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
    • 21 Nov 2017
      The buying process is over, and the moving truck has delivered your household goods to your new property. Now it’s time to unpack and turn your new house into a home.
    • 21 Nov 2017
      When an offer to purchase a property is signed by both buyer and seller, this constitutes a binding agreement or “Deed of Sale” between the two parties. However, in most cases the “standard contract” might not be enough to cover all the specifics pertaining to the sale. The agreement may require some additions or alterations to clauses, which needs an expert hand in the drafting of such
    • 21 Nov 2017
      As more and more South Africans look to invest in property abroad, Spain is offering them one of the best deals in global real estate.
    • 20 Nov 2017
      Since 2012, sectional title complexes have been leading the South African property market, not only in terms of price growth, but sales volumes as well. Remaining relatively strong, even in the face of 2017’s political and economic turmoil, experts say this market segment could offer valuable insight into South Africans’ property purchase priorities.
    • 20 Nov 2017
      Regardless of whether you are purchasing your first start-up home, downsizing or moving in with roommates, finding ways to maximise small spaces can be a big advantage, says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
    • 20 Nov 2017
      Property valued at approximately R1 billion is on High Street Auctions’ sales floor during the month of November, including the much-anticipated sale of the Tshwane Mayoral Residence and the land occupied by one of South Africa’s oldest operating gold mines.
    • 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.
    Subscribe to the MyProperty Newsletter

    Last Name  
    Email Address  
    Email Frequency
    Share this Page

    For Sale Property
    Rental Property
    More Options
    Connect with us