Dear Friends
I have been out of school now for 30 years and working as retailer for as many, currently based in Gauteng, South Africa. As we all do, I wish I knew then what I know now. Where to invest your hard earned money will remain the question? The problem is that the world has and is changing all the time. In the past 10 years SA property has become less lucrative and with lower interest rates, lower saving rates are associated. For the man on the street like most of us, what are our investment options?
Investment Options:
1. Banks – Probably the safest but with the lowest return on investment about 3% – 4%.
2. Investment Property (not your main dwelling/home) – Twenty years ago this was the best place and I wish I did invest in property 20 years ago. The growth rates were 20% – 25% and the entry level properties were quite affordable. What you are not told are the associated costs: a. Transfer fees and Registration fees of 8% of the purchase price b. Ongoing maintenance of the property c. Levies and Municipal rates accounts d. Tennant recruitment fees
My Personal Example:
a. Bought my property in 2010 for R780 000 – now worth about R850 000 (9% growth) b. Rental income R8000.00 (Paid agency 1 months rent to find the tenant) c. Ongoing maintenance (Painted inside apartment twice, re-did kitchen and Special levies R50 000) d. Municipal rates and Levies are R3000.00 per month e. After 10 years apartment was paid spending, R1 320 000 including bank fees f. Spending R1 320 000 and getting R5000 in my pocket monthly = 0.004% ROI (return on investment) g. Lastly there is 6% agents commission you as owner pay when selling the property.
3. Investment Broker
The Investment Broker will do a needs analysis and sign you up with RA (retirement annuity) for the next 15 – 20 years depending what you can afford. These are good and we all have them. You can use them for your annual tax return and they are good for long term retirement planning. The problem is there is a monthly contribution with escalation clause assuming you will work for 40 years and retire at 60 years of age.
4. Other – we will not discuss today.
5. Online trading
6. International Property Investments – I currently work for Fifty Shades Developments, company based in Poland. What we offer is the opportunity for anyone to invest in property developments in Poland, one of the fastest growing economies in Europe at the moment. For years nothing has happened but in the past 10 years the landscape has changed. Julianna Strocka, who grew up in South Africa, is the owner of Fifty Shades Developments. She buys old buildings and converts them into residential apartments. A unique investment opportunity is now availabe to you with Fifty Shades Developments.
Fifty Shade Developments fixed deposit investments structure vs SA Banks are as follows:
| SA BANKS | SAVINGS | FIXED DEPOSIT, 12 MONTH COMPOUND INTEREST | Fifty Shades Developments | FIXED DEPOSIT, 12 MONTH COMPOUND INTEREST | |||
| ABSA | 2,20% | 3,83% | R2000 – R20 000 | 5% | |||
| FNB | 2,00% | 3,56% | R20001 – R100 000 | 10% | |||
| NEDBANK | 2,00% | 4,17% | R100 001 – R500 000 | 12% | |||
| STANDARD BANK | 2,00% | 3,11% | 500 001 and above | CEO discussion | |||
For more info please visit www.50shadesdevelopmets.com , email me personally at charlesw@50shadesdevelopments.com or message me on LinkedIn. I have personally invested R150 000 with Fifty Shades Developments and will receive 12% ROI (R18000 and my Investment) totaling R168 000.00 in 12 months.
Investment Securities:
1.Tax certificate from Polish Government 2.Tax invoice for your investments 3.Investment online profile at www.50shadesdevelopmentsmembers.com 4.Lien against existing property owned by Julianna to protect your investment
Thanks for taking the time to read my blog and views on investments in 2021. The facts are if you have investment funds available from as little as R2000.00 you can start investing with Fifty Shade Developments in Poland today.
Regards and Happy Investing Charles Walters Regional Sales Manager
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