{"id":125581,"date":"2016-06-05T19:30:22","date_gmt":"2016-06-05T17:30:22","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=125581"},"modified":"2016-06-05T05:55:01","modified_gmt":"2016-06-05T03:55:01","slug":"what-house-you-can-afford-to-buy-with-your-monthly-salary-in-sa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/trending\/125581\/what-house-you-can-afford-to-buy-with-your-monthly-salary-in-sa\/","title":{"rendered":"What house you can afford to buy with your monthly salary in SA"},"content":{"rendered":"

Research by property analytics group Lightstone shows\u00a0the value of the house you can afford\u00a0on your monthly salary in neighbourhoods across South Africa.<\/p>\n

The group’s research looked at properties across the country and calculated what a home buyer would have to earn per month to pay off a 20 year mortgage, assuming they use 30% of their monthly gross to fund it.<\/p>\n

According to Lightstone, the median property value was used “as it\u00a0eliminates extreme values which can influence the price within a suburb, and it gives a good\u00a0representation of the typical house value in the\u00a0suburb as a whole”.<\/p>\n

Looking at south Africa as a whole, the median value for a property in the Western Cape is R680,000, the highest out of all of the provinces, and one which would require a monthly salary of R22,600.<\/p>\n

The Eastern Cape is the province with the lowest median value of a property (at R380,000) requiring a salary of R12,600.<\/p>\n

To afford a property in Gauteng where the median value is R620,000, you\u2019d typically need a salary of R20,600, Lightstone said.<\/p>\n

\"Median<\/a><\/p>\n

“Comparing median values of properties on a provincial level and the salaries required, there isn\u2019t a massive difference in numbers.\u00a0What about when you take it one step further and analyse suburbs and the salary needed to purchase within them?”<\/p>\n

“This is where the numbers change \u2013 substantially,” the group\u00a0said.<\/p>\n

To afford a luxury beach property with a median value range of R11,700,000 in Llandudno, you\u2019d need a monthly salary of R389,400.<\/p>\n

A property of R7,200,000 within the coastal estate of Zimbali would require a salary of at least R239,600, and a property of around R8,350,000 in De Zalze Golf Estate would require a salary of R277,900.<\/p>\n

\"Salary<\/a><\/p>\n

The following table shows what monthly salary you would have to earn to afford houses in South Africa – and which suburbs typically align with those values.<\/p>\n

\n
\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Gross monthly salary<\/th>\nHome value*<\/th>\nTypical suburbs in SA<\/th>\n<\/tr>\n
R327 800<\/td>\nR9 850 000<\/td>\nDunkeld (GP),\u00a0Constantia (EC)<\/td>\n<\/tr>\n
R213 000<\/td>\nR6 400 000<\/td>\nFresnaye (WC),\u00a0Linksfield North (GP),\u00a0Mooikloof (GP)<\/td>\n<\/tr>\n
R106 500<\/td>\nR3 200 000<\/td>\nParkhurst (GP),\u00a0Tokai (WC),\u00a0Umhlanga Rocks (KZN)<\/td>\n<\/tr>\n
R89 900<\/td>\nR2 700 000<\/td>\nWoodmead (GP),\u00a0Bryanston (GP),\u00a0Meadowridge (WC)<\/td>\n<\/tr>\n
R66 600<\/td>\nR2 000 000<\/td>\nGodons Bay (WC),\u00a0Hazelwood (GP),\u00a0Umdloti Beach (KZN)<\/td>\n<\/tr>\n
R58 200<\/td>\nR1 750 000<\/td>\nBlairgowrie (GP),\u00a0Pinehurst (WC),\u00a0Glen Hills (KZN)<\/td>\n<\/tr>\n
R49 900<\/td>\nR1 500 000<\/td>\nLonehill (GP),\u00a0Durbanville (WC),\u00a0Waterfall (KZN)<\/td>\n<\/tr>\n
R41 600<\/td>\nR1 250 000<\/td>\nParkhill (GP),\u00a0Tableview (WC),\u00a0Kensington (GP)<\/td>\n<\/tr>\n
R33 300<\/td>\nR1 000 000<\/td>\nDoornpoort (GP),\u00a0Escombe (KZN),\u00a0Swellendam (WC)<\/td>\n<\/tr>\n
R23 300<\/td>\nR700 000<\/td>\nKrugersdorp West (GP),\u00a0Lancaster Hill (KZN),\u00a0Grabouw (WC)<\/td>\n<\/tr>\n
R16 600<\/td>\nR500 000<\/td>\nParow Central (WC),\u00a0Regier Park (GP),\u00a0Shastri (KZN)<\/td>\n<\/tr>\n
R10 000<\/td>\nR300 000<\/td>\nYeoville (GP),\u00a0Umlazi (KZN),\u00a0Eastridge (WC)<\/td>\n<\/tr>\n
R6 300<\/td>\nR190 000<\/td>\nHillbrow (GP),\u00a0Wasbank (KZN),\u00a0Khayelitsha (WC)<\/td>\n<\/tr>\n<\/tbody>\n<\/table><\/div>\n<\/div>\n

*Financed over 20 years at 30%<\/small><\/p>\n

Here are a few examples of homes in the price brackets mentioned:<\/p>\n

R9.9 million home in Dunkeld<\/strong>
\nNeeded gross salary:\u00a0R327,800 per month<\/em><\/p>\n

\"Dunkeld<\/a><\/p>\n\n\t\t