It's not all about the mountain - strong migration to the Cape

Is the draw of the Cape too strong to resist? Are the chickens coming home to roost? It seems so, according to records that say up to 40 percent of the buyers on the Cape Town Atlantic seaboard in the high selling season, are from Gauteng.
And, in a surprising turn, for a region that’s showing its own property upturn, the warm seaside of KwaZulu-Natal is losing its denizens to the chillier waters of the Cape Peninsula.

Scenic view of Sea Point on the Atlantic Seaboard in Cape Town
“The KZN buying trend probably has to do with a perception of Cape investment value, and in some cases the need to house children studying at Cape tertiary education facilities,” says Laurie Wener, MD of Pam Golding Properties’ (PGP) Western Cape Metro region.  September last year, she says, was marked by stronger than usual KZN presence in the Cape residential property market, a drift that’s gaining momentum.

And, while the prize properties of the Atlantic seaboard have always been a favourite with the moneyed migrants and foreign investors, it is the City Bowl that is experiencing an increase in buying interest from upcountry, with Gautengers in the forefront of those looking for a trendy pad in the shadow of the mountain.
“The coast is the traditional hunting ground of the homeseekers from the north, but our Central City is so unusually attractive that it’s catching the eye of buyers who fancy a bit of an inner city vibe for their Cape base and a foothold in the market,” says Basil Moraitis, PGP area manager on the Atlantic Seaboard and City Bowl.
In a shift from their traditional Cape preference, KZN buyers, who he says at one stage dominated the Waterfront market, are currently making a choice for Sea Point, which is once more in favour.

Priced at R27.95 million through Pam Golding Properties, this stylish four bedroom (all en suite) apartment in Bantry Bay is right on the water’s edge, offering 435sqm of luxurious accommodation on the sought after Atlantic Seaboard. Spacious living rooms flow to terraces overlooking the rocks and ocean waves. The apartment includes three basement parking bays.

PGP Cape Metro statistics currently show that in the summer months of the greatest market activity, about 40 percent of buyers on the Atlantic Seaboard and City Bowl are Gauteng buyers, and about 15 percent from KZN.
In the South Peninsula, PGP Area Manager Sandi Gildenhuys says there is a wide variety of both local and out-of-town buyers. “But Kommetjie, Noordhoek and Fish Hoek are popular among Gauteng buyers, and interestingly, Simon’s Town’s arty vibe is very popular among returning expats.”

The West Coast’s buyers are predominantly from the Cape Town area and rest of the Western Cape, with a smattering from Gauteng and the odd KZN buyer.  In the Southern Suburbs, PGP Constantia reports a strong demand from Gauteng buyers.
Statistics from March 2014 to February this year, covering the Western Cape metro and Boland and Overberg areas as a whole, show that while local Cape residents account for 87 percent of the market, Gauteng buyers take up 8 percent of the total, followed by KZN at just over 2 percent and Eastern Cape 1.15 percent. There is also a very small percentage from the other provinces. Taking the Western Cape metro alone, the trends are very similar, being 87 percent local, 7.6 percent Gauteng, 3.31 percent KZN and 1.23 percent Eastern Cape, with a few buyers from other provinces.

  Comment on this Article

  Please login to post comments

Post to my facebook wall
Characters remaining

    Latest Property News
    • 22 Jun 2018
      The rental market in many Johannesburg suburbs has shown encouraging signs of revival this year but it remains a competitive market and landlords who best cater to their market’s needs will reap the healthiest returns.
    • 22 Jun 2018
      Home design is constantly evolving to reflect the changing needs of society. We look at some of the ways in which our use of space is changing.
    • 22 Jun 2018
      While estate agents can help the seller with correctly pricing the property and marketing a property to the right pool of potential buyers, at the end of the day it’s the impression that the property will make on buyers that counts the most.
    • 21 Jun 2018
      Anyone who’s ever been involved in a building project that’s gone wrong will appreciate the importance of adequate insurance cover in the construction industry.
    • 21 Jun 2018
      A recent news story about a blind tenant caught in a legal battle with his body corporate over letters and notices he was unable to read and consequently comply with has raised the question: what are the legal obligations for landlords with disabled tenants?
    • 21 Jun 2018
      A trend that’s taken the world by storm in recent years is that of hygge (pronounced: hue-guh), a Danish concept that is about creating intimacy, connecting with loved ones and taking pleasure in small, ordinary things.
    • 20 Jun 2018
      Buying or selling real estate isn’t as easy as it is portrayed sometimes, especially if there is a death of a party during the transaction which can make it awkward, tricky and inconvenient.
    • 20 Jun 2018
      With interest rates remaining at historic lows and banks continuing to compete for mortgage finance business, first-time buyers with funds at their disposal are currently well-placed to gain that initial foothold on the property ladder, particularly in the light of the slightly lower growth rates currently experienced in residential property values.
    Subscribe to the MyProperty Newsletter

    Last Name  
    Email Address  
    Email Frequency
    Share this Page

    For Sale Property
    Rental Property
    More Options
    Connect with us