Finding The Perfect Property To Rent Or Buy

Anyone who has ever house hunted will be familiar with the feeling of entering a property and just knowing that it is the perfect home for you; the feeling that this is 'the one'.

Even though instinct is an important contributing factor in a purchase decision, it's vital to try and remain objective in terms of the area in which the property is located. What might appear to be a dream home could suddenly become a white elephant in a declining neighbourhood.

In this situation, an experienced estate agent would be able to convey valuable information that would give a good indication of an area's prospects.

Steps to take
When looking for property in South Africa, it's best to begin by allocating a realistic budget and to stick to it without compromise. One often gets carried away by properties in higher price ranges and, for the most part, you'll only torment yourself by looking at them. Especially since the new National Credit Act (NCA) has come into play, it is even advisable to go as far and be pre-approved for a home loan before searching for your property. Although it may seem cumbersome, it does have its benefits as when you discover your dream home, you can tender your offer securely.

You should take your time when looking for that perfect property. Unless you're familiar with the area or suburb, it's worth visiting the properties you like on more than one occasion, and preferably in alternating weather conditions. To really discover any potential negative aspects regarding the house, shopping in winter is best. Converse with the locals and really ponder over whether you'd be happy living there.

If the potential property has any views, make sure that it will still be there in the future. Find out if any plans have been drafted for the area by visiting local authorities in the area or the town planners. In order to speed up the process it is recommended that a South African attorney is used.

The house itself
When finding that perfect property in South Africa you should always ensure that the building is structurally sound. For instance, ensure that there are no cracks in the walls and that the ceilings are not damaged in any way. Be on the lookout for damp spots and moisture as this could be due to a leak or rising damp.

In addition to this, confirm which fittings and fixtures are going to be sold with the property and if there are any defects that are not visible.

It is always advisable that you consult a specialist to conduct an inspection prior to you signing any documents. Not only will this give you peace of mind, but you can also make an informed decision about the offer you may make bearing in mind potential costs of repairing unseen faults.

What to look out for in an area
Potential changes in transport are at the top of the list of developments that can improve an area. This could range from a railway system, changes to a road system or even something as minor as alterations to a bus route.

Another significant element to be aware of is schools. To stay ahead of other buyers, look out for new schools opening up or schools that have recently undergone large improvements.

Regeneration of run-down areas also has remarkable affects on prices. So if you buy property in an area that is subject to regeneration you can be sure that the value of your property will increase dramatically over a short period of time.

Exercise vigilance and practicality
In order to really find that perfect property in South Africa you should be watchful of the properties and the area itself. Minor things like doors that have been freshly painted and streets that are litter free indicate that the people who live there consider their area a place worth looking after. This in turn is generally indicative of a safer investment opportunity.

Main streets can be rather revealing. Trendy bars, shops and a bookshop chain are all positive traits of an area and add value.

An increase of estate agencies in an area is another aspect to be aware of as it is a sign that professionals have spotted potential in an area. Perhaps the most prominent sign of all is that more people are relocating to this area and the supply of housing is running out.

A buyer can keep track of 'for sale' signs and check how fast houses are selling. A shortage of supply over a continual period displays that residents don't want to leave an area, and buyers will have to pay a premium to move in.

Obviously, at this point it may be too late as the area could have already become too expensive. The trick is to find signs of upgrading and improvement before everyone else sees the potential.

Last but not least
If you are looking for the perfect property, always bear in mind that it is wise to buy a lesser home in a superior area than a larger home in less affluent neighbourhood.

By doing so a buyer's risk is lessened and prospects for a good return on investment are improved.

Finally, buyers should ask for a comprehensive market analysis (CMA) on the property they are considering for purchase. This would comprise the area's sales history for the past few months and act as a good guideline in terms of its future prospects.