Woodstock, Observatory, Salt River | Interest rate cut ahead signals a good time for sellers

Woodstock, Observatory, Salt River | Interest rate cut ahead signals a good time for sellers

Category Market Update

With a potential interest rate cut on the cards in the next two months, and the traditionally busier summer season and hopefully an end to the wet weather ahead, the property market looks set for a return of some exuberance. This also means that now may well be an ideal time for sellers to put their properties on the market.

Banks such as Standard Bank recently signalled that conditions are now favourable for the Reserve Bank to cut the interest rate. The expectation is for two cuts of 25bps each in September and November. Additionally, the rising positivity around the Government of National Unity, could be just what the economy and property market need to return some exuberance.

The property market expects the pending interest rate cuts to be a real confidence boost to encourage more buyers and investors to get back into the market. Cape Town also traditionally experiences an uptick in buyer activity in the warmer months.

Excellent service delivery and governance, combined with a desired lifestyle will also continue to fuel semigration to the Cape, adding further demand. Overall, Cape Town continues to perform notably better than the rest of the country according to various housing barometers including the StatsSA Residential Property Price Index (RPPI). This is encouraging for sellers and the market.

Despite a slowing of the market, areas such as Observatory / Woodstock / Salt River have continued to see good activity, largely for the excellent value on offer. The central location with excellent proximity to the CBD on the one side, and Southern Suburbs on the other side, access to schools, UCT and other amenities add further to the demand for property in these areas.

Propstats data for example shows that the majority of this year's house sales in Observatory ranged from R1.8M to R2.8M. That said, notable prices were achieved this year including R4.18M in Blake Street for a three-bedroomed house on a large plot of 694sqm, and R3.825M, also for a large house on a large plot of 402sqm. In Woodstock, the majority of houses sold for between R1.7M to R3.7M. The highest prices achieved in the area include R3.8M in University Estate, and R3.25M in Walmer Estate.

There is good incentive for those thinking of selling to get their properties onto the market. When it comes to selling, the benefits of a Sole Mandate simply cannot be overstated. It is an exclusive agreement with Seeff to focus all our energy on the selling of your property. Our innovative marketing methodologies together with an extensive network of qualified buyers, ensures more visibility and exposure to a wide pool of potential buyers. Seeff's Sole Mandates have proven time and again that we deliver on average a faster sale, and better price for our clients.

As an added incentive for sellers, a reminder of the incredible R1 million Cash Prize Competition which is open to all sellers who sell with Seeff on an exclusive sole mandate between the 1st of June 2024 and the 31st of May 2025.

We have already seen a number of sellers achieve an entry into this fantastic competition. Imagine what you could do with R1 million, renovate or remodel your home, invest it into your bond or elsewhere, or enjoy a holiday of a lifetime.

Aside from the credibility and 60-year brand leadership history, Seeff offers skilled and experienced agents who are able to assist clients to maximise their property goals. Your local area specialists, Craig Algie and George Clelland, are ready to assist. Contact them at any time for more information or to chat about your property aspirations.

Author: Gina Meintjes