Don’t miss op­por­tu­ni­ties now for 2010

Weekend Argus (Saturday Edition) - - PROPERTY -

AS EX­CITE­MENT mounts be­fore the 2010 Fifa World Cup, many home own­ers are ea­gerly an­tic­i­pat­ing the po­ten­tial in­come they may se­cure by rent­ing out their homes to soc­cer fans.

But, cau­tions Pam Gold­ing Prop­er­ties’ West­ern Cape rentals divi­sion, they must be care­ful not to jeop­ar­dise long-term rental agree­ments in ex­change for pos­si­bly scor­ing a quick re­turn over the short du­ra­tion of the tour­na­ment.

“It is still un­known just what the up­take of rental prop­er­ties or the rentals payable will be dur­ing the World Cup,” says PGP’s West­ern Cape rentals di­rec­tor, Dex­ter Leite.

“Many fans will be mov­ing be­tween cities to at­tend sev­eral matches, and may find it eas­ier to stay in ho­tels or ac­cred­ited B&Bs, which they can source eas­ily on­line through the of­fi­cial ac­com­mo­da­tion sup­plier, Match. There will, of course, be some fans who opt to base them­selves in a par­tic­u­lar city, and for whom rent­ing a prop­erty will in­deed be a bet­ter op­tion.

“But we would ad­vise home own­ers to pro­ceed with great cau­tion, as this mar­ket might not be as large as they ex­pect. It would be very short­sighted for home own­ers to turn down good long-term leases now, in the hopes of se­cur­ing ex­or­bi­tant rentals for the four weeks of the World Cup. They risk com­pet­ing against a po­ten­tial over­sup­ply of rental prop­er­ties, or en­coun­ter­ing price re­sis­tance from vis­i­tors, and may end up sit­ting with a va­cant prop­erty when they could have had a long-term ten­ant in place.”

Leite says there is much ac­tiv­ity in top-end At­lantic Seaboard rentals, and this is one area where the po­ten­tial for World Cup con­tracts is quite high.

“Your av­er­age foot­ball fan will al­ready have paid a lot of money for a long-haul flight to South Africa, and will prob­a­bly be looking for mod­er­ately-priced ac­com­mo­da­tion, pos­si­bly mov­ing be­tween a num­ber of dif­fer­ent cen­tres. How­ever, well­heeled clients or high-fly­ing in­ter­na­tional busi­ness trav­ellers may pre­fer to se­cure up­mar­ket bases for the du­ra­tion of the tour­na­ment, and pos­si­bly the weeks be­fore and af­ter.

“But again – al­though there is po­ten­tial for good rental re­turns for lux­ury homes – we ad­vise clients to take a long-term view, and not risk cur­rent deals for fu­ture short-term gains that may not ma­te­ri­alise.”

Leite says lux­ury homes on the At­lantic Seaboard are fetch­ing around R10 000 a room a month.

There is par­tic­u­lar de­mand from busi­ness­peo­ple re­lo­cat­ing to the Cape who wish to rent while they get a feel for the city and de­cide which sub­urb they would like to buy in.

PGP re­cently se­cured a long-term lease at R49 000 a month for a three­storey, four-bed­room home in Bantry Bay, with su­perb views, spa­cious en­ter­tain­ment ar­eas and a pool deck. It has been let to a fam­ily for 18 months.

“Al­though we wish own­ers ev­ery suc­cess in achiev­ing the best pos­si­ble re­turns, we say don’t miss other op­por­tu­ni­ties for a pos­si­ble short­term gain which is not guar­an­teed,” Leite said.

IDYL­LIC: The sunny pool deck and lovely ocean views are key fea­tures of this triple-storey, four-bed­room

home in Bantry Bay, which has re­cently been let by Pam Gold­ing

Prop­er­ties on an 18-month lease, at R49 000 a month.

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