High demand for city bowl rentals
Category Property news
A steady and high demand for rentals in the City Bowl, makes this a lucrative area for would-be investors, according to Greeff Rentals Principal, Glenda Taylor.
“The allure of the City Bowl is indisputable in that properties offer easy access to the buzz of the inner city and its nightlife, the beaches of the Atlantic Seaboard and the convenience of My City transport,” says Taylor. Within easy reach of the upmarket suburbs of Camps Bay, Clifton and Bantry Bay, the beach fronts and crashing waves add to the allure of the city.
“One-bedroom, no frills type apartments are achieving rentals ranging from R7 000 to R10 000,” says Taylor. “Parking is not always included in the rental price as it is scarce in the City Bowl, and parking can add upwards of R800 to R1000 onto the tab,” says Taylor. Greeff'’s rental agent in the City Bowl, Matthew Taylor says that two-bedroom apartments are attracting rentals ranging from around R11 000 to R15 000, but some highly sought-after prestigious blocks achieve up to R20 000 a two-bedroom unit. Houses in Tamboerskloof may draw rentals ranging from R20 000 to R40 000 a month, while those in Higgovale attract rentals from R30 000 to R60 000.
“These are ball park figures though and rentals vary massively in the City Bowl, though they do tend to be higher in apartments and properties closer to the mountain,” adds Taylor. He says that would-be tenants looking in the City Bowl often place a premium on renovated and decorated spaces, so the more care landlords have taken with properties, the higher the rental that is likely to be achieved, sometimes in spite of the inferior state of the rest of the building, in the case of an apartment.
Among those looking to rent are students registered at one of the art, design or advertising tertiary institutions in the area. “Many students opt to share city bowl spaces as rents are often unaffordable for one tenant. Dual-income young professionals are also among the tenants,” says Taylor. Most of these young renters look for accommodation in areas like Gardens where apartments can range between R10 000 and R15 000 for a 1-2 bedroom flat.
“Stock is short though and priced right, rentals can be snapped up in a matter of days,” says Taylor, who suggests that tenants looking to secure a space should ensure that they are prepared by having the following documents ready: Three month’s worth of recent bank statements, a copy of ID or passport, proof of income/payslip, proof of address and a filled out application form.
“While demand currently way exceeds supply, and landlords can be very selective about tenants, they should not take this situation for granted, maintains Taylor. “It’s vital that a lease agreement be viewed as a relationship borne out of mutual respect in which the needs of both parties are served, so correct market related pricing is vital to ensure a long-standing lease with tenants who are considerate and reliable when it comes to timeous rental payments.”
Greeff Rentals Principal Glenda Taylor adds: “If your tenant feels ripped off because you’re charging a higher rental than the going rate for comparable properties, it will come back and bite you – you run the risk of losing your tenant as they will seek alternative accommodation or you might find that your property is not well maintained.”
She stresses that landlords should not underestimate the value of a reputable agent. “An agent can assist you in ensuring that your rental is the best one attainable for your property, while still being fair and market related. Most importantly, your property is your capital asset and livelihood, and in most cases the legacy you’ll leave to your children. A worthy agent will manage your property with the due care and consideration you’d give it yourself.”
Author: Greeff
