PROPERTY NEWS - Those who plan to buy a bigger property this year, shouldn’t delay, advises Berry Everitt, CEO of the Chas Everitt International property group. The South African property market is currently a sellers market, where there is more demand for property that can be supplied. If homeowners wait too long for this market to mature in order to make a bigger profit, they will also have to factor in the possibility that others have the same idea.  This could result in paying a lot more than originally expected for a newer, bigger home.

Property prices are forecast to rise by 6% this year, if this does in fact happen, the owner of a home worth R1 million property in Mossel Bay, for example, could get up to R60 000 more for by waiting a few months. However, if they plan to upgrade to a bigger or newer property that costs R1.5 million, whose owner decides to do the same, could result in the them R90 000 more for it by the time they are ready to buy.

As a sellers market is extremely competitive due to their being far more buyers than sellers, those looking to purchase property could have to pay a premium for their new home, if they wait too long. Brand new homes are around 30% more expensive than pre-owned homes, with building prices showing constant growth. With these facts in mind, the current property market reveals that the longer one waits, the more one pays.

While a new home may cost more to buy, they are expected to have less maintenance, or structural changes to account for than a pre-owned home. Whichever you decide to buy, each has its own pros and cons. The takeaway is to not delay more than necessary in order to get the best deal for both the home you’re selling and the home you’re buying.