Latest news with #R1.2m
The Citizen
4 days ago
- Business
- The Citizen
Look north for affordable Cape Town property under R1m
While much is made of the high property prices in Cape Town, there are in fact still many areas where you can purchase below R1m. Properties below R1.21m are also exempt from transfer duty, thus providing a considerable saving, especially for first home buyers, according to the Seeff Property Group. The northern suburbs of Cape Town is a great area to look for affordability, says Susan McCarthy, manager for Seeff Brackenfell. These neighbourhoods offer good access to transport networks, schools, and general amenities. This combines with the affordability factor, making it easier for first time buyers to get onto the property ladder, securing their own home, and building wealth. If at a later stage they need to move on to a bigger property, it always leaves the option to retain the property as an investment, given the high demand for rentals, or they could sell it at a profit to use as a deposit for their next property purchase. She says neighbourhoods such as Kraaifontein and Kuils River are a good choice for good value as you can find sectional title property in the R700,000 to R1.2m price range. In Eerste River for example, the new Chardonnay Court offers two bedroomed units with modern finishes, a solar geyser, private outdoor braai area, and a parking bay for just R949,900. It is also a neighbourhood with good amenities and access to major routes with transport such as buses, taxis, and a train station on hand. There are schools, shopping centres, medical care, places of worship, a police station, sport grounds and more. The area is popular with first-time buyers. Lightstone data shows that 37% of recent buyers are under 35-years, and a further 44% between 36-49 years. Property values increased by around 70% over the last ten years, with a significant growth spurt during the high-demand Covid boom period, thus making these a good investment. She says they are also great for rental investments. Overall, first home buyers make up a considerable portion of total home sales across the country. According to mortgage originator, ooba, there has been a slight uptick in first-time buying in the first quarter, accounting for some 46.5% of home loan applications. The survey also shows that favourable mortgage lending conditions continue to support first-time buyers, and most banks still offer full bonds to qualifying buyers, depending on the property. Young buyers are not only purchasing for their own use, but there is a growing appetite to invest in property for the rental market. Ooba for example also reported a significant rise in investment property applications from younger buyers, rising from around 3% in 2019 to 9% last year. Issued by Gina Meintjes
The Citizen
30-05-2025
- Automotive
- The Citizen
Limpopo Speaker denies R6m luxury car claims
POLOKWANE – Limpopo Legislature Speaker Dr Makoma Makurupetje has denied allegations of extravagant spending after media reports claimed that over R6m in public money was used to procure two luxury vehicles – one apparently for her personal use. In response to the claims, Makurupetje has called for a full investigation into the legislature's vehicle procurement practices. She rejected reports suggesting she bypassed National Treasury guidelines, which cap the cost of official vehicles at R1.2m. 'I was really shocked to hear that a vehicle was bought for me, and I deny the R6.5m expenditure,' she said. Makurupetje clarified that upon assuming office in June, the official vehicle used by her predecessor had already exceeded its mileage limit, and the deputy speaker's vehicle had been involved in an accident. As a result, a procurement process for new vehicles was already underway before she and her deputy took office. She disclosed that the vehicle assigned to her cost R1.4m, while a Mercedes-Benz purchased for the deputy speaker cost R1.5m. Although both figures exceed the Treasury cap, she explained that the purchases fall under the Financial Management of Parliament and Provincial Legislatures Act of 2009 and not the Public Finance Management Act (PFMA), which applies to other government entities. Makurupetje has ordered a detailed review to determine whether Treasury guidelines were breached. She also revealed that she recently learned of a third vehicle, which she has never seen. She is awaiting a full report from Legislature to clarify this issue. 'If it turns out that I was misled by the Secretary regarding the procurement of any vehicle, I will take decisive action,' she said. The Speaker also referred to ongoing forensic audits within the legislature, which were launched following the resignation of the chief financial officer and the suspension of another senior finance official. She suggested that the recent media reports may be linked to resistance to internal reforms underway in the legislature. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
Eyewitness News
14-05-2025
- General
- Eyewitness News
City of Cape Town to assist NGOs as winter sweeps in
CAPE TOWN - With winter on our doorstep, the City of Cape Town has reaffirmed its commitment to assist non-governmental organisations (NGOs) that provide shelter for people living on the street. It said its Winter Readiness Programme also allows shelters to apply for support like food parcels, toiletries, mattresses, and bedding. READ: CoCT commits to providing R1.2m worth of goods, services to shelters to assist homeless MMC for Community Services and Health, Francine Higham says, however, organisations must be registered as an NPO or a PBO (Public Benefit Organisation) to be eligible for the programme. She adds shelters like U-Turn Ministries, the Haven Night Shelter, and Mould Empower Serve (MES) are already part of its programme. "The city's safe spaces offer 1070 beds across the metro, and then we also partner with our NGOs like the Haven Night Shelters to offer additional beds. Haven Night shelter, as far as I'm aware, has just over 1400 beds, and we're working with them to add additional beds over the winter months."
