“These properties generally offer excellent value at between 15% and 20% cheaper than the market price of similar properties and are sought-after by young buyers and investors,” says Riëtte Oosthuizen of the RealNet Centurion estate agency.
She says although the cheaper ranges in Centurion carried this area market through the tough times and are still widely popular, buyers are increasingly targeting more expensive units as the recovery process gears up.
“The cheaper end of the market, where prices of units start at around R550k, is still active but we are greatly encouraged by renewed demand for units with price tags of up to R2m. Greater demand is especially evident in suburbs such as Eldoraigne and Celtisdal,” she says.
Charmaine Coetzee, manager of the Centurion branch of Pam Golding Properties (PGP), says Centurion has developed into a residential area that has something for everyone. “It has anything from R500k homes for the first-time buyer to a R20m dwelling for the affluent buyer.”
She says the properties that are selling most actively are in the price range R500k to R1,5m for sectional title properties, R800k to R2,5m for full-title properties, and R500k to R650k for stands in security estates.
“Mid-range residential areas – including Lyttelton, Doornkloof, Eldoraigne, Club View, and Rooihuiskraal – are attracting increased demand because of their affordability.”
She says, for instance, prices in Eldoraigne (which was established in the 1970s) average R1,2m. “This would buy a house on about 1,000 to 1,500sqm with three bedrooms, two bathrooms and, in most cases, a pool and double garage.”
Coetzee says the buyer at the lower end of the cost spectrum could, for instance, buy a home in Rooihuiskraal, where the average entry-level price of R800k would fetch a (generally older) three-bedroom home with two bathrooms and a single garage or carport. “But which would require some work.”
Oosthuizen says demand for units in estates and duets in the price range of R800k to R2m in areas such as Wierdapark, Eldoraigne, Rooihuiskraal, Lyttleton and Highveld is lively and prices are stable.
Coetzee says first-time homeowners, middle income families and buy-to-let investors are the most prominent buyers in Centurion. “The time taken to sell a property in Centurion is dictated by whether or not the property is on offer at a market-related price. Those that are, change hands between about 90 and 120 days.
“Unfortunately, however, the price aspirations of sellers generally remain unrealistically high at this stage.”
Oosthuizen says a further positive development is that successful bond applications have risen by about 10% in the past four to five months. “This leads to quicker sales and acts as a general stimulus in our market.”
She says the rise in successful applications may be ascribed to prospective buyers being better prepared in terms of banks’ qualification requirements as well as being more informed about the size of deposits required. – Eugene Brink
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