According to a poll by SA's largest online search property portal, the 2010 World Cup won't boost the country¿s sagging property prices but that sexy Cape Town pads are likely to get the biggest fillip from the global event.

Johan Strydom, Managing Executive of propertygenie.co.za, South Africa's leading property listings website, said that 59% of people surveyed believed that next year's tournament would not boost property prices, while 41% of people said it would.

"The results are interesting as they reflect the current view of South Africans. But as there hasn't been a sporting event of this magnitude in SA, people may be pleasantly surprised by the positive effect it will have on our economy and hence house prices.

"Other countries that have hosted events like the Olympics and the Football World Cup have experienced strong growth in their property markets."

Strydom acknowledges that the world faces tough economic times at present but he expects the global economy to be in better shape in time for kick off.

When quizzed on the reasons why the World Cup would not spur house prices, 27% of respondents said that it was because local house prices were now too expensive, 20% said SA was not the best place to buy property while 19% of people pointed to the global credit crunch.

Eighteen percent said that the World Cup would not attract enough people to have a positive impact while 16% noted that SA¿s weak economy would nullify any boost from the World Cup.

The poll also asked people which kind of properties they thought would benefit most in price from the World Cup if any: 32% gave sexy Cape Town pads the nod, followed by beach houses countrywide (27%), lock up an go apartments countrywide (26%), wine farms (2%) and game farms (1%).

Twelve percent of people said that no properties would benefit.

Said Strydom: "People still see Cape Town as having the biggest pull for property investors and tourists alike.

"It is true that Cape Town has been very popular with overseas buyers and the World Cup will introduce a whole lot of new people to the beauty of South Africa.

"However according to recent research by property valuers Lightstone, only 0.5% of SA property is in foreign hands so much of the historical rise in prices has been driven by South Africans. And that's likely to be the case in the future too."

The propertygenie.co.za poll was carried out online and canvassed the views of 703 people countrywide.

Propertygenie.co.za has entered into a partnership with fractionalownership.co.za to provide access to the latest fractional ownership listings which will be available from the 12 December, 2008.

While it is well established overseas, fractional ownership is a relatively new concept in South Africa. Unlike timeshare, where users buy only the right to utilize a property, fractional ownership allows buyers to purchase an equity share in the property.

"We are continuously looking for ways in which to grow the propertygenie.co.za website and the partnership with fractionalownership.co.za has provided a valuable enhancement to all our web users", says Managing Executive of propertygenie.co.za, Johan Strydom.

Fractional ownership has become a very popular low cost investment vehicle for people looking to secure a holiday home, without significant capital outlay, and at the same time paying only for their usage of the property. It also potentially allows individuals to invest in a range of holiday properties for the price a single property would have cost them.

The Fractional Network will initially feature 40 fractional ownership properties and more will be added in the coming months.

The content will be powered by fractionalownership.co.za. who are experts in the business and have offered fractional ownership options since 2005.

Dirk Wilson, co-founder of fractionalownership.co.za, says; "We are obviously very pleased to have propertygenie.co.za as a partner as we able to expose a wide range of internet users to fractional ownership listings."

Through various other key propertygenie.co.za partnerships, The Fractional Ownership network will also be available on Realestateweb.co.za, ooba.co.za, SundayTimesProperty.co.za and iafrica.com.

Propertygenie.co.za recently partnered with The Sunday Times and The Times website to provide property listings content for TheTimes.co.za.

propertygenie.co.za, South Africa's largest property listings website that showcases over 174 000 properties nationwide, has partnered with The Sunday Times and The Times website to provide property listings content for TheTimes.co.za.

Johan Strydom, Managing Executive of propertygenie.co.za, said that the new deal, which kicked off on the 1st of October this year, will significantly increase traffic to the propertygenie.co.za website.

Colin Daniels, Publisher of The Times Online, believes the partnership will benefit Times Online users given the depth and range of properties listed at propertygenie.co.za

"TheTimes.co.za users now have access to the largest online selection of property listings from all of the country's leading estate agencies," says Daniels.

Strydom says; "All the property listings on propertygenie.co.za will now be exposed to The Times Property users and will benefit from the more than 400,000 unique monthly visitors the site attracts.

