Roodepoort is the latest addition to the RealNet agency group's growing list of franchises across the West Rand.
Roodepoort is the latest addition to the RealNet agency group's growing list of franchises across the West Rand.The franchise rights have been awarded to experienced local agent and building expert JP Botha, who opened for business at the start of July.
Botha has 12 years' experience in the Roodepoort real estate market and his expertise is further enhanced by a long career in the building industry. He decided to open his own estate agency when the local RealNet franchise became available and says the group's ethos is a good fit with his own approach to real estate.
"RealNet's home-grown business solutions tailored specifically to the SA market are a big plus for property consumers as well as franchisees," he says.
The new franchise covers an extensive area that offers a wide variety of homes at prices to suit most pockets. Botha says townhouses and family homes priced at around R380 000 to R1 million are, however, currently most in demand.
"Roughly 90 percent of our current buyers are members of the emerging middle class and are upgrading from surrounding areas but affordability remains an issue as banks are very circumspect regarding credit. Buyers are thus targeting homes in the lower price ranges to qualify for home loans," he says.
Prices in areas south of Ontdekkers Road, such as Witpoortjie, Lindhaven and Groblersparkare particularly are attractive to new market entrants, while suburbs such as Helderkruin, Roodekrans, Wilropark (also known as ‘The Valley’) and Rangeview, north of Ontdekkers Rd, where prices range from around R1.4 million to more than R4 million, attract upmarket buyers who qualify for bigger loans.
Botha says demand for homes in the whole franchise area currently outstrips supply and buyers who don't find suitable homes to buy often rent in the interim. "This is boosting an already buoyant rental market, where prospective buyers who do not yet qualify for bonds also rent while saving up large enough deposits."
In this sector the biggest demand currently is for homes with monthly rentals of R3 500 to R9 000, although homes in areas such as Helderkruin are renting for R17 000 and even more per month. But in spite of a large pool of keen tenants, buy-to-let investment activity is currently low, which puts pressure on stock levels, he says.
Meanwhile, Botha says his extensive background in the building and renovation industry will allow him to offer sellers as well as buyers value-added services, such as advice on preparing properties for sale or on upgrading their new homes.
"Sellers or buyers can add substantially to the value of their properties by judicious renovation, without breaking the bank, and without locking up capital by over-capitalising for the relevant area."
