Political outlook influencing property buyers, but negative attitudes not justified says Alexander

At the start of this year, Rowan Alexander, Director of Alexander Swart Property, said that a new confidence was evident in the Cape residential property market.  This he thought, was due to the perception amongst many South Africans, that they could see the way ahead in the political arena and believe that despite difficulties, 2019 will be better than last year and will usher in a perceptible improvement in the economy.

"In recent weeks," says Alexander, "this very encouraging optimism has been showing signs of waning.  The growing dismay about Eskom's almost incredible debt problems and the never-ending fresh revelations of the Zondo Commission, have led to the concern that corruption has become almost endemic in state bodies; and this has dampened consumer confidence."

"I and others, however believe that South Africans are too prone to overreact to daily news and this current negativity is unjustified.  

Those of us with long property experience, have learned that timidity can be costly, and the winners are those who continue to do business wherever the market finds itself.  We have time and again seen that property is cyclical, and in my view the current environment for buyers and investors could hardly be more favourable, and presents  great opportunities.  

Prices are more affordable than previously and banks are looking with increasing favour at bond applications."

"Equally important however, is the fact that behind the political frontlines we now have a growing band of leaders who are not only aware of the factors retarding our economy, but  are also prepared to put matters right.  Once the May election has been worked through, I think the property market will see increased activity.  Now therefore, is the time to buy and those who hold back, will, in my view, come to regret their hesitation."

For further information, please contact Rowan Alexander on 082 581 3116 or email  rowan@asproperty.co.za