select
|

RE/MAX Suburb Trend Report – Hout Bay

Area history

Situated in a valley along the Cape Peninsula is the coastal suburb of Hout Bay. Just 20km from Cape Town’s bustling city centre this affluent suburb has managed to maintain its unique combination of fishing harbour and country atmosphere.



Initially a colony established by the Dutch in 1652, the area consisted of two farms that would later be subdivided to make room for the rapid urban expansion. In the development of the colony large quantities of timber from forests in the surrounding areas such as Constantia’s Nek were used for building and other purposes. This gave rise to its name, which can be translated to English as ‘Wood Bay’.  

Area property information

Adrian Goslett, CEO of RE/MAX of Southern Africa, says that house prices in Hout Bay have seen remarkable recovery since 2010.  “The average price for residential property in Hout Bay grew steadily from 2004 up until 2009, but experienced a dramatic drop in 2010. During 2011 property prices began to climb and in 2012 the average price for a freestanding home hit a record high of R3.951 million.”

Goslett says that freestanding homes have consistently outsold sectional title units in the area by almost ten to one. He notes that this is mostly due to the fact that there are not many sectional title units available in Hout Bay, with freestanding homes making up 67.12% of the market stock, while estates account for 25.63% and sectional title units a mere 7.25%. Over the past nine years, 2006 saw the most property transactions take place in Hout Bay.

According to Lightstone, a property statistics and information provider, currently the largest percentages of homeowners in the area are from the 50 to 64 age demographic and the 36 to 49 year old age group, representing 39.59% and 38.26% of the existing homeowners respectively. Generation X (36-49 years old) consumers are the most active in the area, accounting for 52% of the recent sellers, as well as 46.77% of the recent buyers. Other active consumers in the area are those between 50 and 64 years old, who represent 27.42% of the recent buyers. Although on a smaller scale, the younger generation (18 to 35 years old) have also made their presence felt and account for approximately 15% of recent buying activity.

Property price trends






Demand for property
Goslett says that the most sought-after type of property in Hout Bay is freestanding homes that are priced at R3 million and more. These properties account for more than half the homes sold in the area from January 2012 to December 2012. He notes that around 44% of homes  sold between or during the same period were priced between R1.5 million and R3 million and only 4.1% of properties priced between R800 000 and R1.5 million were sold in the same period. During 2012, no homes were sold in Hout Bay for under R800 000.  


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 19 Jan 2018
      Extending from Randfontein in the west to Roodepoort in the east and including the towns of Krugersdorp and Magaliesburg, the West Rand has a plethora of property available to residents who choose to make this unique area their home.
    • 19 Jan 2018
      When it comes to financial planning, doing the work to ensure you’re prepared for unexpected emergencies is just as important as ticking off your other goals and New Year’s resolutions. The beginning of the year is also the perfect time to review your various insurance policies.
    • 19 Jan 2018
      No surprises at the first Monetary Policy Committee of 2018, as Reserve Bank Governor, Lesetja Kganyago, announced that the interest rates would stay at their current levels.
    • 18 Jan 2018
      The Southern Suburbs make up some of the most popular residential areas in Cape Town, comprising charming groups of suburbs which lie to the south-east of the slopes of Table Mountain. It is seen as the city's most expensive residential neighbourhoods with a choice of various private schools, upmarket eateries, wine estates, beautiful homes and trendy apartments.
    • 18 Jan 2018
      New year, new goals! If you’ve resolved to purchase your first property in 2018, then this 6-step guide from the Rawson Property Group is a must-read. It will help you navigate and simplify what is often be seen as a confusing process of buying your first home – right from the house-hunt to the house-warming.
    • 17 Jan 2018
      While the current property market may still favour buyers, it doesn’t mean that they shouldn’t be well prepared before putting in an offer to purchase.
    • 17 Jan 2018
      Lightstone lists Blair Atholl as the most expensive suburb with an average house price of R11.2 million, followed by Westcliff (R10.5 million), Dunkeld (R9.3 million), Sandhurst (R9.1 million) and Inanda (R7.2 million).
    • 17 Jan 2018
      As it currently stands, there are four main ways in which a home can be bought in South Africa, says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa, who adds that deciding in which legal entity to purchase the property is not a decision that should be entered into lightly, as each has its pros and cons.
        
    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