Muizenberg and Fish Hoek ST properties leading the pack on the South Peninsula
The property landscape of the South Peninsula coastline has changed gradually over the last couple of years, with sectional title properties being increasingly in demand, particularly in Muizenberg and Fish Hoek.
“These areas continue to offer exceptional value and accessible prices in a city where property values in many areas have spiralled beyond the reach of first time buyers,” explained Steve Thomas, franchise manager for Lew Geffen Sotheby’s International Realty in False Bay and Noordoek.
Case in point is the fact that only 35.5% of the Muizenberg residential property market now comprises freestanding homes, with the sales and rand value of apartments in the area surging. “The median apartment price in Muizenberg increased by a nominal 8% year-on-year from R680,000 in 2013 to R800,000 by the end of 2015,” he said.
Arnold Maritz, Lew Geffen Sotheby’s International Realty Southern Suburbs Co-Principal, says that more than half (108 properties) of the sectional title properties that changed hands between August 2015 and July this year, have been sales in the entry level price band of between R400,000 and R800,000, with an average sale price of R594,000.
Thomas said that, although sectional development in Fish Hoek lags that of Muizenberg slightly (only 25% of properties are sectional title units) activity in the property class has been significant. “Some 40% of all property sales in the past year were sectional title homes with the most active price band being the R800,000 to R1,5m, where 36 of the 88 apartments sold at an average of R1,09m,” he said.
Lew Geffen, chairman of Lew Geffen Sotheby’s International Realty, said that the area is currently a high growth, lower risk market. “The area is showing good activity that is set to continue,” argued Geffen. “There has been a spike in demand for rental property, creating an excellent market for investment buyers who account for 40% of all transactions.”
Photo: This stunning two-bedroom apartment is on the market for R2,195m.