Sandy Soller, who since October last year, has been the franchisee for Rawson Properties Sea Point/Atlantic Seaboard franchise and who initiated a swing to sales to complement what was formerly primarily a rental agency, says that the uniqueness of this precinct ('There is absolutely nothing else like it in South Africa') has bolstered priced levels throughout the recent recession '“ and will continue to do so in future.
This was confirmed by Alisdair Crofton, Sollers general manager, who said that on his calculations the average sale prices since late 2007/early 2008 had remained stable with many homes appreciating by 5 to 10% and the poorest performers dropping by a similar amount.
'This, of course, will be disputed by those who have had to face a 25% plus cut on their asking prices to achieve a sale '“ but any reputable agent will tell you that those drops were essential because inexperienced or dishonest mandate-seeking agents had allowed their clients to believe that the market value of their homes was higher than it in fact is'
Crofton said that this tendency to overvalue is still being encountered on the Atlantic Seaboard but Rawsons and certain other leading agencies in the area have now adopted a policy of 'walking away' from clients who will not accept a well researched comparative market analysis and a realistic market price.
As with many estate agencies in this area, said Crofton, over 90% of their stock is sectional title units '“ and, he added, there is possibly no other residential precinct in SA which offers such a wide diversity of prices and quality.
'In the V & A Waterfront we can have units priced from R7 million to R100 million, at Clifton prices can be up to R100 million as well but at Green Point and Sea Point we can offer clients bachelor pads for as little as R600 000 or luxury penthouses valued at R17 million '“ the average apartment here being about R2 million and the average freestanding house about R4 million. In Bantry Bay and Camps Bay the price range is R4 to R20 million'
Asked to give examples of good buys, correctly priced, on the market right now, Crofton mentioned:
· a one bedroom, fully renovated 55m² bachelor pad, in Green Point (with a garage) which is available at R860 000.
· a 72m² one bedroom upmarket apartment in the Water Club with beautiful sea views from its balcony and patio on sale for R3 850 000.
· a 500m² home on a 901m² plot at Bantry Bay '“ with a price tag of R18 million. This home has four bedrooms, five bathrooms, two garages, immaculate finishes '“ and views across the Atlantic.
Crofton said that although the area is famous for its top-of-the-range houses, the majority of buyers are still looking for a unit in the R1 to R5 million bracket '“ and, he adds, this is where the inevitable capital appreciation will take place fastest.
'Throughout 2012,' he said, 'price gains will be nominal but I predict that by mid 2013 real equity gains will be clearly evident. Anyone disagreeing with this simply does not understand the magnetic attraction this area has for upcountry and local upwardly mobile South Africans '“ and for 90% of foreigners. It is far better known and far more widely appreciated than even the best of the other Cape Peninsula suburbs'
For further information contact Alisdair Crofton on 021 439 4126 or email alisdair.crofton@rawson.co.za.
