select
|

Pretoria’s property outlook for 2016

Stock shortages, bigger demand due to new developments and fewer days on the market before a property sells are all part of Seeff’s predictions for the property industry in the greater Pretoria area for 2016.

Gerhard van der Linde, Seeff’s Managing Director in Pretoria East, says although their performance this year has been satisfactory, they are optimistic that the market will pick up in the New Year. 

“A lot of new commercial development is taking place in Pretoria East including the Menlyn Main development that is set to become Africa’s first green city. This mega development will include commercial space, retail space, shopping space, a gym, residential apartments, a hotel, an entertainment complex and scenic parklands. In addition to this many suburbs in Pretoria East are receiving a complete make-over due to the Gautrain and the new Rapid Bus Transit system and this will undoubtedly also create a greater demand for residential property”.

Van der Linde continues that their branch has had great success with selling properties faster than other agencies, especially when they have secured sole mandates on those properties. 

“The average property stays on the market for 94 days, but we have been able to reduce the selling period to only 32 days in the case of sole mandates”.

With regard to rentals he says that the area has a strong demand for particularly sectional title properties in the sub R1,5 million price range where investors are buying with the specific intention of renting out.

“In general the Pretoria East Market is well balanced with a steady supply of stock and constant demand. Home prices have increased modestly between 5 % and 7% compared to last year, but sellers’ expectations are still too high. The highest sale we have concluded this year was for R9.5 million”.

Lynne de Vos, Seeff’s Managing Director in Pretoria North says prices here have increased by 2%. “Our branch is up 3% compared to last year and my prediction is that the Pretoria North market will grow next year in especially the R800 000 to R1.2 million price range.

The area is vast and we are certainly experiencing stock shortages in some areas, but many developments are planned for 2016 that are all within a 15km radius from the city centre. There is a big demand for properties that are closer to town”.

De Vos says with rentals the price range that is most in demand is definitely around R6000 per month. “Rental rates begin at around R3500 per month for a one bedroom apartment and could go all the way up to R25 000 per month for a fully furnished home in an estate. The highest sale made this year was for R5.2 million”.

Steve van Wyk, Seeff’s Managing Director in Centurion says like in the case with Pretoria he expects the market here to pick up in 2016, but that they are also struggling with stock shortages. 

“I believe the market will pick up by about 6% to 8% each year over the next two years and that the most active price range will remain in the R800 000 to R1.5m price range.

He says that they have a high rental demand at all levels, but that the average rental prices range from about R5000 for a one bedroom home, R7000 for a two bedroom home and between R10 000 and R12 000 for a three bedroom home.” 

He concludes that selling prices in Centurion have increased by about 5% and the average amount of days spent on the market for Seeff is 46 days as opposed to 80 days which is the area’s average. The highest sale concluded in Centurion this year was for R11million.


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 23 May 2018
      Homeowners who are thinking of selling and “trading up” to a bigger or a better home had better be quick now if they want to get the best deal.
    • 23 May 2018
      The new Loftus Park development in Arcadia is really going to boost the demand for homes and rental accommodation close by and the neighbouring suburb of Sunnyside, says Gerhard Kotzé, MD of estate agency group RealNet Holdings.
    • 23 May 2018
      The importance of correctly pricing a property for sale is more imperative than ever. This is according to Debbie Justus-Ferns, divisional manager of Renprop Residential Sales, who says that despite this crucial selling fact being emphasised so often, in the current market, many sellers are still expecting unrealistic prices for their homes which is having a negative impact on the ultimate sale price.
    • 22 May 2018
      Extreme weather appears to be the new normal, evident by the volume of insurance-related disputes reaching the industry watchdog’s desk. To avoid a situation in which your insurer refuses to pay up, you should proactively ensure that your home is well-maintained and ready for whatever winter has in store.
    • 22 May 2018
      As the impact of technology on the real estate industry becomes more significant, it is clear that there is a need for an objective look at not only traditional real estate models but also online and other alternative low-commission real estate agencies, to examine what they offer and what their impact might be.
    • 22 May 2018
      According to Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, dealing with some sort of neighbour dispute is an unavoidable part of life unless, perhaps, you choose to live on a remote small holding for the rest of your life.
    • 22 May 2018
      Buyers feel that they are getting value for money in the Northcliff area without having to compromise on aesthetics and amenities
    • 21 May 2018
      Secure living is one of the growing property trends in South Africa and Nooitgedacht Estate in Stellenbosch certainly ticks the right boxes for buyers who want a secure, exclusive lifestyle in one of the Boland’s most sought-after estates, says Pam Golding Properties.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK