Robust activity in areas in Cape Town’s Northern Suburbs and Western Seaboard
While correctly-priced homes in the lower price bands in sought after Cape Town suburbs such as Plattekloof and Edgemead in the Northern Suburbs, and Western Seaboard areas of Blouberg and Big Bay continue to sell rapidly, strong demand is now also fuelling robust activity in the middle price range in these areas, says Pam Golding Properties.
Says Pierre Nel, Pam Golding Properties area principal in Plattekloof and Edgemead: “In Plattekloof, while the demand is greatest between R3.5 million and R5 million, the market up to R8 million is active, with buyers still making reasonable offers, and mostly comprising families who are selling their existing properties below the R3 million mark and upscaling to more spacious accommodation as they are now working from home.
“Notably, prices have stabilised and need to be market-related in order to sell because if the property is over-priced, purchasers are hesitant to enter offers. The bulk of our buyers are locals, many relocating to the suburbs from sectional title apartments in more built-up areas or moving and settling in Cape Town from other surrounding areas and provinces as they are able to work remotely.
“Those semigrating move to the Western Cape for its appealing lifestyle, and our Northern Suburbs offer a family-oriented lifestyle with excellent amenities and are easily accessible to Cape Town central city. These areas are ideal for working remotely, with sunny, family homes affording peace and quiet.”
“In value-for-money Edgemead, sales are brisk mainly between R2.3 million and R3 million. Between R2.3 million and R2.5 million you can acquire a three-bedroom home with two bathrooms, while from R2.5 million upwards you are looking at three to four bedrooms with a study, double garage, swimming pool and entertainment areas.
“At the higher end of the market, we’ve sold a few properties above the R7 million mark in Plattekloof and upmarket, sought-after Baronetcy Estate.”
On the Western Seaboard, Pam Golding Properties area principal Emarie Campbell says correctly priced properties under R3 million sell within 30 days.
“We’ve experienced a stock shortage since we came out of the hard lockdown in June 2020. The laid-back lifestyle, scenic views, access to beaches and recreational locations, feeling of space, minimal traffic and good infrastructure, all make the Western Seaboard a very inviting permanent residential destination.
“The stock shortage experienced is a result of a diminished flow of homes coming onto the market, however, as the third wave of Covid-19 recedes and international travel resumes, we anticipate more inventory becoming available to purchase. From a supply and demand perspective, now is the time to put your home on the market as it’s currently a seller’s market. That said, buyers reject over-priced properties and snap up correctly-priced homes.”
Campbell says with their magnificent views of Table Bay and Table Mountain and access to the beaches, both Blouberg and Big Bay apartments are always in demand. “In these prime locations, beachfront apartments with views, two bedrooms, and two bathrooms trade well up to R2.5 million and can comfortably reach R3.7 million, sought after by investors, single owner occupiers and those seeking holiday homes. Some of the older apartments needing refurbishment can be picked up at around R2 million.”
In Parklands, apartments with two bedrooms and one bathroom enjoy good activity up to R1 million, taken up by owner-occupier, first-time buyers.
Adds Campbell: “There’s also a high demand for homes within security and lifestyle estates, where homes with three to four bedrooms and three reception rooms with good entertainment space, fetch between R4.5 million and R7.5 million. The old adage of ‘buy the worst home in the best area’ applies here – when you find the extra funds, make the improvements and you will certainly achieve a good return.
“Although most of our home buyers are from the Western Cape, security estates and apartments are in demand among upcountry buyers, with Pretoria being the dominant semigration source. Approximately 60% of our purchasers are buying for a lifestyle change, 20% for pure investment, and those buying for retirement and other reasons 20%.
“At the top end of the market, Atlantic Beach Estate remains highly sought after with sales priced between R6 million and R10 million taking place as the stock becomes available.”
Posted by The Know - Pam Golding Properties