PLETTENBERG BAY PROPERTY SALES FOR THE FIRST HALF OF 2015
Category Property Sales in Plettenberg Bay
PLETTENBERG BAY PROPERTY MARKET STILL BUOYANT.
As we gear up for summer on the Garden Route, restaurants and bars are doing final renovations and estate agents are furiously canvassing for stock. That’s because with the influx of tourists to our region, both domestic and international, summer is a good time to sell property. Conversely, it’s also probably a good time to buy property with the usual increase of properties on the market.
Taking this all into account, as well as a plethora of articles on property and Plettenberg Bay that have been doing the rounds in the media, it’s often a hard choice to make for those considering whether to sell or not.
AT HMP we like to take a more measured approach. While not discounting emotional issues and property articles, often written with an agenda, we like to get down to the nitty gritty and let the numbers do the talking. Sure, numbers only tell a partial story, but statistics, when taken in context, do not lie.
We took a look at sales in the Plettenberg Bay region for the first half of 2015 and compared them to last year’s sales figures for the same period. At HMP our statistics relate to deeds office sales in specified suburbs* and do not take into consideration properties that were transferred at a zero value – deceased estates etc. These are clearly not sales and to include them merely distorts what is actually happening in the market place.
In the first six months of this year, the volume of sales was up by 4% in the Plettenberg Bay region compared to 2014 (207 properties sold in 2015 compared to 199 during 2014).
This accounts for all sales, but when we break it down it shows that the most significant changes took place in the R2m-R3m bracket where sales actually increased by 50% (27 this year compared to 18 last year).
Notable features:
-
For properties that sold for less than R1m sales were down by about 11% (92 sold in 2014 compared to 83 in 2015).
-
11% increase in sales for properties sold between R1m and R2m (60 sold in 2014 compared to 67 in 2015).
-
Overall the percentage of sales that took place for properties exceeding R3M in value during 2015 was almost identical to that of 2014.Sales in this price category during 2014 account for 14.57% of total sales compared to 14.49% of total sales in 2015.Of interest were:
- In the R5m – R7m bracket sales were up 50% in 2015 (4 sold in 2014 compared to 6 in 2015)
- In the R10m – R15m bracket sales were up 150% in 2015 (5 sold in 2015 compared to 2 in 2014)
These numbers tell a different story to numerous articles which have been predicting the demise of the local property market. These stories have been common place since the economic crisis of 2008 and they prove one thing only; that no one knows what the property market will do. There are so many factors affecting the property market, from local politics to international news around the world, that to make these predictions is speculative at best.
* Suburbs included in the sales statistics are: Bowtie, Brackenridge, Cutty Sark, Goose Valley, Harkerville, Keurboomstrand, Lower Central, Lower Robberg, Plettenberg Bay, Poortjies, River Club, Robberg Ridge, Schoongezicht, Seaside Longships, Signal Hill, The Crags, Upper Central, Upper Robberg & Whale Rock
Suburb Trends.
The suburbs of Seaside Longships, Plettenberg Bay, Whale Rock, Goose Valley and Keurboomstrand were in the top five for volume of sales during the first half of both 2014 and 2015.
Keurboomstrand is of particular interest. Sales in this suburb were up by almost 48% during the first half of 2015 compared to 2014 (22 sold in 2015 compared to 15 in 2014). Sales in the R5M+ price bracket increased by 500% in Keurbooms during 2015 compared to 2014. One property sold during 2014 in this price bracket compared to five in 2015, three of which achieved prices in excess of R8M.
These statistics for Keurboomstrand are in keeping with the findings of the Cape Town property company, Hurst & Wills London, who predict that Keurbooms is one of South Africa’s coastal towns that is poised to become the next second home hot spot for the country’s dollar millionaires.
Hurst & Wills have identified a trend amongst the wealthy to have multiple homes covering an array of lifestyle preferences from beach to bush resorts and of course homes in the winelands. Privacy and exclusivity, both of which are offered by Keurboomstrand, are also driving these buyers to seek retreats off the beaten track.
We believe, and have always believed, that the market in our region is buoyant and vibrant, and while not immune to external factors, Plettenberg Bay seems to enjoy a life of its own in the property sphere.
One of the reasons is that the region continues to grow as a tourist destination, and is now becoming more of an all-year-round destination as opposed to just a summer vacation spot. More tourists inevitably mean more buyers.
We also believe, as we have said many times before, that well-priced properties will continue to sell, and those who like to try their luck, with unrealistic selling prices, will struggle.
That’s why we cherry pick our properties, offering quality properties that are priced to sell.
For more information on the local property market contact our team at Helen Melon Properties.
Helen Ward.
Principal: Helen Melon Properties.
www.helenmelonproperties.co.za
Author: Helen Ward
