The Rawson Property Group’s Newlands residential sales operation is in new hands, with responsibility for home sales in this area now being carried by Gareth Edwards and Lindsay Dwyer, both of whom operate from the Rawson Constantia franchise, which is owned by Eugene Pienaar and Nancy Todd.
Some idea of how active this new team has been in the first few months of moving into this territory is given by the fact that they are doing four to five valuations per week and, despite severe stock shortages throughout the suburb, they already have five homes on their stock list and they see this number growing in the months to come.
“The potential here is tremendous,” said Edwards. “Newlands quite possibly ranks as one of the most popular suburbs in the entire Greater Cape Town precinct. This is due to the beautiful leafy ambience, its exceptionally convenient central location – only 10km from the CBD – and most important of all, its close proximity to many of the Cape’s best schools – SACS, Rondebosch Boys, Bishops Diocesan College, Herschel Girls, Rustenberg Girls and St George’s Grammar School, as well as UCT.”
The popularity of Newlands, said Edwards, has resulted in a 16% year-on-year price rise – one of the biggest increases seen in any residential area in South Africa. In 2013 the average price of a home in Newlands was R4,5 million. Recently the figure was put at R5,25 million and the majority of enquiries are now in the R4,5 million to R5,5 million bracket. This is definitely an upmarket suburb and the high prices are particularly remarkable as the homes here tend to be smaller than many in other upmarket suburbs, such as Rondebosch or Constantia, the average home having only 2,5 bedrooms and being sited on an erf with an average size of 644 m2.
“Over 60% of our buyers are between the ages of 20 and 49 and according to Deeds Office figures they have monthly household incomes of between R67,000 and R75 000”, said Edwards. “In many cases they come here in search of good schooling – and they tend to move from Constantia, the Atlantic Seaboard, the City Bowl and outlying Western Cape areas.”
Edwards added that any correctly priced home with a price tag below R4,5 million could see the property being on the market for less than a week and quite often a Newlands home will sell before the agent will even have a chance to advertise it.
When asked whether the demand for higher priced homes in the R6 million to R10 million bracket is likely to pick up, Edwards said, that once the properties exceed the R6 million mark they tend to stay on the market for a little longer, however in the current market this period is shortening.
As yet, added Edwards, he can see no sign of the price rises slowing or the demand lessening, despite South Africa’s GDP this year being likely to be well below 2% and the economy operating at near recession levels.
“Newlands home owners tend to be highly privileged, almost elite, and are among those few who have been able to buck the trend and remain unaffected by the unfortunate economic conditions prevailing in the country.”
For further information contact Gareth Edwards on 021 761 1055 or gareth.edwards@rawson.co.za.
