If you own residential property, it may be best to hang on to it. This was the common consensus of leaders in the property industry when interviewed by MoneyWeb in early 2012. Rael Levitt, CEO of Auction Alliance in 2011 warned of a stagnated property market and a significant drop in the selling prices of residential properties on auction. Auction Alliance is one of the largest property auctioneers in South Africa and handled the sale of nearly 5000 properties in 2011, and yet Levitt noted, there had been a decrease in successful sales from 67% down to 63%.
Despite the dip in selling prices of residential properties, Levitt was excited by the growth in demand and selling price of commercial properties. The market for medium sized established commercial properties looks set to grow beyond market expectation in the next two years. Prime residential property will suffer the most; investment coming mostly from abroad and the demand slowly declining due to the global recession.
To read the entire article – http://www.moneyweb.co.za/moneyweb-property/how-successful-is-selling-your-property-on-auction?sn=2009+Detail