The opening of our new office at the Ballito Lifestyle Centre was a great success. The office will further entrench the Group as one of the KZN north coast's major property developers.

Simbithi Country Club was awarded the "5 Star Golf Experience" award by Compleat Golfer last week.

There are only 3 golf courses in KZN with this classification, being Durban Country Club, Zimbali and ourselves.

For more information on our new Clubhouse please visit www.simbithi.com

The inaugural Blythedale Coastal Resort Mountain Bike Challenge which took place on Valentine’s Day was a resounding success. More than 430 riders took part and were challenged to a diverse terrain which saw them riding through dense coastal forest, cane fields and a section of beach. Some of KwaZulu-Natal’s top riders were present as well as a team from the South African Rugby Legends Association. Riders could choose between the 40km and 19km route and there was a 6km fun race for children and the less energetic adults.

The course started at the Cane and Spoke mountain bike...

Seen on Property24.com


South Africa is the best performing housing market in the world over the longer term, latest figures from British news magazine The Economist reveal.

The magazine’s global house price index shows that SA house prices rose by a cumulative 418% over the past 12 years (1997 to 2009).

That far outstrips any of the other 20 housing markets tracked by the index. The next best performers were Australia, Britain and Spain with growth of 181%, 175% and 167% respectively over the same time.

The worst...

What is Capital Gains Tax?

Implemented on 1 October 2001, CGT is part of normal Income Tax and is the tax paid on the profits earned when you dispose of a capital asset. It is important to note that you only pay tax on the profits earned and not on the full amount of the sale. Your international as well as local assets are subject to CGT. Some assets are exempt from CGT and these include your primary residence. For purposes of this course, we will refer to the asset as property.

Who pays CGT?

 Resident individuals
...

FICA is a money laundering control system which stipulates that South African banks are now required to hold specific customer-related information before engaging in any sort of transaction or business relationship with them. The aim is to prevent criminals from gaining access to the banks’ various systems. It also helps to prevent identity theft and fraud. This applies to old and new customers.

So before going to the bank to apply for a new account or home loan, ensure that you have your identity documents and proof of residential address.

Playing the property game might seem like Greek from time to time, but actually, the principles are quite simple. We will be dedicating the next few weeks to uploading our Property Education Module which was written to demystify secrets of property investment onto our property investment blog. We hope this will empower you to get involved. Watch this space!!

What is the National Credit Act (NCA) all about?

The NCA came into effect on 1 June 2007 and is aimed at promoting the responsible granting of credit by regulating all credit transactions, including mortgages, credit cards, overdrafts, microloans and pawn broking transactions. It also regulates all institutions that provide credit.

When taking out a loan, you are now required to do an affordability calculation, taking into account all your expenses and financial commitments. This avoids over indebtedness by ensuring that you fully understand the risks and...

Simbithi Eco-Estate exceeded expectations once more by doubling sales in this year’s third quarter. The estate made 50 sales between July and September, twice its sales achievements in the second quarter and its total sales in 2008’s third quarter.

Mike Simpson, managing director of WBHO Property Developments, the developers of Simbithi said, “The estate’s success in the third quarter is a positive sign that the residential property market is no longer dipping and has stabilised.”

Simbithi’s sales trend is consistent with the FNB Residential Property...

“Relaxed lending criteria and a stronger rand should assist the ailing South African property market in making a turn for the better,” said eLan Property Group CEO Mark Taylor. Taylor’s comment surfaced following debate on whether or not the Reserve Bank will cut the interest rate again.

After seemingly closing shop on high loan to value mortgages over the past few months, the banks are casting the net wider and opening up origination channels for their clients. Standard Bank will now be offering clients up to 100% on deals less than R1, 5million. First National Bank is...

The exciting Confederations Cup was a very successful tournament both on the pitch (Bafana were superb) and off the pitch – and we also stamped our own soccer culture on the world’s mind with the noisy but effective vuvuzela’s and the distinctive miners hats with soccer designs (called Mkarapa’s) – now the country is starting to believe that we will really host a wonderful world cup!

Gary Bailey.

On the 23 July, Blythedale Coastal Resort won the Partnership award, the top award of the evening, at the 3rd First National Bank KZN Top Business Portfolio Awards. The resort is one of the most exciting in the country at the moment due to its resort status and ability to bring more than 1000 social and affordable housing units to KZN.

This award reflects the importance of effective public / private partnerships and was given to eLan, the Dube Community, iLembe District Municipality, the SA Department of Human Settlements, KwaDukuza Local Municipality, New Guelderland Sugar...

