Despite the market slowing due to the interest rate and economic realities, there are still plenty of opportunities for property sellers and landlords on the KZN South Coast.
Michelle Harris, licensee for the South Coast area says value for money is a key selling point. Buyers can find good value from R1.2 million to R1.8 million for houses and below R900 000 for sectional title property. Even at the top end of the market, you can find great value houses from R2 million to R5 million.
The South Coast benefits from its close proximity to Durban with Port Edward for example less than two hour’s drive. There are plenty of hotspots, from Amanzimtoti and Scottburgh just outside of Durban down to Pennington and Hibberdene and the Hibiscus Coast towns of Port Shepstone, Shelly Beach, Uvongo, Margate and Port Edward about 90-minutes from Durban.
The multi-faceted property market offers residential, retirement and holiday properties as well as a wide range of commercial property and vacant land for development opportunities. As a tourist hotspot, there are also hospitality properties such as guest houses and bed and breakfasts, coffee shops, restaurants and the like.
The rental market is also varied and ranges from long-term residential rentals to short-term and holiday lets, and various types of commercial rentals, says Harris.
“You can live on the South Coast and enjoy the laid-back beach lifestyle and still work or have business interests in Durban.”
She says further that the area has long been a popular retirement and holiday hotspot for weekends and school breaks. It draws people from all over, especially the KZN region and Gauteng.
The South Coast offers some of the best Blue Flag beaches to compliment the fabulous sub-tropical climate and warm Indian Ocean. It is a surfing, fishing and water sport haven. It offers good infrastructure with private and public schools, shopping and retail facilities, medical care and a host of leisure attractions including golfing, hiking, mountain biking and more.
KZN South Coast currently *1 176 new property listings, according to Property24 Trends Data, with the average asking price being R1.185 million vs the average selling price of R900 000.
The average sale price for a sectional title for the 2021 period was about R825 000 while erf average sale price for the same period is R1 million.
The latest residential listings on Property24 show that three-bedroom homes are most widely available, at an average list price of R1.395 million.
76.8% of the sellers are older than 49 years old, while 52.1% of buyers are younger than 49 years old.
Click here to see all the sale and listing price trends in KZN South Coast
Mid-South Coast – Umkomaas to Scottburgh and Pennington, priced from R1.2 million
Debbie du Toit, manager for Seeff Mid-South Coast says the area is popular for its close proximity to Durban and covers well-known hotspots such as Scottburgh and Pennington.
She says there is still strong demand and a shortage of stock which is good news for sellers. They will, however, now need to adjust their price expectations as they sometimes have to drop their asking price by up to 15%. Buyers tend to do their online research and know what properties in the area are selling for.
Most in-demand are properties under R1.5 million, especially freestanding houses around R1.2 million. More younger people are buying and mostly look for larger homes with garden space. There are also more semigration buyers due to Halfway moving their head office to Scottburgh.
Great areas for buyers include Scottburgh and Pennington where the average house price is between R1.2 million and R1.8 million.
Hibiscus Coast – priced from R900 000
Tracey Roux, manager for Seeff Hibiscus Coast says the area offers relative affordability and value for money combined with an appealing lifestyle. It covers well-known areas such as Hibberdene, Port Shepstone, Margate, Shelly Beach, Uvongo, Southbroom and Port Edward.
It tends to attract a broad scope of buyers, from first-time buyers and families to 40- to 50s-year-olds and retirees moving to the coast. There has also been more holiday home investments. Sellers are mostly pensioners looking to downscale or move into retirement homes.
There is always a shortage of stock in the R1 million to R1.6 million range. The key price range in the area is between R600 000 and R1.4 million for sectional title and R1 million to R2.5 million for freestanding houses (depending on the size). Great areas for buyers include Shelly Beach, St Michaels on Sea and Uvongo where prices average between R900 000 and R1.7 million.
The rental market has increased with more people relocating to the area and renting before they buy. Renting is more affordable compared to the bigger cities and suburbs; however, stock can be a challenge. Secure, pet friendly properties are always in demand. The average rental prices are between R5 000 to R10 000 per month.
Click here to see all the sale and listing price trends in Hibiscus Coast
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*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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