Sellers are exchanging small apartments for larger units as well as full title properties. Areas such as Killarney, Riviera, Saxonwold, Westcliff and Forest Town have seen a strong rebound in properties below R2 million. Read more on the Gauteng property hot spots here.
| Suburb | Average Property price | Average Property Price 1-year % change | Average Property Price 5-year % change |
| Forest Town | R4.7 million | 8% | -1% |
| Hyde Park | R2.7 million | -20% | -16% |
| Norwood | R1.87 million | -11% | -16% |
| Killarney | R1.3 million | -18% | -18% |
| Kyalami | R3.2 million | 16% | 63% |
| Riviera | R1.493 million | -31% | -53% |
| Saxonwold | R4.250 million | 8% | -19% |
| Westcliff | R6.01 million | 1% | -7% |
(Source: Property24 Trends Data)
ALSO SEE: Inland buyers finding value in Clarens, White River, Parys and lesser-known Karoo towns
From record sales along the Atlantic Seaboard to a revival along the West Coast, there is a buoyant property market in the Western Cape right now. There is currently a marked increase in unit sales on the Cape Western Seaboard, with "sales brisk in the R1 million to R2 million freehold residential market – with many first-time buyers who were apartment tenants during lockdown now insistent on buying freehold with outside space, and with freehold homes in security estates also in high demand in the higher price brackets from R5 million upwards", says Dr Andrew Golding, chief executive of the Pam Golding Property group. Read more on the Western Cape property hot spots here.
| Suburb | Average Property price 2020 | Average Property Price 1-year % change | Average Property Price 5-year % change |
| Blouberg | R1.65 million | 10% | 32% |
| Milnerton | R1.472 million | 5% | 9% |
| Parklands | R1.3 million | 9% | 49% |
| Table View | R1.6 million | 1% | 16% |
| Sunset Links | R6.8 million | 5% | -1% |
(Source: Property24 Trends data)
ALSO SEE: Cape country and Southern Coast hotspots crack over-stocked seal as properties under R2.5m 'flying'
The semigration of South Africans to coastal towns has been a marked trend for 2020, with KwaZulu-Natal benefiting due to affordability and the lifestyle offering. According to Vernon Vogt, Principal of Jawitz Properties North Coast, the current economic situation combined with the fact that operating businesses virtually has become the norm are contributing factors to more and more families moving to KwaZulu-Natal’s North Coast. Read more on the KZN property hot spots here.
| Suburbs and Towns | Average property price 2020 | Year-on-Year % Average Price change | 5-Year % average Price change |
| Amanzimtoti | R872 500 | -6% | 10% |
| Ballito | R2.3 million | 14% | 17% |
| Berea | R1.05 million | 2% | 76% |
| Blythedale | R2.2 million | -26% | 45% |
| La Mercy | R1.3 million | 19% | 21% |
| Mount Edgecombe | R3.035 million | -19% | 9% |
| Mtunzini | R1.2 million | 7% | 23% |
| Richards Bay | R1.05 million | 5% | 25% |
| Salt Rock | R2.5 million | 4% | 18% |
| Simbithi | R4.4 million | 33% | 41% |
| Umhlanga | R2.4 million | -14% | 2% |
| Umdloti | R2.6 million | -15% | 19% |
| Zimbali | R6.2 million | -7% | -2% |
| Zinkwazi Beach | R2.1 million | 9% | 28% |
(Source: Property24 Trends Data)
ALSO SEE: KZN's North Coast evolving from holiday to lifestyle hotspot
The residential property market in the Eastern Cape has remained surprisingly resilient during the unprecedented times the economy currently faces. A metro which has outperformed Cape Town since October 2018 is Nelson Mandela Bay, which is reflective of the strong growth in this regional market and which may well be attributable to the semigration of South Africans to coastal towns, with the Eastern Cape, as well as KwaZulu-Natal, benefiting due to affordability and the lifestyle offering. This is according to Dr Andrew Golding, chief executive of the Pam Golding Property group, who says a post-lockdown trend that is expected to continue is "heightened demand in secondary cities such as Port Elizabeth and East London. "These areas are seeing properties up to R2 million and R3 million respectively selling literally in days." Read more on the Eastern Cape property hot spots here.
| Suburb | Average Property price 2020 | Average Property Price 1-year % change | Average Property Price 5-year % change |
| Port Elizabeth | R750 000 | 1% | 23% |
| Broadwood | 1.03 million | -20% | 3% |
| Charlo | 1.25 million | 2% | 5% |
| Lorraine | 962 500 | 3% | 28% |
| Mill Park | 2.8 million | 10% | 23% |
| Summerstrand | 1.797 million | 2% | 7% |
| Salisbury Park | R402 000 | -63% | -43% |
| Walmer | R1.85 million | 28% | 40% |
(Source: Property24 Trends data)
ALSO SEE: SA's super estates strike a fine balance beyond niche market appeal
So What's driving buyers' property purchasing decision in 2021? A South African survey has revealed the realities of today’s local property buyer, and what is most important to them when it comes to where - and how - they choose to live. The survey conducted by Blok Developments saw a total of 1470 respondents, the majority of whom were based in the Western Cape (55%), followed by Gauteng (29%) and KwaZulu-Natal (12%). Thirty-four percent of respondents fell within the 26 - 30 years category, followed by the 30 - 36 age bracket, revealing a largely millennial audience. “This is not surprising, offers van Embden, “when you consider that Gen Y-ers make up 27% of the South African population, translating into a buying power of around 14 million people.”
Living with the folks
Of those surveyed, only 20% owned the property where they lived; 26% indicated that they rented together with friends or a partner; while the largest group (35%) still lived at home with their parents or caregiver. This is of particular interest, notes van Embden, when you consider that the vast majority of respondents who lived at home were between the ages of 26 - 36, while 13% were over the age of 40.
“This may be a result of the economic landscape, and the financial pressure faced by today’s consumer - they’re living at home for longer periods of time, as they simply cannot afford to live independently," says Jacques van Embden, Managing Director at Blok.
READ: How to get your home ready to sell before the 'January rush'
However, it may also be indicative of a more transient lifestyle. “We know that consumers are getting married and having children far later in life than previous generations. The pattern of living at home for longer is congruent with this trend towards wanting more freedom and fewer financial ties.
“We expect to see more agile products enter the market, in response to this desire for increased flexibility and affordability,” adds Van Embden.
What they want vs what they can afford
When it came to the size of property, the survey revealed consumers to be uncertain of what their income could get them. The largest group of respondents (57%) earned a gross monthly salary of between R15,000 - R20,000, yet almost half of respondents sought a two-bedroom property, as opposed to a studio or one-bedroom apartment.
*Property24 Listings Data Disclaimer: The trends detailed in this article are based on Property24 listings, current at the time of publishing, and property transfer data supplied by Deeds offices, which typically take 3-4 months to reflect. Suburbs are listed according to Property24's geographical database. In some areas this will include both commercial and residential properties. The age demographic data of buyers, sellers and stable owners is determined over a six-month period. These Property Values should not be used as a substitute for independent professional advice and is subject to Property24.com Terms and Conditions.
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