RE/MAX Suburb trend report - Somerset West

Area history

Situated in the Helderberg area, approximately 30 minutes east of Cape Town, is the town of Somerset West. Bought from the local people by Dutch soldiers in 1672, the land was initially used as a cattle post. Over the years as more people settled in the area, a town developed and was named after Lord Charles Henry Somerset, an English governor of the Cape Colony during the 1800s. To avoid confusion, the suffix ‘West’ was added after 1825 to differentiate the town from Somerset East in the Eastern Cape.

Somerset West is home to the Cape Dutch style, 18th century farmhouse known as Vergelegen. The farmhouse was built on a wine farm by Willem Adriaan van der Stel, the son of Simon van der Stel. The home has been completely restored to its original luster and continues to produce some of the country’s finest wines.

Approximately 6km from Somerset West is the town of Strand with its stretch of beach that is popular with holidaymakers and residents living in Somerset West. There are also several other beaches in the proximity to Somerset West, along with a number of other amenities.

Area property information

Adrian Goslett, CEO of RE/MAX of Southern Africa, says that the property market in Somerset West reveals some interesting figures. He notes that according to Lightstone, a property information and statistics provider, the highest percentages of recent buyers were from the 18 to 35 age group and the 65 years old and older demographic, representing 34.34% and 23.49% of buyers respectively. Buyers aged between 36 and 49 years old represented the smallest percentage of buyers in the area. “This is unique in that buyers between 36 and 49 years old are normally the most active. However, consumers aged between 36 and 49 years old did represent the highest percentage of sellers, followed by those aged between 50 and 64 years old. Goslett says that 72.54% of the existing owners and 84.38% of the recent sellers in the area have lived in Somerset West for less than five years.

He points out that the property in the area consists mostly of estates, which make up 66.34% of the market stock, while sectional title units account for 32.87% and freehold homes represent the remaining 0.79%. Freestanding homes have consistently outsold sectional title units, with the highest number of freestanding property sold during 2007, widely regarded as the height of the property boom. However, the average price of a sectional title unit was remarkably higher than the average price of a freestanding home during 2007.  In fact, the average price of a sectional title unit during that year (R854 000) was the highest price achieved for that type of property to date.

Property price trends

Demand for property

Goslett says that the highest demand for property in the area is fairly equally split between homes priced from R400 000 to R800 000 and those within the R800 000 to R1.5 million price bracket, representing 38.6% and 37.4% of the total number of properties sold from January to December 2012. Homes sold for  below R400 000 accounted for 12.9% of the market activity, while 11.1% of the property sold fell within the R1.5 million to R3 million category. No homes were sold for more than R3 million during 2012.

  Comment on this Article

  Please login to post comments

Post to my facebook wall
Characters remaining

    Latest Property News
    • 23 Feb 2018
      RE/MAX Property Associates’ Table View Office, which services property buyers and sellers along the Table Bay coastline and surrounds, has recently sold a home in Woodbridge Island for R11 million – the highest price paid for any home in the sought-after security complex.
    • 23 Feb 2018
      Choosing to invest in an overseas property can be daunting. But as more and more investors recognise the value of a diversified portfolio that includes property outside of their own country of residence, international property investment is growing in popularity.
    • 23 Feb 2018
      The positive change in South Africa’s political landscape is paving the way for an upswing in the local property market.
    • 22 Feb 2018
      An excellent credit score is one of the most priceless assets a potential home buyer can have. This tool has the power to secure favorable mortgage and refinancing rate, influencing everything from the size of the loan repayment to the interest rate on the home loan.
    • 22 Feb 2018
      What do you do if you love your home’s location and the area, but the home no longer fits your growing family’s needs? Do you stay and renovate your existing home or find a home that meets your developing criteria?
    • 22 Feb 2018
      While every owner wants to sell their property at the best possible price, overpricing a home can be the kiss of death for a sale.
    • 21 Feb 2018
      Given the hand they were dealt, government has performed a delicate balancing act which it is hoped will serve to reignite confidence in investment in South Africa, regain our global credibility and satisfy the credit ratings agencies, says Dr Andrew Golding, chief executive of the Pam Golding Property group.
    • 21 Feb 2018
      The real estate mantra, ‘location, location, location’ remains a strong market influence regardless of the prevailing economy, with suburbs like Rondebosch enjoying the buffering benefit of being ideally situated.
    Subscribe to the MyProperty Newsletter

    Last Name  
    Email Address  
    Email Frequency
    Share this Page

    For Sale Property
    Rental Property
    More Options
    Connect with us