Unabating demand for rental homes in Cape Town

After reporting a busier-than-expected winter season for residential property sales in Cape Town, Pam Golding Properties (PGP) now confirms that the residential rentals market was also unseasonably busy this year (2013). 

PGP’s Rentals Manager for the Cape Metro region, Dexter Leite, says the Southern Suburbs, City Bowl and Atlantic Seaboard were particularly in demand, and business remained buoyant from May to September. During this five month period, PGP’s specialised rentals division concluded in excess of 500 lease transactions in the Cape Metro region.

This five-bedroomed home in Bishopscourt is available for rental through Pam Golding Properties at R75 000 per month. The exceptional home has spacious reception areas which flow to a shady stoep with mountain views. The property also includes a granny flat, staff accommodation and garaging for four vehicles.

Leite says demand is high across a number of prices ranges and in a number of different areas, resulting in stock shortages in several suburbs. “Family homes in the sought-after Southern Suburbs and City Bowl remain consistently popular,” he says, “thanks to their central location and access to top-quality schooling. The City Bowl and Atlantic Seaboard lifestyle is also highly sought-after, and clients are prepared to pay top rates to obtain apartments in upmarket secure buildings with unfettered views. There is also notably high demand for family homes in secure estates in Tokai and Westlake, which offer a secure lifestyle as well as easy access to the Reddam and International schools.”

At the very top end of the rental market, several leases have been concluded with international clients working on contract in South Africa, and with local businesspeople relocating to the Cape, who prefer to rent initially while they assess where to buy. PGP has also received numerous top-end enquiries for corporate/executive rentals.

Among the top-end leases concluded by PGP during this period (May to September 2013) were:

·         R78 750 per month for a house in Bantry Bay
·         R58 300 and R40 000 per month respectively for two apartments at the V&A Waterfront
·         R55 650 per month for a house in Fresnaye
·         R55 000 and R40 000 per month respectively for two homes in Stonehurst Estate, Tokai
·         R54 000 per month for a house in Llandudno
·         R45 000 and R40 000 per month respectively for two houses in Camps Bay
·         R45 000 per month for a penthouse apartment in central Cape Town
·         R38 000 per month for a house in Kenilworth
·         R36 200 per month for a house in Higgovale
·         R35 000 per month each for four houses in Claremont, Kenilworth, Bishopscourt and Tokai

Another source of significant demand for rental properties emanates from the student market, and Leite confirms his team has already concluded a number of student rental deals for 2014, mainly in the Southern Suburbs and City Bowl. “Most of the properties appropriate for students already have tenants secured for the year, although there are a few still available,” he says. “We usually see enquiries in this market continue well into February, as this is when most institutions begin their academic year.”

Leite adds that into the final quarter of the year (2013), his team has seen an upturn in enquiries from would-be landlords wishing to rent out their properties – mainly for long-term rental income, but a few seeking short-term holiday lets. “This is a positive sign given the high demand for rental properties, but has not been sufficient to alleviate stock shortages,” he concludes.

  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