"More and more buyers the world over are demanding web based marketing of their properties such is the growing popularity and effectiveness of online property listings." he concludes

The number of properties listed on propertygenie.co.za has risen 52% in the past year alone.

propertygenie.co.za currently sends out over 300 000 property alerts matching the criteria selected by its homebuyer subscribers every month.

All estate agency subscribers to propertygenie.co.za automatically have their listings listed on The Times Property website at no additional charge.

22% of respondents to a new online poll conducted by ooba, South Africa's leading bond origination company, say they have no household insurance cover, while 14% say they have cut back on coverage in order to pay lower premiums, as last year¿s recession continues to impact on consumers. Only 3% said they have increased their coverage.

"These numbers are concerning," says Craig Deats, Executive Director: Sales and Distribution at ooba. "While it is understandable that people are looking for ways to reduce monthly expenditure, given the recession South Africa has experienced, this is one of the last areas where people should be looking to cut corners.

Deats says that the recent rate cut should provide some light financial relief for consumers and is an opportune time to review their finances.

"Insurance is one of those payments that people tend to make begrudgingly, but with such a high rate of household burglaries in South Africa it is an essential purchase." Official statistics released last year by SAPS for the 2008/09 financial year revealed that there was a 27.3% increase in household robberies on the previous year.

According to the ooba poll, 19% of respondents say they have spoken to a financial advisor to see whether there is a way of reducing household insurance costs without cutting benefits. Deats says this figure is quite encouraging and advises people who are struggling financially to follow this route rather than automatically deciding to cancel or reduce cover. Deats says people will be surprised at how much they can reduce their monthly premiums by shopping around and tailoring solutions to best suit their particular needs.

"When times are tough and people are struggling to make ends meet, insurance is often one of the first costs to be cut but one should really think twice before cancelling any existing policies as the consequences if something does happen can be extremely severe for family and dependants."

ooba (formerly MortgageSA) has rebranded its insurance offerings ooba Buildings Protector and ooba Bond Protector in keeping with the company's name change earlier this year.

"We have renamed the insurance offering as a whole the 'ooba Protector Range' " said Craig Deats, Insurance Managing Executive at ooba.

ooba Buildings Protector, previously known as Buildings Insurance (BI) and ooba Bond Protector, previously Mortgage Protection Plan (MPP) are the two insurance products offered within the ooba Protector Range.

"We felt that it is important to align our products with the rebranding of the company from MortgageSA to ooba," says Deats. "The name ooba is a differentiator in an industry that has become cluttered with generic names."

The bond originator rebranded in February this year. As well as being the biggest bond origination company in South Africa ooba also offers insurance, an online property search engine and have recently introduced a credit card.

"ooba Protector Range offers both building and bond protection to cover key home owner insurance needs," says Deats.

"Due to changes in legislation, you now have freedom of choice to obtain Buildings Insurance cover from any accredited insurer," Deats points out. "The ooba Buildings Protector protects your home from costly damage that could be caused by unforeseen circumstances and gives you comprehensive cover at highly competitive rates."

The ooba Bond Protector, previously known as the MPP, is designed to provide bondholders with comprehensive cover in the event of death, disability, a dread disease or retrenchment.

Declining house prices and rapidly increasing building costs are creating a very real gap between the market value of properties and their replacement costs. Property owners need to reevaluate their buildings insurance to guarantee that they are sufficiently covered in the event of a disaster.

"Property owners need to ensure that the sum insured (replacement value) on the property is increased proportionately with current building prices," warns Craig Deats, Insurance Managing Executive at ooba. "If they are under-insured at the time of claiming, they will find that the insurer will not settle the entire claim."

While the property market has devalued in the last few months building costs, the cost of building materials and the cost of labour, have been climbing steadily. Key contributors to rising building costs are steel, cement, copper and the impact of rising oil prices.

Statistics from the Bureau for Economic Research Building Cost Index show an average building increase of 15% for 2007 with the last quarter 2007 at 16.5% and the first quarter of 2008 at 21.9%.

"There is a sharp increase in building costs mainly due to a low base rate increase in Q1 2007 and rises in input costs of builders," says Deats.

"For buildings insurance, you need enough cover to rebuild your home and replace all the fixtures and fittings within the home from scratch and the BI policy provides cover on a 'new for old' basis" says Deats.

