnesty to people and there looks to be another interest rate drop on the cards, so conditions are good for lending or getting a home loan. There has been a lot of activity in what is deemed the affordable market- that is properties valued up to R3 million.”
The age old wisdom of ‘location, location, location’ still rings true and should be the first factor to consider when investing in property, especially locations that offer that blended lifestyle which seems to attracting the market more and more as time goes by.
“Location always comes first when deciding where to invest- freehold home prices are pretty much stagnant too and more than ever people are looking to get into estates and with so much available, and more coming onstream across the price range, people will have ultimate choice; therefore location is key.”
Property that is well located will see good capital growth and a potentially good rental return as well. Property priced at R2.5 million, with a 10% deposit can earn capital gains of 8% per annum and a potential 5-7% overall on the value of the entire asset, Thompson expands further, “Off-plan property is a good idea as the initial capital investment is low and the potential for growth on the market value of asset is there, especially between deposit and when you take transfer. Once your property deposit is paid you can have as much as 2 years of capital appreciation on your purchase without having to put down the full bond value.”
With another interest rate cut a possibility, Thompson believes there will be a spike in property acquisition and is bullish about the local property market, “Right now there is no safer investment option than property ; stocks are too volatile, and the global economy is not helping the stock markets either. In KZN we know that seaside homes hold their value, but one cannot overlook things like security, service infrastructure, roads and facilities and the value of a blended lifestyle or live-work-play lifestyle; to buyers these are now non-negotiable.”