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Wednesday, 29 October 2014

CABS BUDIRIRO 5 HOUSES – A LOOK AT PROS AND CONS OF MINIMUM REQUIREMENTS



THE PROS

Minimum income
The  minimum incomes for the various house types at Budiriro are $756, $820 and $934 for 2 rooms, 2 rooms with extras and 4 rooms respectively. These figures can be too high for the supposed  beneficiaries namely low income earners but the good part of the arrangement between CABS and City of Harare is that it is a wonderful attempt to address both the supply and demand sides of real estate. At least in the market there is a mortgage facility that enables people to buy new houses despite the liquidity crunch .



Fees for conveyancing
Conveyancing fees are for the processing of title deeds in favour of the buyer. Title deeds are very important in securing security of ownership. Another thing they are important for is collateral which is a key to wealth creation.  Title deeds are collateral this means they are a form of economic empowerment which is so  important  that the segregatory  system of the past had to deliberately deprive blacks this asset in old areas like Mufakose, Highfield, Rugare, Mbare etc. Indeed, buyers will welcome this - its an intangible characteristic of the new properties which is worthwhile for a very long time.

PROPERTIES FOR SALE


 WESTGATE GOOD HOPE A NEW AND MASSIVE 4 BEDS, with mes, roof under tiles, lovely exterior finish, septic tank on 2160sqm, title deeds, for $113 000.00 only. Also has kitchen, scullery, pantry, dining, lounge x2, reception hall, double lock up garage and plenty of tape water. CALL 0772 997229








THE CONS

Being on the municipal housing waiting list for at least six months.
This requirement is a bad one because most people on the housing waiting list are unable to qualify for more important requirements like minimum income. Another reason is that people may not wait for six months before they consider other opportunities that come from else where. At this juncture it should be remembered that for the past decade and a half the credibility of the municipality as a land developer has been equal to failure as a result home seekers invested their expectations in private players.

Having your salary come through CABS for a minimum period of 3 months.
This is good for CABS but not the prospects. The giant bank has done a great thing at Budiriro and it makes sense that it should gain strategic mileage by leveraging from the deal. But making a requirement that applicants  should have their salaries come through CABS for three months is more like arm-twisting the former because consequently applicants will be forced to bank with the later. In some cases the authority to determine where salaries are deposited is not vested in the applicants.

In conclusion I could have made an assessment that zero-in on whether this deal is good or not good for you but I will leave this to you since individual situations defer. However, you are welcome to use the contact forms or comments bar to ask questions and make suggestions. Its bye bye for now !

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