Real Estate - Market Update
Category News
As we eagerly await the arrival of August, heralding as it does our approach to Spring, it feels like an appropriate time to reflect on our experiences in the Real Estate industry over the past several months.
COVID-19 has turned the world on its head and requires an extraordinary response from each of us, across all sectors of society. Our industry is not alone in needing to reinvent itself to accommodate the advanced Level 3 restrictions. In Real Estate, the typical Sunday Show Day at present is a thing of the past. No longer can we simply advertise where we will be and wait for our Buyers to arrive. The prohibition of Show Days, and the need to embrace the critical health and safety protocols required of us, represents our "new normal". We have had to think of new ways of doing business, while safeguarding our Sellers' and maintaining our Buyers' respective health, and interests.
Technology is a powerful ally during these unprecedented times, with our social media and online presence playing an increasingly important role in our business. During Lockdown we noticed a sharp increase in both interest and engagement levels across our social media and online platforms. While this has been on the decrease since Level 3, it remains higher than pre-COVID-19 levels. We have introduced videos for properties meeting certain criteria, and these are being well received by our client base, ensuring that when viewings for these properties are requested, the prospective Buyers already know something of what to expect.
The South African Reserve Bank has responded to the COVID-19 pandemic by reducing the repo rate 3 times since Lockdown began, and consumers are enjoying the benefit of the lowest interest rates available for over 50 years. We are seeing an uptick in bond applications, with Bond Originators reporting an overall increase in 100% bond applications and approvals. In some instances, it is now more affordable to repay your bond than to pay a rental to a Landlord. This has opened opportunities to first-time Buyers who previously would not have been able to purchase a property. Having said that, some Sellers are electing to rent their properties out rather than accept a reduced selling price. The impact of this is that there is somewhat of a "glut" in the rentals market right now.
Operating as we do in the upper echelons of the residential property market, there is abiding interest in our larger, more exclusive properties with us concluding a number of sizeable deals during and since the Lockdown period. We look forward to seeing how the remaining months of the year unfold and remain open to the need to reinvent ourselves as and when required. "Survival of the most adaptable" is our new reality.
At Hamilton's we provide distinct and specialised property services when managing your property portfolio, click here https://www.hamiltons.co.za/our-story/ to find out more about our story.
Read our previous article here: https://www.hamiltons.co.za/news/get-the-best-barista-experience/
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Contact Hamilton's Property Portfolio for all your buying or selling requirements:
Johannesburg (Head Office): 011 463 0155
Cape Town: 021 418-0328 or
Email to reception@hamiltons.co.za or admin@hamiltons.co.za
Author: Lisa