BUDGET GOOD NEWS FOR SA PROPERTY MARKET
THE NATIONAL Budget was good news for the property market, property companies said yesterday. Pam Golding Properties chief executive Dr Andrew Golding said the fact that no major tax increases and even personal income tax relief across the board was announced by Finance Minister Tito Mboweni, with the bulk going to taxpayers earning less than R500 000 a year, was good news for the property market. The further adjustment in transfer duty threshold was also a welcome move, he said. The threshold for transfer duty with zero duty payable was raised to R1 million or less, from R900 000. One of the primary beneficiaries of the Budget would be first-time home owners, he said. First-time buyers account for about half of all mortgages currently facilitated, but affordability had tended to dampen demand. “The 2020 Budget goes some way towards addressing this, by lifting the transfer threshold. The average price paid for a home by a first-time buyer broke the R1m barrier for the first time ever, at the beginning of the year – at R1 001 275 in January 2020,” Dr Golding said.