Consumer Protection Act will affect property marketers
http://www.iolproperty.co.za/roller/news/entry/consumer_protection_act_will_affect

Consumer Protection Act will affect property marketers

Another senior member of the Cape estate agency fraternity has found it necessary to warn staff that when the Consumer Protection Act comes into full force on 25th October this year, property marketers will find themselves “in a new ballpark”.

Talking to all Greeff Properties agents, Simon Raab, Southern Suburbs manager, warned them that, as the aim of the new Act is to promote a fairer, more accessible and more sustainable marketplace in which the less well informed and less educated clients are better protected, they (the agent) will have to take it upon themselves to ensure that sellers and, more particularly, buyers, have fully understood the meaning of the wording and legal effect of such wording contained within all mandate agreements and contracts into which they have entered.

(via Instapaper)

Posted via email from SA Home Loan News

Residential property fund on cards
http://www.property24.com/articles/residential-property-fund-on-cards/11972

Investors will soon have the opportunity to gain exposure to the residential property market without the hassle and risk often associated with direct buy-to-let investments.

Pam Golding Properties (PGP), boutique financial services company Stone Edge Capital and property management group JHI have recently created a joint venture with the aim to establish the first housing fund of its kind in South Africa. The fund, which will be structured as an unlisted variable loan stock company and known as Stone Edge Property Fund, is likely to be up and running within the next three months.

Posted via email from SA Home Loan News

Mortgage guarantee fund ‘liberates’ buyers
http://www.iolproperty.co.za/roller/news/entry/mortgage_guarantee_fund_liberates_buyers

Developers should be jumping for joy at the prospect of thousands of new home buyers recently “liberated” by the introduction of a state mortgage guarantee fund, says RealNet chief executive Tjaart van der Walt.

“The fund is specifically intended to give the banks more confidence about granting home loans to people earning R3 500 to R9 000 a month – and there are thousands of salary-earners, such as police, teachers and nurses in this bracket who were previously shut out of the market.

“However, there is a limited amount of stock available that would be affordable for such buyers and that should spur developers into action. At current interest rates, people earning R3 500 a month, for example, could probably only afford bonds of around R108 000. Assuming they pay a 10 percent deposit, that would mean they could possibly buy properties costing around R118 000.”

(via Instapaper)

Posted via email from SA Home Loan News