Buildings insurance is a requirement if the property is bonded and protects the actual building structure and all the permanent fixtures and fittings, garages, swimming pool, paving and walls in the event of fire, floods, lightning and other unforeseen causes.

"The cost of building materials and the cost of building labour changes on an ongoing basis so it is necessary to reevaluate your building insurance on an annual basis to ensure that, in the event of a disaster, the full value of replacing your property is covered," notes Deats.

For an accurate replacement cost of the buildings, property owners should be requesting a replacement cost valuation from a certified valuations company. The property owner¿s insurer should be able to recommend one.

A client can speak to their Property Finance Consultant when applying for a bond and they will be able to assist them with all their building insurance needs.

"It is critical for home owners to take a look and reevaluate their buildings insurance today as there may be a significant difference between the actual replacement cost of the building and the market value of your property," concludes Deats.

It is common perception that trusts are only for the very wealthy, but many property owners could benefit from placing their property into a trust and protect one of their most valuable assets as well as future income of their family.

"While giving up ownership of your property may appear to be a scary concept a trust ensures that the property is well out of the clutches of creditors as it is the only entity that benefits from total asset protection," says Ian McDonald national manager of financial planning at ooba (formerly MortgageSA).

"The property owner can still enjoy the benefits of the property such as rental income or as a residential home but without the risk.

"Another major benefit, and one of the main reasons for setting up a trust is that the property no longer falls into your personal estate and the property is not subject to inheritance tax," states McDonald.

"The ownership and benefits are passed onto your family quickly and without complex tax issues."

In South Africa, minors are not allowed to inherit any assets therefore a trust protects your children if something should happen. The trustees will administer the assets in the trust until such time as the beneficiaries reach a certain age, in South Africa this is usually 25 years old.

It also does away with the need for an estate executor. An executor is entitled to a maximum of 3,5% plus VAT of the estate¿s value and is responsible for winding up and administration of a decreased estate, taking control of assets, settling liabilities and distributing the net assets in terms of the will.

But, trust's are not without complications and potential problems with trustees and high tax rates need to be carefully considered.

"Property owners need to be aware that they are transferring the control of the property out of their direct control," cautions McDonald. ¿The most typical problem with trusts is when the relationship between the founder and trustee goes sour, this can happen during divorce or other family disputes."

Disputes such as these can result in the beneficiaries not having access to the income or benefits.

"The founder needs to carefully choose the trustees and weigh up the chances of any disputes against the other benefits of the trust and consider carefully whether a trust is the best vehicle," says McDonald.

"Also, another potential disincentive is that the transfer duty when a trust acquires an immovable property is higher than an individual¿s rate, at a rate of 8%," states McDonald.

Since 1991 trusts are subject to taxation. Income not distributed to beneficiaries is taxed at a flat rate of 40%.

"Another potential deterrent when considering forming a trust is that they attract the highest capital gains tax," says McDonald. "50% of all profits on sale of trust assets are included in the trust's taxable income and taxed at the rate of 40%, resulting in a net capital gains tax cost of 20% of the capital gain."

Once deciding that a trust is the best vehicle for your property the founder will need to draw up a trust Deed that clearly defines the trust's objectives and beneficiaries and register it with the Master of the High Court.

"The Master will require full details, ID and banking details of the trustees and then the Master will decided whether security needs to be furnished by the trustees or not."

The trustees will only be allowed to act as trustees if authorised in writing by the Master of the High Court and the beneficiaries must be clearly outlined.

All South African property owners are entitled to place their assets in a trust ensuring the property is entirely protected from the grasp of creditors and benefiting the property owner's family in the event of their death. But, property owners need to be aware of the potential shortfalls when creating a trust which can include disagreements between the trustees and high rates of taxation.

The oobarometer price index revealed that the average house price rose 6.8% year-on-year in June to R837 599 from R784 427 a year earlier. "House prices are continuing to increase, albeit at a slower pace than in the past few months," says Saul Geffen at ooba. "We have seen a sharp recovery in house prices for the first half of this year with three months of double digit year-on-year house price growth between February and May."

Meanwhile, the growth in the average purchase price amongst first time buyers remains strong, with year-on-year growth of 12.1% in June.

