Rentals still thrive
FOURWAYS - Landlords are capitalising on the current high rental demand.
Despite the fact that the interest rate is low, and it’s considered a favourable time to buy property, the criteria to obtain a bond remains tough and this drives the demand for rental accommodation.
Seeff’s offices in Gauteng reported an average growth in rental business of 31 percent for the period January to July 2013, with growth of up to 47 percent in Sandton, including the suburbs that are collectively known as Fourways.
Top-end rental payments are edging upwards and luxury homes are fetching prices of well over R50 000 per month.
Buying and renting both have pros and cons, although owning a property is undeniably one of the best assets. The reality is that ownership involves a big financial responsibility and many people are simply not ready for it.
Seeff Sandton’s Charles Vining said, “Rental rates here typically range from R5 000 per month for an entry-level apartment and up to R66 000 per month for luxury homes.”
Tracy Pugin, a Seeff Randburg rental licensee, said that rental stock in Randburg is so high in demand that there are about 20 applications from different people for every house or apartment that becomes available. “In the first seven months of this year we concluded close to 300 rental agreements. Randburg has become a very popular rental area for many reasons. Aside from having its own business hub and being close to places like Sandton and the Johannesburg CBD, it is also very affordable. One-bedroom apartments are available from R3500, while houses with three bedrooms can be rented from R8000 per month.’’
.
