How debt can affect your property investments
After several years of sustained growth, the property market – both residential and commercial – has suffered severe losses as a result of the global economic downturn.
The global listed property sector has declined by about 43 percent over the past year. As a result, many investors are concerned about the state of their property investments.
Leverage – the use of borrowed money – can greatly influence the returns investors can expect from this asset class. But although leverage is a powerful tool when prices rise, it has the opposite effect when prices fall.
At the next series of meetings of the acsis/Personal Finance Financial Planning Club, Andre Stadler, the managing director of Catalyst Fund Managers, will explore the challenges and opportunities within property markets, and review how debt has contributed to performance.
Stadler’s presentation will cover the following:
The current fundamentals of the property sector;
The positive and negative effects of debt on a property investment;
Some rules for investing in property; and
How international developments affect South Africa.
Stadler has over 15 years’ investment and management experience in the property market.
The presentation will take place on Tuesday, August 18, at Belmont Square Conference Centre, Belmont Road, Rondebosch. To book, contact Michelle de Power on 021 670 7800 or email firstname.lastname@example.org
The meeting starts at 5.30pm for 6pm and ends at 7.10pm.
Members of the Financial Planning Institute pay R80 to attend. Non-members pay R125. Students and pensioners pay R75.
To book or register via the club’s website, go to fpclub.co.za