PROPERTY NEWS - 'Buy low, sell high' is the goal for any successful investment, but predicting the ups and downs of market cycles can be challenging.
Property, in particular, is subject to a vast array of influencing factors, but industry experts believe learning to spot a few key indicators can significantly increase your chances of financial success.
“If you time your entry into a hotspot suburb well, catching the market as it hits its upswing, you can see strong growth over a relatively short space of time,” says Schalk van der Merwe, a Rawson Property Group franchisee. “This allows you to amass equity very quickly, which can then be used to expand your portfolio.”
Recognise the signs
In order to buy at the right time, however, you need to be able to recognise the signs of an area on the cusp of popularity. This, Van der Merwe says, requires a combination of a birds-eye view of the general property climate, as well as more detailed information on potential suburbs.
“If you look at national property trends at the moment, it’s clear that the market is slowing down, with average house price inflation at 5.2% as of August 2016,” he says. “Not all areas are being affected to such a great extent, however, and these are the spots investors are likely to be looking at in the near future.”
Recognise the signs
In order to buy at the right time, however, you need to be able to recognise the signs of an area on the cusp of popularity. This, Van der Merwe says, requires a combination of a birds-eye view of the general property climate, as well as more detailed information on potential suburbs.
“If you look at national property trends at the moment, it’s clear that the market is slowing down, with average house price inflation at 5.2% as of August 2016,” he says. “Not all areas are being affected to such a great extent, however, and these are the spots investors are likely to be looking at in the near future.”
