Real Estate Investor Magazine South Africa May/June 2019 | Page 7

EDITORIAL
JOHANN RUPERT
VIEW
The benefits of
an optimistic
approach
While markets are in a turmoil the world over, South
Africans are having to cope with the added burden of capital
erosion on their assets for a lot longer than expected - owing
to our struggling and mismanaged economy. Businesspeople
and investors are looking for new ways to survive and thrive
while searching for more profitable investment alternatives to
their current portfolios.
The benefits of staying small can sometimes be a path to
your success. Bigger business is not always better as you can
achieve more profit with better control and discipline by being
more agile. The bottom line is that the basic ways to making
money in real estate have not changed in centuries.
Historically, property has tended to yield solid returns over
the long term, from both the capital appreciation and rental
income perspectives. This is especially true if the property is
located in carefully selected destinations, where predictable
and sustained growth is likely. The theory is borne out by
the experience of investors who purchased apartments along
the Atlantic Coast in Cape Town over the past ten years, for
instance, as opposed to someone who acquired a commercial
building in downtown Johannesburg 20 years ago. Buyers for
the first time are starting to look elsewhere for the opportunity
to protect their capital and earn solid rental income on their
property investments.
Many investors are now looking abroad to get the same
returns. A number of countries offer attractive options for
investors who have the means to purchase property in Euros
or Dollars and achieve currency diversification. Largely based
on the returns that tourism brings, these property investment
options are in locations where international governments have
partnered with the private sector to develop residential and
hotel accommodation that meets the growing demands of the
tourist sectors.
REIM TV
@REIM_SA
However, back here in SA it seems that property industry
is struggling to keep growing and it is difficult to stay positive.
It was refreshing to see James Wilson, Founder and CEO of
Amdec Properties’, positive viewpoint on the future of SA
despite very challenging times for the industry. It is in times
like these that we must face up and learn from people like
this and pick up the pieces and move onto greater things. The
greatest business ideas and times in life can be born from
failure. As businessman Christo Wiese once told me, your
negativity does not help anybody while your positivity can be
contagious and help people around you.
There is no better alternative than optimism. It helps us see
new opportunities, learn from situations and keeps us moving
forward.
Successful investing.
NEALE PETERSEN
FOUNDER PUBLISHER
MAHATMA GANDHI
“
Your beliefs become your thoughts; Your
thoughts become your word; Your words
become your actions; Your actions become
your habits; Your habits become your values;
Your values become your destiny.
www.reimag.co.za
“
I
n tough times it can be very difficult to stay positive when
business and investments are not going your way and we
fail in our mission. Failure is not the end and can be the
start of something great.
RealEstateInvestorMagazine
SA Real Estate Investor Magazine MAY/JUNE 2019
5