The residential property market of scenic Noordhoek in the Western Cape is booming, with a spike in property values, a drop in the difference between asking and selling prices, and a decline in the listing time.
Data from Propstats in 2021 showed that the average price of property was R5.3 million, but by the end of August 2024, it had increased by 68% to R8.65 million.
Propstats data showed that in 2021 the average house price was 8.2% lower than the asking price, but on August 31, 2024, the average house price was 4.2% lower than the asking price.
In 2021, properties spent on average of 157 days on the market while in August 2022, properties sold within 66 days.
Plus, in 2021, only four properties were priced over R10 million while no properties were priced over R20 million. For the first eight months of 2024,12 properties sold for over R10 million and two properties were in the R20 million plus price band.
Lilian Bron and Helen Smith, partner area specialists with Lew Geffen Sotheby’s International Realty said: “Noordhoek is hotter than ever at the moment.
“Several of our recent sales have been at the full asking price and at least four properties have sold within 14 days of being listed, with one R13.5 million home selling at full price within 48 hours.”
Bron and Smith attribute the rise in the Noordhoek property market to various factors including semigration, and growing foreign investor interest.
The area specialists said that foreign buyers currently account for the majority of their buyer demographic, with the last eight sales being to German, British and upcountry investors.
“Two sales were to German couples relocating to South Africa, another three homes were sold to British couples, one as a home, one as a holiday property and one as repeat business as they had already moved from the UK,” they said.
The biggest drawcard of the suburb has been its unmatched lifestyle which includes a unique blend of seaside village and quaint equestrian country charm.
Additionally, proximity to Cape Town, good schools and healthcare and other amenities make it attractive to buyers looking for a more tranquil lifestyle.
Bron and Smith said besides the suburb being home to pioneering eco-estates, it has stringent policies that limit the subdivision of plots to prevent over-development with the minimum erf size in Noordhoek still being 1,000m² except in gated communities.
The pristine quality of Noordhoek’s beaches has significantly added to the attraction for investors from upcountry and abroad.
The suburb has become sought-after for for wealthy investors seeking the best of both worlds, the ultimate country lifestyle along with all the conveniences of a city.
IOL Property