There have been rumbles that the economy seems to be picking up. Car sales are improving and property sales are beginning to increase. In the 2nd quarter of this year, Simbithi Eco-Estate accumulated 26 property sales making it one of the busiest selling estates in the country. However, things are still slow compared to a few years ago. This is what property journalist Ian Fife had to say about property market uncertainty:



“How do we deal with the market uncertainty? Through knowledge; by concentrating on the actual realities of the market that we operate in....

As a warm up the titan clash between the Lions and the Springboks, eLan treated SARU management to a leisurely cruise on the Spirit of eLan. Pictured here are; Thami Kamanga, Peter De Villiers, Mark Taylor, Dick Muir, Patrick Kleu and Gary Gold.

Rugby fever is in full swing and nothing could have prepared us for the thrill and excitement of Saturday’s first test match against the British and Irish Lions at Kings Park. The stadium was awash with red and given the stadium’s 50 000 people capacity, it was an indication of how many Lions supporters are in the country at present. I have spoken to many of these rugby crazed fans who have said so far they have thoroughly enjoyed South Africa’s warm climate and even warmer hospitality. These people will be ambassadors for South Africa and we need to send them home feeling warm and fuzzy...

Tourism development in South Africa is big news and government and the private sector are working closely together to make sure that it is done in a sustainable and profitable way. I was invited to speak at the African Renaissance festival about the impacts of developments such as Blythedale Coastal Resort working hand in hand with projects like King Shaka International Airport. In a nutshell, projects such as these will create ripple effects of progress throughout the province. International tourists by the million will be attracted to KZN’s shores bringing their foreign currency. Many of...

Simbithi Eco-Estate continues to lead the way for lifestyle estates on the North Coast. This is what resident Greg Swart, National Sales Manager of Quiksilver had to say about living there.

http://www.youtube.com/watch?v=sKSxxeaTiao

The landmark land claim resolution on Blythedale Coastal Resort made big news a few weeks ago. Please take a look at the SABC Morning Live clipping to find out more.

http://www.youtube.com/watch?v=_cJlJrGJo88

We are very excited to announce that the land claim on Blythedale Coastal Resort has been resolved and the development has been given the green light by the Regional Land Claims Commission. The final shareholders agreement was signed in February and all ancillary agreements to this were signed by all parties on Friday 6th March. There are no longer any suspensive conditions on the Resort and transfer of the development site is anticipated for the end of April.

We re-launched the development on Wednesday April 1 on the resort site. In attendance were Deputy President Baleka...

In the recent bi-annual Mastercard Worldwide Index of Consumer Confidence Survey, Durban was voted as the most optimistic city in South Africa.

The survey is based on answers to five key economic indicators, including employment, the economy, regular income, stock market and quality of life.

In terms of Durban the report said: “Durban remains extraordinarily upbeat in reporting an overall investor confidence of 89.6%. What is especially significant is that this is coming off the back of the recent recognition that Durban has built a good business platform and a...

As we forge ahead into the new year, construction on the King Shaka International Airport at La Mercy has changed up a few gears. What was once a building site surrounded by red earth, is now a growing hub of activity where the beginnings of this impressive aerotropolis can be seen. The first layer of asphalt on the runway is more than 50% complete. Civils work continues unabated in terms of the various taxiways. Work on the N2 access road and roads in the terminal precinct has progressed. The 55m concrete column, which houses the control tower, is complete and the main cabin section is...

Following the recent 1% interest rate cut, Andrew Thompson of the eLan Group had the following to say: "This is a real positive for the property market in general as it will provide some relief on consumer’s disposable income. If the first time estate living home buyer would like to invest wisely, they should be looking at the KZN North Coast. The second home buyer will re-emerge rather rapidly over the next year, looking for good returns building to and beyond the FIFA World Cup 2010."

According to the latest Rodes Report, Durban is the only city whose industrial rentals (21%) exceeded building cost inflation (12%). Durban has always had limited industrial property and due to its high demand, industrial property owners can ask for more rent from their tenants. If you would like to get into the industrial property market, I would suggest looking at areas that are about to become popular and develop there as the prices won’t be so high.

eLan has an industrial / commercial interest on the KZN North Coast. This area is bound to flourish with the pending King...

Many property experts (as well as me) are predicting that the property market will take a turn for the better in the latter half of this year. To prepare for this upturn, I suggest that those interested in getting into the market start doing their homework now. Start looking at your options, work out what you can comfortably afford and try and get into the market as soon as you detect an improvement. For the end-user, it’s all about the ability to hold as prices will start to rise the closer we get to the 2010 World Cup. The sooner you get into the market (while being able to hold on to...

During these changing times, it is now even more important to know an area before purchasing a property. To ensure the place you want to buy a property has growth potential, watch out for these signs:

1. A flurry of estate agents to a certain area means it has lots of potential. After all, estate agents won’t be selling houses in a place that doesn’t sell.

