New transfer duty threshold is good news

uring last week’s budget speech, finance minister

Tito Mboweni announced tax relief across the board, with the bulk going to taxpayers earning less than R500,000 a year.

Good news for the property market in particular is the adjustment of the threshold for transfer duty, with no duty payable on property priced R1m or less, says Pam Golding Property group CEO Andrew Golding (right).

The increase in the transfer duty threshold is an attractive incentive for first-time buyers and those seeking affordably priced homes – a key sector in the current market.

“It will help stimulate transactions in this price band, increasing volumes and creating a ripple effect across the market in general, which will in turn benefit government income generation,” says Golding.

He says the trend towards energy-saving features

Dwill gain momentum as homeowners across all sectors reduce their reliance on Eskom or even go off the grid to alleviate already tight budgets.

“This is becoming an economic imperative especially as the costs of such features become more accessible to a broader public. Developers and landlords will focus increasing attention on reducing municipal costs for services such as electricity and water as much as possible in order to make their offerings more appealing to tenants.”