The Rondebosch property market has seen a burst of action with confirmed sales of properties worth more than R114 million since the beginning of this year.
High-end properties in the Golden Mile, a catchment area for some of Cape Towns’ best schools, are being snapped up relatively quickly by families moving from surrounding areas and Johannesburg.
Ongoing demand and a stable growth factor have characterised Rondebosch as a middle to upper class suburb with proven long-term investment returns and the suburb has, in recent years, shown its value as a very worthwhile investment vehicle.
According to Janis Davidson, Rondebosch property specialist at Lew Geffen Sotheby’s International Realty, between January and June 2014 property sales in Rondebosch’s Silver Mile between Milner Road and the M5 have also been robust.
“Because the properties there and in Rondebosch Village are more affordable and therefore appealing to younger families.”
“Fixer-uppers are in demand and, if and when they come on the market, they are generally sold within a day or two,” said Davidson, who grew up in Rondebosch and has an extensive knowledge of the area. “The most affordable fixer-uppers are usually to be found in Rondebosch Village and or the Silver Mile.”
Lew Geffen, Chairman of Lew Geffen Sotheby’s International Realty, says Rondebosch is a highly sought after area, largely because if its character homes and proximity to good schools.
“One can never underestimate the value of desirable schools on the property market. Parents will pay a premium to ensure their children are in the catchment areas of good schools and Cape Town’s southern suburbs have no shortage of those.”
According to Western Cape property sales aggregation website Propstats, between January and June this year there were 27 freehold reported sales in Rondebosch. She has just sold a property in the Golden Mile for R8m – the highest price achieved for a property in Rondebosch this year.
It also shows that since March this year, more than 90% of the properties put on the market in the suburb have sold in 40 days or less – a clear indication, says Geffen that Rondebosch is firmly a seller’s market.
Janis Davidson says people searching for homes in the Golden Mile tend to look for four to five bedroom houses while in the Silver Mile and Rondebosch Village three-bedroom houses are the most popular.
She says home owners also tend to hold on to their Rondebosch properties for the convenience as the suburb is well placed with access to the city and to the business hubs of Claremont and Newlands.
“Rondebosch is, and always will be, highly sought after because of the proximity to leading schools and UCT. Generally speaking, people buy properties in Rondebosch so they can get their children into good schools and they stay in their homes for years until their children have completed their University education,” added Davidson.
“We see a fair amount of movement of buyers between the Village, the Silver Mile and the Golden Mile, but families tend to put down roots in Rondebosch and stay.”