Dont wait to make your MOVE
Clever homebuyers know that timing is everything. Making your property move sooner rather than later may just put you in the pound seat.
Early bird catches the worm
David Britz, Operational Director at MSP, says that those buyers who purchase a property in a new development at the early stages are in the best position to secure a great deal. “New developments are usually launched at really good prices to attract the attention of potential buyers. Once these developments take off and gain momentum, the sale prices increase, stimulated by buyers’ demand.
“Buyers who get in first at new developments have the opportunity of choice between all the available units and can thus choose the best located units that will bring in optimal rental and resale value. In addition, people who buy from the developer, rather than resales, benefit from not having to pay transfer duty.”
From zero to hero
New developments also have an interesting influence on the area in which they are situated, notices David. “When a new development is introduced in a previously undeveloped area, it has a huge impact on the entire neighbourhood. The same is true of new developments in previously less desirable areas. New developments result in a commitment of homebuyers and financing companies to invest in an area and this will naturally stimulate positive growth in the entire neighbourhood.”
Estate living developments may have the following impact in an area:
- Renewal and revival in an existing area or the development of an entirely new neighbourhood.
- Good value for early investors.
- New facilities and amenities in a previously unserviced area.
- Improved security in the area.
- Additional sustainable development.
David continues: “MSP’s Buh-Rein Estate development in Cape Town is a good example of the positive impact a new housing estate can have on an entire area. We launched the new multi-faceted estate development, comprising 87 hectares, in February 2011. To date there are 1 627 completed homes and another 454 under construction in the estate. Entry-level property prices in the estate start from around R860 000 for an apartment, up to around R2,15m for a single residential home.
“Buh-Rein Estate has had a huge impact on the area. Apart from the development of new roads, transport and technology infrastructure, there are new shops and services, sports clubs, restaurants and garages. In our experience, over time new developments result in new playschools, schools, churches and medical services. So in fact, a new housing development helps establish an entirely new community and stimulates the local economy to create further value for landowners.
“Another positive effect of new developments in an area is that they’re usually planned with the latest technology and environmental considerations in place. Optic fibre cables are part of the start-up infrastructure so homes are technologically ready for the future. Environmental impact is limited with natural water wise green belts and water catchment areas, such as MSP’s Acorn Creek Lifestyle Estate development in Somerset West.
“At MSP we definitely recommend that homebuyers keep a keen eye out for new developments or new phase releases within existing housing estates, where good value can still be found,” concludes David.
Get in touch with MSP for more information on new developments that will move you.
Author: Multi Spectrum Property