Is Erand Creek Estate a good investment? Erand Creek Estate is an ideal buy-to-let property investment option for investors seeking an established Midrand location, strong tenant demand, modern apartments and a good rental yield. It’s situated opposite Vodacom World and has top-notch security, EDGE certification and IGrow’s signature discounts.
Why Midrand is a prime location
Midrand has become a major residential, commercial, and business hub midway between Johannesburg and Pretoria. Its central location makes it attractive to tenants such as working professionals and families. Living here, they have convenient access to employment hubs, shopping malls, excellent schools, public transport and major roads.
Erand Creek Estate investment is in a prime location within Midrand, about 26km from Johannesburg and Pretoria CBDs. It has access to the Gautrain and bus network. Its convenient position opposite Vodacom World, a core telecommunications and events-hosting precinct and top employer, is also a drawcard for tenants. Vodacom World adds another layer of appeal right across the road, with shopping options, restaurants and entertainment.
“Midrand continues to position itself as one of Gauteng’s most attractive rental nodes. Speaking on the importance of educating the local community on residential rentals, Midrand-based real estate agency Millennial Realty Gauteng confirmed that demand, particularly for sectional title properties, remains strong.” (Source)
There is increasing demand for security estates and modern sectional-title developments in the Midrand area (Source) and there has been massive investment in infrastructure in the area, particularly on major road networks, over the past 5 years.
Looking inside Erand Creek Estate
Erand Creek Estate offers property investors stylish two-bedroom rental apartments priced from R889,900, with sizes ranging from 55m² to 65m². Key features include open-plan kitchens and living rooms, stunning granite countertops, built-in cupboards, two wet points for appliances, additional storage rooms, fibre- and DStv-ready units, lovely balconies and a shaded parking bay.
Tenants can enjoy a swimming pool, clubhouse, and established green areas including braai spaces, and an on-site laundromat. These communal amenities add to the idyllic lifestyle at this complex.
Security is a key factor to consider for both tenants and investors. Erand Creek Estate has 24/7 manned security with controlled access and perimeter electric fencing, boosting security for all residents.
The complex is EDGE-certified. This means it is a “green building” designed for better efficiency in terms of energy, water and building materials. This means IGrow tenants can save up to 20% on utility bills. EDGE-certification also gives investors access to a green bond advantage, reducing bond interest by 0.25% for the full lifetime of the bond.
The Erand Creek Estate Property Investment case breakdown
Units at this estate offer a gross rental yield of 12.75%. The apartments are already tenanted. This, in turn, means IGrow investors can get rental income from when they register, rather than having to wait for tenants or building completion and occupation certificates.
The Erand Creek Estate investment deal exclusive to IGrow includes: zero reservation deposit and100% bond financing arranged by IGrow Home Loans’ bond originators, subject to approval. There are also zero bond and transfer fees (saving up to R66,995), handy rental assistance of up to R74,400 and up to five-year rental-management discount valued at up to R14,107. This discount accumulates to a saving of up to R155,502.
The 3 Rs: Retain, Refinance, Reinvest
The Erand Creek Estate investment can become a part of a long-term outlook property portfolio strategy. IGrow’s 3 R’s philosophy is to Retain an income-generating property, Refinance when you have accumulated enough equity in the property, and Reinvest that capital into further property purchases.
View our handy blog post that explains the 3 R’s principle in more detail.
Conclusion
The 3 R’s strategy aims to build a property portfolio over time. Rather than buying investment property and selling for a short-term profit, investors aim to Retain suitable assets in a buy-and-hold strategy; Refinance after capital appreciation has built equity, then Reinvest to buy more property.
This can transform one Midrand property investment into a diversified property portfolio over time. If you are keen to build more, faster, you can enquire about our limited Bulk Deals, where advantages such as Green Bond discounts compound together over time.
Considering property investment in Midrand?
Book a free consultation with an IGrow Wealth Investments property strategist today to secure your Erand Creek Estate unit now!
Frequently Asked Questions
Yes, depending on the final unit chosen. IGrow currently projects gross rental yields of up to 12.75%. Gross yield does not equal net return, as investors still need to consider levies, rates, financing and other costs. You can see the full breakdown monthly and year-by-year for every unit available for sale in the Financial Analysis and next to the Unit Plans on the Erand Creek landing page
The location and apartment format suit professionals, young couples, young families, and other tenants seeking secure, convenient sectional-title living close to employment, transport, schools and other amenities.
There is a zero reservation deposit at this complex. 100% bond financing is subject to lender approval and affordability and can be arranged via IGrow Home Loans.
IGrow advertises savings of up to R155,502 through rental-management discounts, rental assistance and waived bond and transfer fees. This can strengthen the upfront value proposition for property investment in Midrand, and means it is possible to invest with little to no upfront capital.
