Help build awareness - The Financial Blogosphere

I came across a unique and very different site the other day! It's a Financial Blogosphere Site. The sites and the posts are hand picked and the top 10 posts from every BLOG are personally added to the sites reader.

It's relatively new so it has a couple of features that could do with some fixing up, but try it out folks, it's great, and a lovely resource for all.

Congrats guys, it's always nice to know that there are people out there, willing to help clean up the Blogosphere!

Check it out, it's definately worth it http://www.ourcommunitypower.org/blogreader/is.php

WizardMan Out!

South African Property Neighbourhood Watch - Property Blogging

VIVA THE BOKKE & FORZA FERRARI! Sorry, I've been screaming that for the last two days so I needed to post my joy online for all to see! What a weekend for sport and nerves, in fact it was so good I've woken up happy and smiling and ready for work on a Monday. Let me tell you, that doesn't happen too often! Anyways, well done John Smit and well done Kimi Raikonnen. Two new world champions crowned in one weekend...

Moving on, I've had quite a few requests from international readers to start writing posts about the suburbs in South Africa and it's surrounding regions. People say that it's the one thing that's lacking on the web and in South African sites. I did some searching on the net and it's true, if you search for suburbs and for real estate investing in South Africa there's nothing. So how are international investors meant to know what the good area's the not so good area's and the up and coming area's in South Africa are...

Think about it, if you're relocating, what questions do you ask.
Things to do while in town!
Things to consider when moving to town!
With 50% - 60% of the market that's currently buying being Internet savvy, it's an area that's missing. So I'm going to try start and trend and hopefully all you real estate and property bloggers in South Africa will help me out!

So it's going to be the start of a new series of BLOGGING articles called "South African Property Neighbourhood Watch". Stay tuned, it's going to be a thriller!

WizardMan Out!

3 ways to save on agent commissions

You want more cash in your pocket at the end of the day! So where can you save money when purchasing or selling your property! Lets start with 3 methods to cut costs when using estate agents.

Gone should be days of paying 7% commission to agents. It's firstly a rip off and secondly it's costing you a fortune! Well lets show you how to save some cash.

• Negotiating down your agent's cut


• For Sale by Owner - Private property sales


• Going "HANS" Solo

Negotiating down your agents fee's
Most real estate agents take a commission of roughly 2.5% to 3%. Their total cost anywhere between 6% and 8% of which the difference is paid out to the companies and parties involved in the sale. RIP OFF! However as more and more smaller agents and online businesses start coming into the fold real estate agents are becoming more and more susceptible to discount "chat". Taking reductions in their commissions. After all, we know they're earning too much money, lets take some of that cash back.

• To get that commission reduced: Ask a couple of agents in the area for a estimate of what the current property rates are in the area


• Chat to each agent, control the meetings you have with them as they're known for putting you on the spot even though it's your place you're trying to sell. Tell them how much you are expecting to make from the sale of the house and ask if they will lower their commission to the percentage you want. Even if it's 1% commission drop, you're saving alot of money.

Remember, if your house is in the upper end of the market, you're going to stand a better chance and you might be able to get a good 2% or 3% drop in commission rates.

For Sale by Owner - Private property sales
With sites such as Private Property and MyRoof and millions of other free list site popping up on this ever expanding WWW :) who needs to pay real estate agent commission fees?

Private Property charge a once off listing fee, and as far as I know HomeSouthAfrica and MyRoof offer free listings.

Going "HANS" Solo
Well what more can we say about going "HANS" solo. You saving R30 000 - R40 000 commissions. Remember though, that you going to need time to sell it, put it on show and remember to clean your house people... This is not always the easiest route to take but if you've got someone whose permanently at home it's easier, if not (Get your unemployed buddy to stand in and buy him a couple of beers)

That's the end of my 3 tips to saving money on agent commissions

Could you manage an interest-only loan?

Incredible deal isn't it?

So incredible that it's sounds like it's not real?

So great that it allows you to free up money every month. It drops your monthly installments and you can afford WHOLE lot more house.

Now interest only loans this may be the perfect investment opportunity for those that know how to handle their finances. If you're a good personal financial advisor and you don't buy more mortgage than you can handle, I say go for it.

If you're not, I say contact a mortgage broker that offer normal home loans and don't be silly.

So what's the catch and why the advice, you may ask, well, lower monthly installments, ZERO equity for years and then BAM BAM BAM, monthly instalments to floor mother Russia.

You see interest only loans allow you to pay interest only, for a period of x years depending on the lender. The problem with this is that once those x years have passed by all those monthly payments you missed out, get added to your monthly installments once the interest portion is paid off! YOU SEE! WHOPPER OF A MONTHLY INSTALLMENT THEN KICKS IN!

Here's how it might work for a 5 year interest only loan:

• Your payments would be fixed for the first five years at a certain interest rate - lets say, 10%.


• For the next five years, you still might pay(depending on your options) just interest on the loan, but the rate would be variable and could increase by 1 percentage point every year, up to a rate of 15%.


• In the 11th year, the rate remains variable, but the loan requires you make both principal and interest payments.

So the interest only loan is really for the investor who's looking for a quick in quick out option and is looking to sell his place before the 11th year or before the interest + loan payment option kicks in. Just remember though, that by choosing your interest only option, you're giving up the chance to fix yourself in with a good low interest rate and you could be kicking yourself in the teeth if you're not careful.

WizardMan out!

Debt Consolidation- Online Debt Consolidation Forum

Was browsing the net this weekend looking for some good debt consolidation sites and came across a great little community. Now although it's not a South African site, debt consolidation and debt in general is a worldwide phenomena and it's always nice to read about other peoples problems that relate to yours.

It makes you realise that not only are you sharing this problem with a person, but you're sharing it with millions and millions of others...

So take a look at the Debt Consolidation Forum who specialise in Credit Card Debt Consolidation and sign up! It's a great community and well trusted amongst the Internets Debt circles.

Let me know what you think of them...

WizardMan out!