Get Ready For a Wild Ride

Welcome to 2018 and all of the surprises it has in store. Up to now, we have been in a depressed property market for several years. Prices in Randburg have barely kept pace with true inflation. But recent events strongly indicate things are about to change. As I predicted, Cyril Ramaphosa has become the head of the ANC. On the back of this news the rand has strengthened dramatically. I guess it is clear what overseas investors like to see. Now there are rumours that our current president is going to be told to vacate his office before the end of this month. If Zuma does do a Mugabe, and bows out, then this will trigger the beginning of a long-term upswing in the local property market. From my own experience I enjoyed the best December I have had for many years. As always, I asked my buyer's why they purchased at this time. Without exception they said they wanted to climb in before prices went up in the New Year. At the same time I have noticed a more flexible attitude from the banks. There was a time, not that long ago, when getting a one hundred percent bond was like winning the lottery. Well in the past three months I have had several clients get them. These events, combined with the pent up demand of people wanting to buy their first homes, leads me to believe we are about to witness a positive feedback loop that might just set records last seen in 2006 and 2007. We have been through such a long drought and now the heavens are about to open. Two areas I have my eye on this year are Jukskei Park for free hold, and Craigavon for sectional title. Jukskei Park, especially the streets closer to the Douglasdale side has limited turnover - but terrific upside in the long-term. Craighavon is a somewhat forgotten and still relatively affordable suburb on the doorstep of Fourways Mall. So fasten your seat belt and get ready for a wild ride.