select
|

Pretoria East Residential Property Market Luring First Time Buyers

While the residential property market looks to be struggling around most of the country, it would seem that Pretoria East is one of the few exceptions. “Properties under R2 million are selling quickly, and yet properties over R5 million, in secure estates, are not standing still neither. If anything the middle market is quieter at the moment,” explains Silvana dos Reis Marques, Manager of Leapfrog Property Group Pretoria East.


4 Bedroom Townhouse for sale in Six Fountains, Pretoria
 
Pretoria East is quite a large area consisting of a number of suburbs (ranging from mid-to-upper market) including Hatfield, Die Wilgers, Brooklyn, Faerie Glen, Garsfontein, Lynnwood and Silver Lakes Estate.
              
According to dos Reis Marques, most of the buyers in the under R 2 million market are first time buyers while those buying in the R5 million and over market are upgrading. The trend in first-time buying is underscored by the 2nd quarter 2017 FNB Gauteng Sub-Region House Price Indices which indicates that the Tswhane metro has been undergoing a gradual real house price correction since the beginning of 2008. Prices have declined to the tune of -1.8% year-on-year – making the area more accessible to first time buyers.
 
The FNB House Price Indices also reveals that Tswhane has continued to show estimated levels of 1st time home buying to be above the national average. For the first two quarters of 2017, first time buyers were estimated at 21.8% in Tshwane, the National Average being slightly lower at 21%.
 
Major new developments on the cards

 
Baldwin Properties has partnered with Crystal Lagoons to create a R4.2 billion residential development in Pretoria East to be called The Blyde in Riverwalk Estate. The development will feature beaches, a pedestrian promenade and exclusive club houses for residents.
 
An even more ambitious project is Hazeldean, also known as The East Capital, which is a R44 billion development due for completion by 2020. Hazeldean has been envisioned as a self-sufficient work, play and live eco-friendly suburban precinct.  The master plan includes a mall, schools, hospitals and a number of residential complexes.


3 Bedroom House for sale in Olympus, Pretoria
 
“These developments will certainly attract more investment (both residential and commercial) to the area and it will most likely boost house prices over the next decade or so,” believes dos Reis Marques.
 
Improved public transport
 
According to the Gautrain Management Agency, it is planning to extend the rail route by 150 kilometres over the next twenty years, including routes through Randburg, Fourways and Soweto. A proposed new line will connect Mamelodi (Irene) with the current network, branching off from Sandton, Randburg, Cosmo City, the Cradle of Human Kind and Lanseria.
 
Pretoria’s Bus Rapid Transport System – A Re Yeng – which was introduced in 2014 – has also done much to improve transport in and around Tshwane. Dos Reis Marques notes that a number of businesses have opened along the bus routes as accessibility improved.
 
Don’t overestimate your property value
 
“While the new property developments and the proposed improvement of public transport will likely have a good impact on property prices in Pretoria East in the long run, we’re finding that sellers are assuming that buyers will pay unrealistic prices for homes”, says dos Reis Marques, “Buyers are very savvy and a house that’s not priced properly won’t sell. My advice to sellers remains to ask the advice of a qualified estate agent in terms of getting a realistic valuation.”
 
Dos Reis Marques also advises first time buyers to get pre-approval for a home loan before house hunting; “Knowing what you can afford, and importantly how much a bank is willing to loan you, will save a lot of time when it comes to buying your first property – there’s no point in making an offer on a property you can’t possibly afford. So do your homework before you start doing the legwork.”


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 17 Nov 2017
      FWJK has announced the launch of its latest residential brand, the Lil’ Apple, which will be launched simultaneously in two developments in Cape Town and Umhlanga totaling 600 apartments. The Lil’ Apple is set to be a brand of FWJK’s New York style apartments which will be rolled out nationally.
    • 17 Nov 2017
      It’s been a tumultuous year on many fronts, with socio-political uncertainty setting the tone for much of South Africa’s economic activity yet despite this and seemingly counter-intuitively, the residential property market has held up well.
    • 17 Nov 2017
      The EAAB (the Estate Agency Affairs Board) recently claimed that around 50,000 illegal estate agents could currently be operating illegally.
    • 16 Nov 2017
      Penthouses are synonymous with New York – characterised by high-rise living that is decidedly luxurious and spacious. While exclusivity comes at a price, you can still create a “penthouse” look and feel in your existing apartment or even the upstairs bedroom of a double storey house with some clever design changes and styling touches.
    • 16 Nov 2017
      The area has long been popular with kite surfers and, with escalating property prices in Cape Town itself, is increasingly in demand with home owners who work in town, but are looking to invest in more affordable properties.
    • 16 Nov 2017
      Cape Town’s popularity as a world-class tourist destination has resulted in a spike in the number of homes available for holiday lets and fuelled investor demand for sectional title units with short term rental potential.
    • 15 Nov 2017
      Sappi, one of South Africa’s oldest global companies and a leading global supplier of sustainable woodfibre products, has moved its global and regional headquarters to a new site on the corner of Oxford and 14th Avenue in Rosebank.
    • 15 Nov 2017
      There’s an old saying in real estate that you should seek to make a profit when you buy, not only when you sell – and a large part of succeeding at that endeavour is buying a home in an area with desirable features that will enhance the resale value of your property.
        
    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