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 .

32 REI MAGAZINE SEPTEMBER 2024