While we have seen a shift in the property market this year due to economic influences, and the recent interest rate hike, Rondebosch properties have sold faster and for closer to the asking prices this year amid sustained demand and fewer property listings. Buyers are literally waiting for the next listing.
That said, we are seeing a broader slowdown in the Cape Town market despite its underlying strength. The property market closely tracks the economic cycles and factors such as growth, inflation and geopolitical factors (Trump Policies, Middle Eastern War), and resulting recent interest rate hike.
While high-income buyers and investors are less affected by interest rate fluctuations, and more by economic confidence and policy shifts, the market shift nonetheless affects buyers, sellers and investors who will generally need to adjust to the prevailing realities.
In a buyer’s market housing inventory usually exceeds demand leading to pressure on property prices. Lower stock levels and high competition generally drive property prices up as we have seen. A balanced market represents an equilibrium with equal supply and demand, and stable prices where properties sell close to their asking price.
Despite the broader economic headwinds and tightening market conditions, we therefore continue seeing Cape hotspots such as the Southern Suburbs remain resilient. While Propstats data shows notably fewer sales for Rondebosch this year compared to the first half of last year, properties are selling faster and for closer to the asking prices, amid sustained demand and low stock levels.
Properties have sold within a remarkable 15 days from listing on average compared to 35 days during the first half of last year. The average difference between the asking and selling prices is just 2% versus 6.5% last year. In reality, by working with a leading agent such as Charmaine Scott-Wilson from Seeff, sellers are seeing results quite quickly.
She recently sold a property within one hour of listing it, and for more than the asking price leaving several buyers disappointed. Aside from selling properties faster than the market average in many instances, part of Charmaine’s sales success this year, includes concluding one of the highest selling prices at R12.4 million, just 3.1% below the asking price.
She says it remains a great time to sell Rondebosch as demand remains high, especially ahead of the approaching season where many parents look to move closer to the highly ranked schools in the area and for easy access to UCT.
Experience and insight make a big difference for sellers, especially when the market shifts. Clients working with Charmaine benefit from her many years’ local area sales experience and negotiation skills, a database of ready-buyers and a strong network. As a “Lifetime Platinum Achiever” and one of the most awarded agents in the area, clients are assured that they are dealing with the best agent in Rondebosch.
For more information about opportunities in the current market, contact Charmaine today.