According to other indicators tracked by ooba, the average approved bond size increased 14.3% year on year in June to R695 381, compared with R608 316 a year earlier. The average deposit as a percentage of purchase price fell 24.4% year-on-year to R142 218, equivalent to an average deposit of 17.0% of the purchase price.

"We are seeing a continued easing in lending criteria, which is good news for potential homebuyers and the property market in general."

The average decline ratio increased marginally in June, up 1.3% year-on-year to 48.8% from 47.5% a year earlier, due to the higher proportion of 100% loans in June. However, on a month-on-month basis the decline ratio fell 4.1% to 48.8% from 52.9% in May.

The ratio of applications declined by one lender but approved by another increased 7.5% year on year to 24.8%. "This is good news for homebuyers, as it indicates a higher probability of loan approval from another bank even if initially declined. It also demonstrates the importance of shopping around in securing home loan approval.

"General sentiment has no doubt been enhanced by the successful hosting of the World Cup. Overall, the signs remain positive for the housing market, although we expect price growth to continue at a slightly slower pace in the second half of the year."

Full oobarometer analysis:

Indicator	June 2010	June 2009	Change yr on yr (June 10 vs June 09)	May 2010	Change month on month (June 10 to May 10)
Avg purchase price	R 837,599	R 784,427	6.8%	R 872,038	-4.0%
Avg purchase price of  first time buyer	R 611,611	R 545,515	12.1%	R 604,857	1.1%
Avg approved bond size	< p align="center">R695,381	< p align="center">R 608,316	14.3%	R 716,862	-3.0%
Avg deposit (as % of purchase price)	17.0% (R 142,218)	22.5% (R 176,111)	-24.4%	17.8% (R155,221)	-4.5%
Avg age of applicant	37	36	1 year older	37	No change
Avg decline ratio	48.8%	47.5%	1.3%	52.9%	-4.1%
Ratio of applications declined by one lender but approved by another	24.8%	17.3%	7.5% decrease	16.2%	8.6

According to the poll, 27% of respondents believe that a 100% bond is reasonable, while 42% said a deposit of 10% was reasonable. 12% of respondents said they believe a deposit of more than 30% was reasonable.

However, according to Craig Deats at ooba, while all banks have again started offering 100% home loans, being able to put down a deposit does make it more likely that your bond application will be approved.

"In the last few months, we have seen a significant increase in applications with low or no deposit. Although it is possible to have your home loan application approved on this basis, it is less likely as the introduction of the National Credit Act (NCA) has resulted in more stringent lending criteria than was applied in the past."

Deats says that currently, the two major reasons for bond declines are having insufficient net disposable income to afford the bond repayments and a poor credit profile.

He adds that besides improving your chances of getting your home loan approved, a bigger deposit could result in a more favourable bond rate which will save you in interest over the term of the loan. "As a home loan is paid back over a long period, generally between 20 and 25 years, even a small deduction in the interest rate on your bond, can save you thousands in interest payments over time."

Finally, he says that some sellers are also more willing to accept an offer if the buyer has a deposit, as there is a higher likelihood that they will complete on a sale.

The most notable of these trends is that the percentage of White applicants has been consistently less than the combined total of Black and Coloured applicants over the last three years.

According to ooba, the proportion of Black applicants has risen steadily over the last few years, averaging 42% during 2009. However, this percentage has dipped in the first four months of 2010 to 38%.

In contrast, the proportion of White applicants has risen from an average of 43% in 2009 to 47% during the first four months of 2010. The proportion of Asian and Coloured applicants has remained constant since the beginning of 2008, averaging 8% and 7% respectively.

According to ooba CEO, Saul Geffen, the downward trend in the percentage of Black applicants in 2010 can likely be attributed to the fact that the tough economic conditions and stricter lending criteria have had a bigger impact on potential buyers at the lower end of the property price spectrum.

The ooba data shows that potential Black buyers make up 60-70% of total applicants for properties valued at less than R500 000. This proportion drops significantly to around 30% for properties valued at between R500 000 and R1 million, and 10-20% for properties valued at over R1 million.

"The stricter bank lending criteria imposed under the NCA has also made it particularly tough for first time home buyers who aren¿t able to meet the affordability criteria."

