Recent press reports paint a picture of falling property prices across the country in 2016/2017.
Slowdown in SA property sales and Prices
While this may be true for the average property in South Africa, those lucky enough to own property in Rondebosch , Claremont and the surrounding areas should not be overly concerned.
There is still considerable interest from people all over Cape Town and South Africa in moving into Claremont and Rondebosch and the surrounding suburbs. The proven draw cards remain proximity to excellent educational facilities, business centres and easy connection to the rest of the city. Not to mention the local shops, restaurant and sporting facilities.
The Reverse Trek is real. Families are relocating to Cape Town to enjoy the excellent lifestyle and educational facilities. The reasons people give for relocating play directly to the strengths of the Southern Suburbs property market.
There are challenges in organising finance and buyers have become quite selective. The reduced exuberance of the buyers side of the market is compensated for by the fact that there are fewer homes on the market. There is still an imbalance in the local market which favours sellers.
It is my expectation that prices will remain strong and are very unlikely to fall despite the economic uncertainty. Sellers will have to be a little more patient and have more grounded expectations.