2. Building activity such as road works and house renovations also show increased interest in an area.

3. Large infrastructural changes like an airport add value to the surrounding areas. King...

A shaky global economy, less disposable income and socio-political insecurity are all expected to impact on South Africa in 2009. But the silver lining is that the interest rate has already come down by a half percent and is expected to come down further throughout the course of the year. This coupled together with lower fuel prices and the fact that South Africa is successfully weathering the global recession bodes well for a good year. Property is still a great investment. Remember to choose your price and property wisely!

Best Wishes for a prosperous 2009!!
Mark Taylor

I have just returned from a whirlwind trip to Sun City to watch the Nebank Million Dollar Challenge. It was inspiring to see so many people attending the tournament as predictions were, given the current economic climate, the tournament would not be as well supported as previous years. The forecast was wrong and people poured through the gates to catch their golfing heroes at play on what must be one of the world’s most pristine golf courses. The sun beat down on us during the day only to be disrupted by typical Highveld storms in the late afternoon. I could only imagine the extent the...

When buying a property, a transfer fee applied by the government is payable by you when the property is transferred into your name. The fee is based on the value of the land and building you have bought. It is charged on a sliding scale depending on the price of the property:

Legal entities (companies, close corporations and trusts)¬¬¬¬¬¬ pay a flat percentage of 8%.
Natural persons: 0% on purchases under R500k; 5% of the value above R500k for purchases between R 500K and R1m; R25k + 8% of the value above R1m for purchases over R1m.

Transfer fees do not...

When looking for a property bargain, you need to look at a variety of properties that suit your requirements. To do this you need to scour the papers and the internet and probably most importantly, talk to estate agents. These guys have all the local knowledge and are always looking for good deals. Lastly, speak to other investors who also might have some insider tips for you. This should give you an idea where the bargains are. Now that you have gathered the knowledge required for your house hunt, the next thing is to identify some properties and look at them individually. Good bargains...

I recently met up with successful American property investor Dolf de Roos who has given me a lot of insight into people and how they perceive the property game. I have been involved with property for so long now, that it’s almost as natural to me as breathing. However, many people would like to get involved in property but don’t know where to start. Furthermore, they think up all kinds of excuses not to take the plunge. Some of the most popular of these is: The prices are too high where I live, I can’t sleep at night if I have too much debt, I am too young, I am too old etc. The fact of the...

At eLan, we believe that South Africa is at the end of the recent downturn in the economy. We see inflation decreasing in the coming months and as a result, the interest rates will start coming down in the first quarter of 2009. In response to this, the property price growth will increase in the second half of 2009. With the ailing stock market, we have noticed an increased interest in property investment and foot traffic through our estates has increased two fold. This indicates that people are far more confident putting their money into something tangible like bricks and mortar during...

Despite a sluggish property market, Simbithi Eco-Estate is weathering the storm quite nicely. Foot traffic has increased dramatically since halfway through the year and we are looking forward to a further increase in the build up to the festive season. Properties of choice are still yielding nicely and sites that have been carefully chosen because they are tucked away in a quiet cul-de-sac or have a sea, forest or dam view are seeing the most growth. One of our sea view sites which was initially bought for R1, 1million was recently sold for R2, 1million. Not bad for the current market....

In 1995, developers and estate agents joined forces and started an initiative called SAPOMA (South African Property Overseas Marketing Association) which was the collective muscle of almost 30 developers and estate agents to market their products abroad. At our first property exhibition in London, many of the attendees were shocked at the amount of development happening in SA. I believe there is even more now but people are just not aware of it! In the run up to the 2010 Soccer World Cup, developers and estate agents in South Africa need to capitalise on the 2010 Soccer World Cup and make a...

Despite the globe being plunged into economic turmoil with governments in developed countries planning multi-billion dollar bail out plans for their ailing banks, South Africa continues to weather the storm. Yes, our currency has taken a knock and the JSE has seen a roller coaster ride of peaks and troughs in recent weeks, but the property market remains relatively steady. This indicates once again the longevity and stability of this asset class. Thanks to a constant interest rate and peaceful political changes, South Africa remains steadfast.

Listening to Dr Zweli Mkhize, speak at a business breakfast yesterday, I was buoyed by his inspirational speech on the current political landscape and its effect on business. As they are inter-related, Mkhize was at pains to alleviate any negative perceptions about business at the moment. With the launch of the 16500ha AmaZulu development yesterday, it seems that business is still booming. This development which will be located just north of the Tugela will have massive social and economic impacts on the province and the North Coast. We wish Ruwaad Holdings, the developers, every success in...

The recent change in the government in South Africa has brought about some exciting times! The split in the ANC has been apparent even in the local authorities which we experience at a development level. However, we are upbeat and confident about the future as the new cabinet are harnessing the skills that exist in South Africa and focusing on delivery!

Mark Taylor