"We are seeing a slow and steady recovery in both the residential and commercial property markets. High-end properties are great investments now due to the low interest rates. If one is able to get finance and has the appetite to grow one's portfolio with quality properties in reputable locations, the chances are that you will be able to find the right property for you on auction," says Lance Chalwin-Milton, joint MD.
"The great advantage of buying a property on auction is that one is able to commission an independent valuation of the property prior to the auction, so one knows in advance exactly what you are bidding for and what a fair price for the property is - there are no hidden downfalls."
During 2012, the house price index for medium-sized houses rose by 9.53% (3.57% in real terms), the highest year-on-year increase since February 2008, based on figures released by ABSA. House prices increased by 2.93% (1.63% in real terms) during the latest quarter.
In January 2013, the average price of small homes (80-140 sqm) was R789,400 the average price of medium-sized homes (141-220 sq. m) was R1,077,700 and the average price of large homes (221-400 sqm) was R1,592,800.
According to the FNB Valuers' Market Strength Index, recent relative market strength has been the result of the combination of positive residential demand growth as well as a little more constrained supply of residential stock on the market. Low interest rates also continue to support the property market, due to the affordability of mortgage finance, making property investment an attractive option.
Tomorrow, 19 June 2013 at 12pm, the company will be auctioning retail, commercial and a students' res at Summer Place, 69 Melville Road, Hyde Park.
For more information, go to www.highstreetauctions.com.
