Demand for property to rent is experiencing a high, according to Harcourts S. A. CEO Richard Gray, with entry level property prices of R400,000 being out of reach of many young execs on the Western Cape.
With middle class customers paying from R750 000 to R1.6m for a family home, demand for property to rent is receiving attention from stockholders says Gray. "With rates remaining solidly low, mortgages are very cheap and who can afford a family home in a good area are finding that they can pay their investment off in 10 to 15 years on a property to lease, in contrast to 20 to 30 years. "
Gray comments that cost is an enormous issue, although not the only issue, "Many families with good incomes are in the market for property to lease for several reasons, work mobility is a good reason and , the need to get close to a good school is a different reason why people look for property to rent."
According to Gray, a normal family might have their own rental properties, and elect to lease rather than own their own family home. No matter what the reason that folk are taking a look at property to rent, Gray claims that there are is a huge demand for property to rent and that many of the tenants are in higher income bracket with stable employment.
"Landlords favour a tenant with stable employment and various social connections within a community, when it comes down to property to hire Harcourts has found that there is very rarely a problem with of middle revenue family houses. "
Harcourts S. A. offers a full property to rent service, from finding appropriate rental properties for financiers and landlords to purchase , matching tenants with the right property to rent, and a full rental service whereby the speculators relinquish the day by day administration issues to Harcourts.
Gray points towards the Cape West Coast as an example where speculators are currently grabbing property to rent due to the commercial development area (IDZ) at Saldanha being given the green light, "Over the next 20 years it is predicted that there will be an inflow of young qualified folk looking for higher density housing units due to employment opportunities arising from the IDZ. "
Gray says that the existing residential housing stock is also at capacity and there are opportunities for stockholders who are supplying property to rent in the way of family houses in the proximity of the IDZ,"In the short term quality properties across the sector will experience demand pressure, which is going to have an impact on price," concludes Gray.
With middle class customers paying from R750 000 to R1.6m for a family home, demand for property to rent is receiving attention from stockholders says Gray. "With rates remaining solidly low, mortgages are very cheap and who can afford a family home in a good area are finding that they can pay their investment off in 10 to 15 years on a property to lease, in contrast to 20 to 30 years. "
Gray comments that cost is an enormous issue, although not the only issue, "Many families with good incomes are in the market for property to lease for several reasons, work mobility is a good reason and , the need to get close to a good school is a different reason why people look for property to rent."
According to Gray, a normal family might have their own rental properties, and elect to lease rather than own their own family home. No matter what the reason that folk are taking a look at property to rent, Gray claims that there are is a huge demand for property to rent and that many of the tenants are in higher income bracket with stable employment.
"Landlords favour a tenant with stable employment and various social connections within a community, when it comes down to property to hire Harcourts has found that there is very rarely a problem with of middle revenue family houses. "
Harcourts S. A. offers a full property to rent service, from finding appropriate rental properties for financiers and landlords to purchase , matching tenants with the right property to rent, and a full rental service whereby the speculators relinquish the day by day administration issues to Harcourts.
Gray points towards the Cape West Coast as an example where speculators are currently grabbing property to rent due to the commercial development area (IDZ) at Saldanha being given the green light, "Over the next 20 years it is predicted that there will be an inflow of young qualified folk looking for higher density housing units due to employment opportunities arising from the IDZ. "
Gray says that the existing residential housing stock is also at capacity and there are opportunities for stockholders who are supplying property to rent in the way of family houses in the proximity of the IDZ,"In the short term quality properties across the sector will experience demand pressure, which is going to have an impact on price," concludes Gray.
About the Author:
Harcourts S. A. offer property for sale, property to rent,homes for sale, commercial leasing, rural property sales, lifestyle real estate and business for sale right across South Africa.
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