Improving your chances of securing tenants
Buying property for sale in Limpopo can be a decent investment, but if you did so with the intention of renting it out, then you could find yourself in a tough situation currently. If you are struggling to find tenants, then take a look at the Atlantic Seaboard’s situation for some inspiration.
Property for sale in Limpopo can be a good investment when you have steady tenants, but in tough market conditions, you could quickly find yourself taking on added costs due to a vacant property.
The South African financial climate is certainly not bright and sunny at the moment, with the technical recession, soaring living costs, high petrol prices and a whole lot more forcing people to hide their wallets.
This has an impact on the property market, whether selling or renting, as people become very particular about what they choose to spend their money on, and one of the key factors that one should consider is price.
If you want a perfect example, all you need to do is cast your eyes to the Western Cape. The Atlantic Seaboard offers some of the most sought-after property in the country. Boasting beautiful views, quality property options and close proximity to the city, this area is normally in high demand.
However, stock started piling up at estate agencies recently for the first time in around 10 years, and landlords were sitting with investments that were sitting empty and starting to drain their bank accounts. Adjusting prices has now seen a positive step forward for many though.
Lisa Hendricks, a rental specialist at Lew Geffen Sotheby’s International Realty, said, “Owners are understandably frustrated that they cannot achieve the same rental prices they did last year, but they are starting to realise that the market isn’t bouncing back overnight and that it’s far more costly to have an empty property than a good tenant at a slightly lower rental.”
This lesson can be applied to property owners around the country though. Right now, it is more important to have steady tenants than squeeze out every penny. Be sure to thoroughly research the competition in your area, and adjust your prices to ensure that you catch the eye of cautious browsers.
