Exploring High Cashflowing Properties in the Cape Town ekasi Market
In this week's episode, we interview Ludwe Mageleni, about the Cape Town ekasi market, his journey into real estate, and his role in Property Made Easy, a company that he and Brian Sango (Episode 44) co-founded.
They started the company to bring professionalism into the real estate space ekasi and to help young Black men and women start investing in property in the township.
To paraphrase Ludwe: "If you're making R25,000 (US$1,455) a month and the banks are willing to give you R700,000 (US$41,000) to buy property, why not buy more than one property?"
Ludwe explained to us that bachelor units in the township in Cape Town can cost as little as R190,000 (US$11,062) and rent for R3,500 (US$204) per month.
The rent more than covers the mortgage and instead of getting one property, young people in their 20s easily end up with several positive cash flowing properties and start building a property portfolio in a location that they understand.
They can then use that cashflow to go buy properties in more expensive neighborhoods at a later date if they want.
This was another eye-opening episode because we learned new things about the Cape Town ekasi market that we didn't know.
