How to make your small rooms look larger.

It goes without saying that people prefer to get more for their money, more food, groceries, space, whatever.If you own a property that is on the small side this could be affecting your chances of getting your asking price.To be more specific if you are trying to sell a smaller property and the rooms actually look small it will be harder to get what you want out of the deal.

Here are a few tips to make those small rooms you have look bigger and more appealing to buyers.

1.Use Mirrors.Mirrors are an inexpensive way to “double” the size of any room.They come in all shapes and sizes and not only will they make a room look bigger they also make it look brighter.There have been some wonderful things achieved with large mirrors being placed on the wall opposite a sliding door that leads out to the garden.The mirror reflects the garden bringing it into the home creating a wonderful effect.

2.Keep it simple.Don’t allow a small room to appear cluttered, remove excessive ornaments or furnishings. If you let the room look busy people will think it’s bursting at the seams even though they only register a bed and a dressing table in the room.

3.Use lighter colours on your walls.This is to allow the room to appear as bright as possible.If you are a fan of blue or green go for it! Just don’t paint the entire room dark Hunters Green.Select a lighter shade of your favourite colour for the whole wall and use the darker shades to highlight certain aspects in the room, like the decorative trim.

4.Don’t use chunky overstuffed furnishings.These may be comfortable but they immediately draw attention to themselves and prevent the viewer from seeing the rest of the room.Use slimmer pieces that incorporate negative space into the design, like a chair with wooden slats for a backrest.This type of design makes it look as though there is more space in the room.

Smaller spaces make many people feel confined and uncomfortable, they may think you have overpriced your property, even if you have the square meters, simply because you didn’t pack away your collection of beer mugs with faces.

Is Real Estate for you?

I am sure that there are many people out there currently out there trying to figure out if they did the right thing when they got into the real estate market. The current housing market is rather dull and frustrating but you need to remember that ALL markets turn.

The only encouragement I can give is that you need to try to hold on to that property, now is not the time to sell, now is the time to buy. Obviously if you can not buy right now don’t, rather save your current property portfolio.

Most economists feel that the first half of 2009 might still be “bad” but then it is going to turn and we will all dance in the wonderfulness of real estate again. Until then we need to buckle up, stay strong and fight with every last breath.

Some people find me a bit over powering when I speak about real estate and wealth, the reason being is that I know I am right and I know most people can achieve this if they only decide to.

So come on, be positive and strong, tomorrow will be here quicker than you know.

House prices. Fall or rise?

Sellers are finding it more difficult to sell their houses in the current economic climate and it might not get any better for the first half of 2009. According to ABSA price growth will be negative the first half of the year, even if the interest rate comes down, because markets recover gradually.

There does seem to be a more positive outlook for some areas and price bands. According to Pam Golding Properties real estate below R 800 000 in Johannesburg east, Soweto, Pretoria and Midrand is expected to do well. The reason I think these properties will do better than others is because of the market they are aimed at. Even though prices are dropping and interest rates are high, there has to be first-time-buyers out there that can now afford to get their hands on real estate, maybe I am wrong. The other scenario could be that now that people are not buying property they need to rent. If you have investment properties in these areas you probably are making good rental income, this scenario is probably more likely than the first, what do you think?

The biggest problem for sellers in the current market is that they will not get their price, in fact, they will probably lose money. If you are thinking of selling your property maybe you should wait until the economic conditions improve, I know this isn’t always as easy as it sounds, but I still say try everything you can before selling.

Now if you are a buyer than take your time and do your research. If you buy right in the current market you will make a killing when the market turns. Don’t go on a spending spree and try to buy every property you can find but check what the historical trends are of the area you want to buy in. A little work now can save you lots of money later.

ABSA expects inflation and the interest rate to fall in 2009, this will definitely have a positive effect on the property market in 2010. So, if you can get into the market now do it.

Well let’s wait and see what happens this year, I like to think positive, what do you think?

Residential property out performs JSE!!!

In 2008 the residential property market outperformed the JSE listed commercial property funds. Even though we are experiencing the worst slump in 16 years, real estate is still one of the most “safe” investment vehicles.

Latest figures show that the share prices of the 22 property stocks that make up the JSE’s real estate sector fell by 15%. Others have fallen more than 30%.

The latest figures from ABSA show the the residential market is still growing, even though it is small. FNB also shows growth in the residential property market.

Some experts believe that we do need at least a 400 basis point interest rate drop before we will see an improvement in property value growth.

I guess we will have to wait and see.

Property buyers are changing.

I found interesting information regarding the South African property buyer’s profile. Apparently for the last years young, wealthy executives,  most from the financial sector – investment bankers, hedge fund and unit trust CEOs and financial counsellors were the ones buying up all the real estate and causing the prices to escalate.

Now that we are in a global economic crisis it seems that these buyers are disappearing. This is causing the real estate market to normalise to a more stable environment, which is good. A market that has stable growth will be much safer to invest in.

There is how-ever a catch. Even though we are seeing really affordable prices for real estate we will probably never see these prices again. I have noticed already that in this “Dooms Day World” we are living in at the moment where every second person shouts: “The end is here!!!” some areas property values are still going up.

If you are ever going to get in to the real estate market start planning now, get rid of unnecessary debt, make sure you can pay the bond and get in to real estate.

We love to hear your opinion so please comment and give us your view.

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