Property Hotspots in SA | The Cities & Suburbs in Demand in 2021
Pam Golding reports robust property sales across SA for the end of 2020 to the present date. Below is a report compiled by the property company.
Pretoria leads property sales
Pam Golding’s Pretoria region experienced its best December (2020) to date, with high activity in the R2 million to R5 million price band. As is the case in sought after areas around the country, well-priced homes continue to sell within a relatively short period of time.
Cape Town & Atlantic Seaboard
In Cape Town, we also had a busy trading month in December – with sales on the Atlantic Seaboard well exceeding expectations. This included the sale of a five-bedroom, five-bathroom bungalow in prime location on Clifton’s Fourth Beach, which achieved a sales price of R37 million. Based on sales on the Atlantic Seaboard in recent months and especially December, we are likely to see consistent sales for well-priced properties brought to market by motivated sellers. While the mid to lower end of the market attracts the greatest number of general enquiries, quality leads are generated by correctly priced property, regardless of price, especially at the top end of the market. This indicates a change in trends as usually the top end enjoyed a fair degree of flexibility in terms of pricing in respect of the unique attributes of the particular property – such as aspect, views and iconic features. However, this segment of the market is now as price sensitive as any other.
Activity in December and in January to date has also been brisk in Cape Town’s Southern Suburbs, Southern Peninsula, West Coast and Hout Bay, with all price bands and areas in demand, including notable, consistent sales concluded in upmarket Constantia. In the heart of the Boland Winelands, since September (2020) we’ve seen a renewed semigration trend with families relocating from Gauteng seeking homes to purchase as well as a huge demand for rental properties. From the start of 2021 we are also receiving a flurry of serious enquiries for top end homes in Paarl estates and in Franschhoek.
The George area on the Garden Route is also experiencing a continuation of the trend towards security estates, but noticeably locations with a sense of space such as Gondwana Game Reserve, coastal estates like Pinnacle Point, Springerbaai and the sought-after golf estates Fancourt and Kingswood Golf Estate, or the Kraaibosch and Welgelegen estates with their scenic, expansive views. Fancourt in particular is generating interest in the limited remaining vacant stands in the various precincts of different architectural styles. In Fancourt’s Noem Noem, several vacant stands have recently been snapped up at prices above and below R2 million.
Heightened activity – including buoyant sales in the top end of the market above R3 million, which includes a cash sale for R6 million in Summerstrand prior to being listed – is also reported by Pam Golding Properties Port Elizabeth, where low stock levels along with low interest rates are resulting in multiple offers as buyers compete for properties, especially those below R2 million.
Meanwhile in Johannesburg South, popular price bands are from R650 000 to R3 million, with homes in freehold and gated complexes or gated estates most in demand in the price band from R4.2 million to R6 million and as long as correctly priced. Suburbs close to schools are the most resilient, such as New South suburbs of Glenvista, Mulbarton, Aspen, Brackendowns, Brackenhurst, and Lenasia. Notably, in Johannesburg South we are seeing larger deposits than usual and cash purchases, with banks remaining willing to extend mortgage finance.
In Port Shepstone on the KwaZulu-Natal South Coast, Pam Golding Properties sold a home for the full asking price of R800 000 before the listing even went live, with funds paid in cash within a week of signing the offer to purchase. This successfully concluded transaction resulted in a second unit in the same complex being acquired by the same buyer, also for cash, within a couple of days.
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