Real Estate Investor Magazine South Africa Real Estate Investor Magazine - November 2017 | Page 6
Q&A
Property advice
Q
IZA ALBUTT
Marketing Manager at
Bridge Flow
What is Bridging Finance and how does it help me on
my property journey?
The process of applying for Bridging Fi-
nance is simple. You would fill in our forms
and return them to us with a copy of the
Agreement of Sale. Thereafter, we would
contact the transferring attorneys to get an
update from them. Our credit committee
then does “due diligence” and should all be
in order we then request an undertaking
from the transferring attorney. Once this
is received we are able to process payment.
Payments are express and money reflects in
your account immediately.
You can apply for bridging finance only
once the sale is deemed to be finalised; all
suspensive conditions met, all deposits paid
and guarantees in place for the balance of
purchase price.
In the event that you have net proceeds
after a property is sold and subsequently
transferred, you will qualify to bridge up to
80% of these proceeds prior to the actual
transfer date. Our payments are express, so
funds are available to you generally within
24 hours after approval.
You can use bridging finance for:
• Deposit on the purchase price of a new
property and moving costs
• Transfer duties and levies
• Outstanding rates and taxes
Q
I’m looking to extend my property portfolio, but am
cautious of investing in property in the current eco-
nomic climate. What makes a good investment?
SANDRA GORDON
Senior Research Analyst for
Pam Golding Properties
Transport cost and time spent in traffic
are major drivers in choosing a place to
live. Acquiring an apartment in a 24-hour
live, work, play precinct becomes highly
desirable. We are already seeing a growing
number of mixed-used developments in
sought-after metropolitan areas. The de-
velopment of transport corridors provides
easy access for businesses and residents,
thus having a positive impact on an area’s
property prices.
There’s also a marked increase in res-
idents looking to move into estates. The
most popular are those that, in addition
to security, also offer facilities like schools
and medical. While golf courses remain
popular, additional amenities and facilities
such as cycling tracks, equestrian facilities
and outdoor gymnasiums make them
Q
ANTON HARTMANN
HB Realty
ASK THE
EXPERTS
4
even more popular due to being more in-
clusive of the entire families’ needs.
The type of property most in-demand
in the residential sector, presenting sound
medium to long term investment options,
is sectional title. Rising utility costs and
the need for improved security is reinforc-
ing the desire to downsize and relocate to
low maintenance, conveniently located
apartments in suburbs. Also look out for
green and energy-saving features, as these
add to the appeal of a property to tenants
or future buyers.
Another option is student accomoda-
tion within close proximities to teritiary
institutions. Examples are converted
houses, let out per room and giving inves-
tors significantly greater returns.
Which trends in residential property are becoming in-
creasingly important to the consumer?
Location is always a major consideration
and ensuring amenities such as schools,
shopping centres, and recreational niceties
are key in attracting all types of tenant
interest. Security has always been an es-
sential feature but we are finding fibre
installation has become equally important.
We have found that by integrating the fi-
bre offering with security creates state of
the art security features without having
to solely rely on guarding man power. A
good example is Sandown Sentral devel-
opment in Sandown. Fibre is used for ac-
cess control and 24-hour off-site CCTV
monitoring and recording.
Do you have a property question you would like answered by our experts?
If so, post it on ASK THE EXPERTS on www.reimag.co.za or email
[email protected]
NOVEMBER 2017 SA Real Estate Investor Magazine