Favourable growth in sectional title properties cements investor confidence
Category Property news
“Sectional title properties in several areas of the Cape Peninsula have shown favourable growth over the last twelve months, cementing investor confidence in this segment,” says Mike Greeff, CEO of Greeff Properties, an exclusive affiliate of Christie’s International Real Estate. According to Propstats, the average selling price for sectional title properties in the Southern Suburbs was R1 434 539 for the period 1 August 2014 to 1 August 2015. “This is 18% higher than the average selling price for the period 1 August 2013 to 1 August 2014,” says Greeff. “The average selling price of sectional title properties in the City Bowl experienced a similar climb, at 17.6% for the same time period,” he added. “These figures are particularly heartening in the run up to the traditionally ‘busy season’.”
So why the increase in sales during this time of the year in particular?
“From September through to January, the sales of sectional title properties tend to increase for various reasons: in the Southern Suburbs, strong demand is inevitably due to the surge in interest from parents wanting to secure accommodation for studying children, while investors seeking to leverage off the student rental market are also more actively looking for properties during these months,” explains Greeff. “The City Bowlis likely to start experiencing heightened buyer interest from around October through to April/May, and foreign buyers are anticipated to contribute to this segment as well,” he adds. “The average selling price for sectional title properties in the Constantiaberg suburbs showed a 19% increase when the figures for the past 12 months were compared to those of the preceding 12 months,” says Greeff, adding that significant stock shortages in the suburbs of Meadowridge, Bergvliet, Diep River, Plumstead, Tokai, Kirstenhof and Lakeside continue to maintain these higher average selling prices.
Proximity continues to drive demand
Greeff says that demand continues to be driven by the need to be close to schools, tertiary education centres, business centres, public transport routes and shopping facilities in the Southern Suburbs. The City Bowl then attracts young professionals working in Cape Town central, as well as those looking for a pied-à-terre (small living unit) close to the night life, city buzz and the beaches of the Atlantic Seaboard.
Perfectly positioned investment
This three-bedroom apartment with two en-suite bathrooms and guest cloakroom is located in sought-after Newlands. Two underground parkings and a storeroom are included.
For sale by Greeff Properties.
Asking price: R5,750,000.
Contact:
Brent Farrell: brent@greeff.co.za
Tel: 021 763 4120
Mobile: 082 876 4548
Author: Greeff