However, Geffen says that as the economy recovers, the percentage of Black buyers will likely re-commence its upward trend. "We expect to see an increasing percentage of Black buyers in line with the shifting economic base in South Africa."

In the current economic environment upgrading your property or making even a few renovations may be too expensive; for a quick, easy and cost effective alternative consider changing the lighting in your home.

"Minor touches to a home can be the difference between an ordinary house and a personalised, beautiful home," says Craig Deats, Managing Executive of the oobacard. "Lighting is one of the ways in which home owners can make a transformation without breaking the bank or having to move out of their homes for weeks on end."

ooba credit card has recently partnered with The Lighting Warehouse to give their card holders a 10% discount off lighting products, from energy saving globes to double volume crystal chandeliers.

Good lighting creates the illusion of space in smaller areas due to its reflective value.

"Dark colours absorb light and shrink already small areas," says Deats. "One light bulb hanging from the ceiling is not considered sufficient lighting; there should be multiple points of light throughout the room.

"You can use a mixture of lights such as downlighters, standing and desk lamps which will brighten up the room and bounce different waves of light off different surfaces," says Deats.

Lighting can also serve to highlight certain areas in the home such as a particular picture and remove the attention from another. A well-lit exterior is also an effective security measure as potential intruders are less likely break in if there is more chance that they can been seen clearly.

Good lighting not only has aesthetic benefits but also health benefits. Well-lit homes have been proved to physically improve people's mood as well as making them more energetic and light-hearted.

"Never watch TV or work at your computer in complete darkness," warns Deats. "Many people make the mistake of trying to create an 'atmosphere' by watching TV in complete darkness not realising the damage it is doing to their eyes."

Having illumination when watching TV or working on a computer results in less eye strain and less blinking.

Finally, Deats suggests buying low energy light bulbs which use up to 20% less energy saving on your electricity bills as well as reducing your carbon footprint.

The oobacard is exclusively available to oobabond customers. Other oobacard partners include: ADT Security, House of Paint, Pickfords Removals, SA Paving, Water Comfort, Weylandts, Glasfit, Mr Price Home, MWeb, Wonder Flooring and Natural Stone Warehouse.

Homehunters and homeowners have had a tough time of it with years of soaring property prices topped off with rapidly rising interest rates, but there is some good news that is likely to save them R140m.

The ooba credit card, the first home-improvement credit card specifically designed for homeowners, has just been launched by ooba, the country's leading mortgage originator, and coincides with its recent change of name from MortgageSA.

The card gives consumers substantial automatic discounts of up to 35% from the leading home-related retailers and service providers.

"We believe that we have launched the card at a time when South Africans are really counting every penny so we are pleased to help cut the costs of home ownership and improvement," says Saul Geffen, chief executive of ooba.

"When a customer buys a house they will go through the costly exercise of moving into the home and spending on household contents, services and improvements.

"The oobacard provides access to credit to manage the costs of moving and gives substantial savings on everything from the move to property improvements, household goods as well as vital services like security and internet connectivity," continues Geffen.

Nic Weaver, managing executive of homeowner services at ooba, said that the credit card was already proving popular.

"Our initial target for take up by ooba clients is 50 000 cards. We estimate that our customers will spend over R1 billion in the next few years at oobacard partners and save R140 million through the discounts they will receive using the oobacard.

"The oobacard gives the deepest possible discounts at the leading national retailers of home related products and services. Oobacard partners, include Mr Price Home, Weylandts, ADT Security, SA Paving, Pickfords, Glasfit, Wonder Flooring, Water Comfort, House of Paint and MWEB."

The entire discount programme is totally automated, and cardholder discounts either reflect at point-of-sale, or on the cardholder¿s statement, depending on the merchant.

In addition to the savings received through the partner discounts, ooba credit cardholders can save even more by transferring existing personal debt onto their ooba credit card at the preferential interest rate of prime less 1% for the first year on the balance transferred.

At the current prime rate, oobacard holders would only pay 14% interest rate for the first year, way below the normal rates on in excess of 20% on most credit cards.

The ooba credit card offers all the benefits of a gold credit card, as well as the additional advantage of a linked garage card.

The oobacard is issued in partnership with ABSA Bank, a member of the Barclays Group, under licence of MasterCard.

The oobacard is exclusively available to customers who have sourced their home loan finance through ooba.