No need to panic about property investment

According to Berry Everitt, who is the CEO of Chas Everitt International property Group, you should be looking at property for sale in Boksburg and not be turned away by the technical recession.

When analysing the data that was released by Statistics South Africa in September, it was pointed out that although there were two consecutive periods of negative growth, the economy was actually heading in the right direction.

For this reason, Everitt says that in the current buyer’s market, investors should be ignoring negative sentiment and rather focus on snapping up properties while prices are at a reasonable rate.

“In property as in any other economic sector, following the crowd is a bad idea, because by the time general sentiment turns positive, prices will usually already be moving upwards quite rapidly and much of the opportunity to maximise gains will be lost,” he said.

Everitt was also optimistic that the turnaround could be closer than many people think. He believes that it could be just months away, and points to the fact that the 0.7% decline in the second quarter compared to the 2.6% decline in the first quarter is clear proof that the economy is improving, despite VAT and fuel price increases.

He also expects recovery to be aided by the recent foreign investments secured by President Ramaphosa when they start flowing into the country.

Another important stat that backs up Everitt’s claim is that the financial, real estate and business service sectors saw growth of 1.9% in the second quarter of the year. These sectors currently account for 20% of South Africa’s GDP.

With SA’s structural shortage of  square meterage, he also feels that the growing demand for rental properties will also play into the hands of investors who act now.