One of the noticeable trends in the residential property market this year has been a discernible uptick in demand for luxury homes in the R10 million-plus price band – a sector where freehold properties have enjoyed an increase in demand. Much of this demand has been driven by local buyers who have identified specific areas of interest and understand that the current market, generally characterised by motivated sellers and well-priced stock, presents opportunities which offer exceptional value for money. The apartment living genre, penthouses are highly sought after and due to their nature, limited in supply and as a result yield very good returns on investment – some 20-25% over other apartments in the same building.
Typically, luxury residences recently sold include freehold houses in security and lifestyle estates or more spacious homes in areas such as Plattekloof, where upmarket Baronetcy Estate with its modern, new-build homes in a secure, gated community is proving popular. Secure estate living ticks all the boxes for many homebuyers on the Cape’s Western Seaboard, where Emarie Campbell, Pam Golding Properties area principal, cites Atlantic Beach, Water’s Edge Estate, Waterstone Isle and Sunset Links as popular among such buyers, offering highly appealing, luxury living in a secure environment. Certainly, the trend is towards gated estates and sectional title, especially on the front line of the beachfront. It really comes down to a lifestyle choice for buyers. Activity in the higher price brackets has been busier than the previous five years, with prices creeping up steadily and investor confidence resulting in bigger homes being built in several estates in the area, investing R10 million and more over and above the plot purchase price.