CEO's Message Feb 2018

Even though the outlook is more positive, the ever present problems of Eskom, the drought in the Western Cape and looming water and electricity tariff hikes remain ever present concerns for home owners such as you and I. 

That comes before the threat of climate change and the impact that it is having on our weather. 

Against this background, I’d like to urge those who either own or are considering investing in properties to think carefully about green features and to take a far wider view when it comes to ensuring a good return on investment. 

Up until now, ‘green’ or environmentally friendly features have been nice to haves rather than have to haves.  Many have viewed these as expensive add-ons at the top end of the market.  

However, things are changing and green features might well become mandatory in certain, if not all, parts of our country. That means if you haven’t already bought them with your property, you might still have to invest in installing them at a later stage. 

Those who have experienced or are currently facing massive droughts (such as those in Ballito and Cape Town), also know that there’s far more to installing green features than scoring a few rands out of the local municipality. Drought or water shortages will become a way of life. 

According to our government, South Africa is one of the 30 driest countries in the world. According to the international Water Resource Institute, it is one of the world’s most water stressed nations. That means relying on water piped in from large dams is not sustainable and we will all need to look to alternative water sources such as harvesting and storing rainwater to fill swimming pools, water gardens, flush toilets and do the laundry. 

Although green building is essentially still in its infancy (in much the same way as electric cars) and it is difficult to categorically quantify the precise return on investment that home owners can expect right now, I believe that there’s a far better way of calculating whether or not it is worth investing in green properties.  

Look at what is termed the total cost of home ownership. This starts with the purchase price and then includes operating costs, maintenance, utility and rates bills. A lower cost of ownership will mean that these green features essentially pay for themselves and then potentially boost the sale price of your property in the future as a bonus. 

However, this does come with a warning – even when it comes to green features, you need to work with your estate agent to ensure that you are spending wisely. 

When it comes to water friendly features, remember that it is not enough to have a large tank parked outside your house. Stored rainwater is not safe to drink and is best used for your garden, pool or to wash clothing and flush toilets. With this in mind, ensure that the correct water filtration and pumping systems are in place so that the water can be used where it is needed.  

When it comes to green electrical features, consider those that generate electricity or heat and those that save on energy use in order to heat or cool. 

Solar geysers are the best known alternatives to the costly geysers that often account for the largest part of our electricity bills. But you should also consider “smart” or “intelligent” heating systems such as heat pumps. With hot water heated on demand by an energy efficient pump, you can enjoy significant savings. An added bonus is that, unlike geysers, heated water that is not needed does not cool and waste energy. 

Coupled with insulated pipes, this also means no more wasting water whilst running taps to wait for the water to warm up. 

Insulation is also not restricted to pipes. In walls, roofs and even floors, it helps maintain the temperatures in rooms and minimises both heating and cooling.  

Then there are features like indigenous landscaped gardens, keeping thirsty green lawns to a minimum and water wise drip irrigation systems. The list is endless, so make sure that this is an ongoing discussion with your real estate agent.