Real Estate Investor Magazine September 2024 Edition | Page 32
By Jason Lee
As worldwide economies and real estate markets slowly start to recover from a high inflationary and interest rate environment , there is a window of opportunity to explore value add real estate opportunities in South Africa .
Although there is no direct correlation , in high-interest rate environments cap rates for income producing properties tend to rise . When interest rates drop , cap rates tend to lower in line with these drops .
AIRBNB
Unlocking Potential :
Value-add Real Estate Opportun Africa amidst global market reco
By Jason Lee
As worldwide economies and real estate markets slowly start to recover from a high inflationary and interest rate environment , there is a window of opportunity to explore value add real estate opportunities in South Africa .
Although there is no direct correlation , in high-interest rate environments cap rates for income producing properties tend to rise . When interest rates drop , cap rates tend to lower in line with these drops .