Young buyers flocking to Cape Towns Rondebosch
Although one of the older suburbs of the city, it is younger buyers that are boosting sales and prices in sought-after Rondebosch.
This four bedroom house in Rondebosch,Cape Town, offers a dining room with fireplace, study, sun room, sparkling pool and landscaped garden. It is priced at R10.95 million - click here to view.
This is according to Seeff agent, Charmaine Scott-Wilson, who says almost 70% of all buyers now fall well below the 50-year-old age group, comprising predominantly young families, medical professionals, academics and students.
Scott-Wilson says despite the fact that prices are rising exponentially year-on-year, people keep "flocking" into this area, buying and renting whatever they can lay their hands on.
All this activity has driven demand to a five-year high, and whether it is a starter flat or a three bedroom family home, properties are still flying off the shelf almost as soon as they are listed.
This is backed by the latest data from Propstats, which shows that the time it takes to sell property in Rondebosch has almost halved, from 40 days last year to just 26 this year.
Scott-Wilson says property in this area has stood the test of time, literally. While, like the rest of the country, activity dipped notably just after the 2007/8 downturn, it has recovered steadily year-on-year to end last year, with a total of 74 sales worth just over R290 million.
This year, 47 sales worth almost R210 million have already been concluded. The average price for sectional title property is now at around R1.3 million, up by about 30% from five years ago, while the price of freehold houses has increased by 57% from R2.3 million in 2010 to R3.6 million.
This property in Rondebosch has four bedrooms, a lounge with wooden floors, study and patio. It is selling for R3.7 million - click here to view.
Scott-Wilson says the appeal of Rondebosch is multi-faceted. It offers a good mix of housing, just over 40% of which is sectional title, including a big selection of apartment blocks. The bulk is freehold houses, often double storey, including newly renovated contemporary homes and even renditions of Sir Herbert Baker architecture.
The neighbourhood has a suburban feel with tree-lined roads. Its most defining feature is the views of the towering Table Mountain and the large greenbelt, the Rondebosch Common, for outdoor walks or cycling.
She says Rondebosch is central with excellent access to just about anywhere in and around the city. It has a high concentration of schools, no less than 16 along with the University of Cape Town. Most UCT students reside in the suburb and the demand for student accommodation is a substantial part of the property market.
The typical family moves into Rondebosch for about 25 years, educates their children and then stays on for the university years, after which they decide to scale down. With most parents working these days, the desire is to be as close to the schools as possible, preferably within walking distance, says Scott-Wilson.
She says the schools are also getting stricter with their catchment area requirements and this is driving demand and prices up. All of this contributes to the perennial demand for homes in this area, especially those close to the schools that can now command significant prices.
This home in Rondebosch, Cape Town, has four bedrooms, a formal lounge with fireplace, open-plan family room with underfloor heating, study, built-in braai and landscaped garden. It is on the market for R11.75 million - click here to view.
Aside from the attraction of the schools and academics who tend to head here, the suburb is popular with medical professionals, generally doctors who need to be close to the hospitals around the area, especially for emergencies.
Scott-Wilson says there is such strong demand for houses in the R4 million to R6 million range that they do not even have to be advertised or listed on the web as they have a waiting list.
A good illustration of this is the recent sale of a four bedroom home in Avenue De Mist within four days for R3.78 million, just short of the full asking price of R3.8 million. The property attracted multiple offers.
Another example is the recent sale of an older three bedroom home in need of renovation in Stuart Road for R3 million, only about 6.3% below the asking price of R3.2 million. This particular property attracted six offers, such is the demand.
A four bedroom home on a 300sqm stand in Vale Road within the school catchment area was listed for R4.5 million and sold within a week for R4.35 million at a phenomenal rate of R14 500 per square metre, and to a buyer who did not need to be near a school.
Scott-Wilson says closer to the schools, property tends to sell for considerably more. For example, a spacious family home on a large stand of 1 485sqm can now sell for upwards of R10.95 million, while a large four bedroom home on a 1 000sqm stand close to Bishops can go for up to R11.75 million.
She says this particular home is ideal for the growing family with its large yard, irrigated garden, swimming pool, spacious accommodation, entertainment areas and mountain views.