select
|

Strong demand and good price growth for affordable homes in Welgevonden Estate, Stellenbosch

Property owners in Welgevonden Estate, located on the edge of Stellenbosch have reason to be pleased as values in the development continue to grow above the national average, says Seeff agent, Droeks Malan. 


3 Bedroom House for sale in Welgevonden Estate

The estate continues to attract mid-market buyers to its well-priced selection of homes and vacant plots. In the last year about 62 houses and 10 vacant plots have sold here to the total value of almost R114 million. The average house price is now at around R1,718 million, up from around R1,6 million in 2012. The average price for vacant land has risen to R731,900, up by just over 10% from 2012.

The agent attributes the good growth to the shortage of affordable homes priced below R3 million in the Stellenbosch area, especially in security estates. While the mortgage granting landscape remains challenging, the gradual relaxation of the stringent conditions has also aided sales, he adds. Having said this, a good job and credit record along with the ability to pay at least a 10% deposit remains paramount for prospective buyers.


2 Bedroom House for sale in Welgevonden Estate

The development still offers a diverse selection of property to suit every budget, says Malan. Smaller homes in the older part of the estate now sell for around R1,2 million. Medium sizes homes sell for between R1,48 million and R1,68 million. Larger, four bedroomed homes sell for around R2,8 million. Vacant plots sell for between R540,000 for 144sqm and R1,2 million for around 500sqm.

Welgevonden Estate is now well established and aside from the security, offers plenty of open areas and parks and stunning mountain and vineyard views, says the agent. It is popular with families, but is also attracting young, first time buyers and parents seeking accommodation for their student children. We have also seen an influx of investor buyers looking to capitalise on the strong demand for rental homes. Rental demand still outweighs supply and there is thus a good opportunity for more buy-to-let investors to look at the development. Three bedroomed homes are now let out at monthly rental rates of between R8,500 and R12,000 per month for an exceptional home with added extras.

While values in the estate continue to grow year-on-year, the agent says that existing home owners should ensure that they take advice before undertaking renovations to ensure that they do not over-capitalise. Sellers should ensure that their homes are in a good condition if they hope to get a good price.


  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
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.
        
    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