Atlantic Seaboard maintains value despite last year's decline in consumer confidence.
Analysing properties sold for the last 12 months along the Atlantic Seaboard, April 2017 to March 2018, (seen below) registered with the Deeds Office, which includes both sectional and full titles, the region has undoubtedly experienced a cooling period after the drastic growth of the past few years. There are an array of factors that we perceive have influenced a slowing in the rate; macro-economic factors, consumer confidence and buyer sentiment as well as Cape Town's water crisis.
However, recent political and economic stability has certainly impacted on investors', both foreign and local, appetite to continue investing in the one of the world's most beautiful and desired locations. We've recently been inundated with a renewed interest in areas like Bantry Bay, Fresnaye and Bakoven. Traditionally Camps Bay has been the most active property investment location along this stretch of beach nestled against Table Mountain. However, we're noticing a definite broadening of interest in locations surrounding Camps Bay too.
Taking a look at the table below or (click here), there are additional factors to take note of.
The value of properties, their median price, has maintained steady growth, therefore ensuring return on investment growth for property owners in this region. In 2016 the average value of full title properties sold in Camps Bay was R13 350 000. Whereas in 2018 it is already at R17 375 000. Similarly, if we analyse an area like Fresnaye. In 2016 the average value of properties sold was R9 650 000, and in 2018 the median is at R14 000 000 thus far.
With the foregoing in mind, Camps Bay and surrounds will always be a very good property investment location, in spite of cyclical trends. It is close to the city, has good schools and one of South Africa’s best seaside locations with added bonus of so many restaurants overlooking beach whereas not so in other seaside resorts as well as a substantial long term investment growth and returns.
Luxury Property Specialist
Harcourts Atlantic, Camps Bay
Mobile: +27 83 225 0287