INVEST
individuals who have also applied for the same have received them . This totals to about R33 billion correlation to asset value which is total of approximately half a trillion rand . This shows the banks ’ commitment to helping clients survive through covid . They came to the party ,” he adds .
According to Palmer , things are yet to become tense financially in the banks , landlords and tenants fraternity , as collections from banks and landlords will be intensified towards the end of this year , 2020 .
“ I think landlords are not going to be aligned with tenants and banks will start mounting pressure on their borrowers because they may have been good for a while with no gain , giving holidays for more than six months . I think this is going to be challenging for most players in this regard .
“ I ’ m also mainly concerned about SMMEs and property developers who may have retrenched staff and closed as a result of the pandemic . It is going to be quite hard for their businesses to pick up the pace from the losses they may have experienced due to the lockdown . Its going to be a hard time for them and the banks might not be able to keep providing and be the helping hand . It is going to be an impasse there ,” He adds .
Genuinely concerned about property prices and how the market is set , Palmer says generally people have been really distracted by the pandemic such that we may have turned a blind eye on the current economic status . He says we are being downgraded and the markets keep getting worse , He says he is overly concerned about property prices .
“ People should thread carefully post covid ,” He concludes .
Property Education
“ Do you want to be the passenger or the driver of your own car ? If you chose to be the passenger , you should know that you leave your fate on someone else and you will have to follow their lead as opposed to taking the steering wheel and lead your way .”
That is how important property education is for the property coach . Carlo Mariani believes that a bit of knowledge and education can allow one to beat the averages and go bigger .
He says It is especially important that people / investors keep cognisance of the fact that properties are worth a lot of money and that investing in this sector bears rewarding fruits . It can be even more rewarding when one invests now , because due to the pandemic a number of property sellers have been selling very far below market value .
“ 19 % of the people who are selling properties during this time are selling due to financial distress , and this should be taken advantage of . So , my advice to people who intend to buy and invest in property is that people should buy property below market value and make massive gains ,” He says .
Mariani says If you aren ’ t taking advantage of this then there definitely is something you are doing wrong .
This all translates and speaks to the understanding to market trends and being able to study the way in which the market goes . Real estate and property investing needs a bit of dedication and the time to well consume all these analyses especially during this difficult time .
It starts with telling yourself that you can do it , you can keep investing .
SOURCES FNB , TPN Credit Bureau , Paragon , ThePropertyCoach
SA Real Estate Investor Magazine SEPTEMBER / OCTOBER 2020 11