PROPERTY FINANCE
As a Property
Practitioner your experience why would you advise a young person to own a property ?
When you look around , there is a lot of pain and suffering especially amongst young people . Young people want to get things done , they want growth , and they want to work . This is because they can see that unless they act their futures may be bleak . Therefore , without having huge capital to invest , owning a property could be one of the starting points to redeem one ’ s situation , and start to feel worthy , that you have acquired an asset that will grow . We know there are many broken families , and this had led to split family units , where young people have had to fend for themselves and rebuild , therefore property ownership starts to bring back that dignity and foundation to move forward and build for your own future . The greatest thing of all is the kind of drive that one observes in young people wanting to get things done , against all odds .
In terms of affordability , what are some of the available strategies that young people can look at in order to enable them to either buy or invest in property as whole ?
The pivotal point is the ‘ knowing ’ of what a young person stands for , what they want for their life , what they are willing to do that many young people are not willing to do . This would help craft the best strategy to pull some capital together to embark on the property investment or ownership journey . When one is clear , they become creative and they think objectively . There are many quick strategies that can be used like starting to consistently save a portion of their income towards a property acquisition , or ensure that their credit profile is attractive through having ‘ clean ’ debt , this means small debt that is well serviced and provides feedback about how the young person treats debt , it could also be looking at what property one wants to attain and for what purpose , then come together with like-minded people , not too many , to share the burden and co-own the property . For different individuals , one can think way beyond and get even more
46 JUNE 2022 SA Real Estate Investor Magazine