Market Update: Kenilworth, Kenilworth Upper, Claremont Upper, Trovato Estate and Bishopscourt
Category Market Update
The news that the GDP growth rate lifted by 3.1% for the second quarter is certainly a positive boost for the economy and market. Already, we have seen that FNB has hinted that there may be some green shoots on the horizon.
In the meantime, an analysis of Propstats data for January to August 2019 compared to the same period in 2018 for the areas of Kenilworth, Kenilworth Upper, Claremont Upper, Trovato Estate and Bishopscourt reveals that while overall sales volumes are generally down, the average selling prices are slightly up.
However, the average difference between the asking and selling prices has increased from 10% in 2018 to 14% in 2019 and ranges to as much as 17% in the case of Bishopscourt.
Bishopscourt has seen an increase in the number of properties sold to 12 compared to 9 in the 2018-year and now boasts an average selling price of just over R17 million. Year-on-year sales for Claremont Upper has remained steady with 29 full title sales at an average selling price of just over R6,4 million, 7% up year-on-year.
There has only been a single sale of R6,8 million in Trovato Estate this year, down from three sales last year. Kenilworth Upper is also down slightly year-on-year with 10 sales at an average price of just over R5,5 million, 10% higher compared to 2018. Kenilworth sales are also down, but the average selling price is up by 11% and now stands at just over R3,2 million. It should be noted though that these increases are in nominal terms and when adjusted for inflation, overall growth remains at low levels.
An important message to take out from the data is that while the areas remain active, prices offered are on average 10%-17% below the asking prices.
It is important to always "listen" to the market. Ultimately, it is the market that will signal if a price is too high by simply overlooking the property or offers coming in at well below, as we can see from the above.
If you are serious about selling, then you may need to review your price, but be sure also to choose the right agent. Beware of selecting an agent based on a high price promise. Experience has shown that a local area specialist will sell properties faster and achieve higher prices.
An open mandate is also not going to sell your house faster or for a better price because no particular agent will be focusing 100% on your property. A Sole Mandate is a contractual agreement and a proven tool for achieving the best results since the agent will focus their energy and marketing on your property.
September to December is always a great time to list as there is usually an uptick in the demand for property, so be sure to contact us to discuss your next property move.
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Author: Gina Meintjes
