The rise of women buying property

ACCORDING to Lightstone data, many of the women buyers who own at least 60% of the country's residential housing stock are single.

In fact, more women bought property on their own between 2015 and 2020 than men or married couples, says Carl Coetzee, the chief executive of BetterBond.

Johannesburg-based Business Analyst and Property Investor Silindile Leseyane said statistics are showing that single women are the biggest property buying group at the moment.

“This is significant because women were not able to buy property in the past, and now the fact that women who are unmarried or single are able to buy speaks volumes. As women, in most cases, we are responsible for taking care of our children or having a home is important.

“The fact that they have overtaken our male counterparts speaks to the fact that women are taking property ownership seriously. The next step we need to get to is buying property that will generate income for you,” she said.

Buying property leaves you with a big asset or investment, said Leseyane.

“If you are single and unmarried, you need to make sure you protect your assets and think carefully about what it means for the property you own when you do get married.

“If you are married and want to buy more property, you also need to consider the impact this will have on your marriage and investment,” Leseyane said.

To rent or to buy?

According to Lesenyane, it is important to understand the implications of owning a property.

“There are upfront costs that you need to pay, bond registration fee, and transfer costs you need to consider.

“The upkeep of the property itself is something to think about, so committing to a property is a serious decision, which you don’t make overnight. Sometimes renting may also be a viable option depending on where you are financially,” she said.

Buying property in unconventional ways

While we are seeing women buying property more, there are unconventional ways of buying property, such as a property stokvel.

The culture of stokvels has been with black people for generations, and these informal saving schemes have helped brighten up the festive season with Christmas goodies over the years.

So how does a property stokvel work? Members contribute a monthly fee for a minimum of five years. Thereafter, they can either buy or build a house using the savings.

“A 20-year bond is one of the reasons people are hesitant to buy houses. They would rather rent, which is also not a wise move. They are trying to avoid a bond that comes back with huge interests,” said financial analyst Arlene-Isaacs Lowe.

Leseyane said research has shown that the average family in South Africa belongs to at least two stokvels.

“This could be for different reasons. Another interesting fact is that the average contribution for some of these stokvels is R1 250, which is a sizeable amount which could be used to start generating wealth and not just for short-term savings like some of the typical stokvels operate,” she said.