TimesLIVE
12-05-2025
- Business
- TimesLIVE
Daybreak Foods CFO retracts his resignation
Daybreak Foods CFO Aubrey Dali has retracted his resignation and the board has accepted his decision. Dali will resume his duties effective immediately. The Sunday Times reported that Dali resigned last week with immediate effect after being stripped of his powers. It reported that Daybreak chairperson Bojane Segooa was pushing for the immediate payment of R1.2m in board fees. The newspaper reported that so desperate was Segooa for the payment on Wednesday, she stripped Dali of his powers to make payments and gave them to Hluphi Moatshe, the company's commercial financial manager, who paid the money and shared proof with the board members. Segooa then resigned with immediate effect. Dali, who opposed having his powers usurped, opted to resign, also with immediate effect. In a letter to staff on Monday, the board said after further discussions, Dali had decided to continue in his role. 'We value his contributions to our team and are confident that his return will bring stability and continuity to our financial management.'
The Citizen
09-05-2025
- Business
- The Citizen
Six ways young professionals can get ahead in the property market
You're never too young to invest in property, says Bradd Bendall, BetterBond's national head of sales. 'For young professionals with a stable income, age really is just a number when it comes to getting ahead in the property game.' Whether the plan is to invest in a rental property that will bring in additional income or to buy a starter home to secure a foothold in the property market, Bendall recommends six ways young buyers can confidently enter the property market. According to BetterBond's data for the 12 months ending January 2025, the average price of homes bought by buyers between the ages of 20 and 30 was R1.2m, up almost 6% on the previous year. This reflects Lightstone's findings that buyers under the age of 35 are paying more for their homes than in 2018. Seven years ago, only 29% of these buyers were spending between R1m and R3m on a property. Now, this has increased to 36% of young buyers. Buy with a friend or family member Even for young buyers with a good income, being able to share a bond with a friend or family member will help lighten the financial load, says Bendall. 'Paying half or a third of a bond can make investing in a property more accessible and appealing for a young professional.' However, he highlights the importance of setting up the appropriate agreements to ensure that everyone understands their financial responsibility. Each party on the bond agreement is responsible for the bond repayments, and if one person defaults, everyone is liable. 'With more than one income, joint buyers also have increased purchasing power,' adds Bendall. Keep below the threshold The transfer duty threshold increased by 10% to R1.21m from 1 April, meaning that buyers who apply for bonds of less than this amount will save on additional transfer duty costs, says Bendall. According to BetterBond's data for the 12 months ending January 2025, the average price of homes bought by buyers between the ages of 20 and 30 was R1.2m, up almost 6% on the previous year. 'With the new threshold, these buyers will save R3 300 in transfer duties if they buy for less than R1.21m.' Buy off-plan Another way for young buyers to secure property without having to factor in transfer duty costs is by buying off-plan in a new development. This means buying a property while it is still being developed. Not only does this save on upfront costs, but the new property will also increase in value when construction is complete, says Bendall. 'Many young professionals buy in new sectional title developments that offer lock-up-and-go convenience and minimal maintenance.' House hacking For those who want to spend a bit more on a larger property, it's possible to rent some rooms or parts of the home to generate a secondary or passive income to help cover the bond. Known as 'house hacking', this is a good way to generate an income from your home while you are living in it, explains Bendall. A property with a garden flat or a section of the home that has its own entrance would be a good option for a house hack. 'The objective is to generate rental income to cover as much of the bond as possible.' Once the bond is paid, you can move out and invest in a second property using the income generated by the first. Fix and flip Start your property mogul journey by buying a fixer-upper and selling it at a higher price to make a profit. Often, properties that need a bit of work sell at below asking price, says Bendall. 'But if you do your research and buy in an area where there is a demand for the type of property you have, once renovated it can be resold at a considerable profit.' This form of investment would most likely appeal to Gen-Z buyers (younger than 28) who want financial flexibility and short-term returns, says Bendall. Identify opportunities in areas sought after by families for schools, or in developments offering appealing lifestyle facilities that attract a particular segment of the market, he advises. 'Urbanisation is a significant factor driving homeownership currently,' says Bendall. 'Mixed-use developments, micro-apartments in city centres and sectional title properties close to transport or economic hubs are therefore evergreen investment options.' Work with the experts It is always advisable to work with a bond originator who will calculate how much you can afford, based on your unique financial circumstances. 'Young professionals can also use BetterBond's online calculators to work out what they can afford, how much they will spend on bond repayments and how much they need to save if they want to pay a deposit,' says Bendall. In some cases, banks may be open to lending above 100% of the property value, depending on the buyer's risk profile. This could help cover additional costs such as transfer duties or legal fees, making homeownership more accessible for young professionals. However, this type of financing is risk-based, so it's important to work with an expert to understand the implications. Bendall recommends applying for a bond pre-approval to get an idea of the recommended price range based on income and financial obligations. 'BetterBond doesn't charge for a pre-approval. In addition, it can be completed online and at any time, which is ideal for those who don't have the time to fill in multiple documents and submit them to various banks.' The pre-approval application will also speed up the bond application and increase the chances of bond approval. Since BetterBond applies to more than one bank, home loan consultants can negotiate a better rate concession based on the buyer's risk profile. 'The current approval rate for clients who pre-approved with BetterBond first is 95% of all applications submitted to the banks on their behalf,' says Bendall. 'This high approval rate motivates young buyers hoping to enter the property market as their professional careers gain momentum.' Issued by: Lia Mundell
