Demand gives rise to more affordable homes

he high demand for affordable housing and easier lending conditions are behind the launch of developments such as Ihlathi in Parklands, Cape Town (above). The offering at this entry-level gated community ranges from one-bedroom apartments starting from R689,999 to penthouse units at R1.2m including transfer costs.

Developed by International Housing Solutions (IHS), a global private equity fund focused

Ton property priced below R1.5m, Ihlathi is the fund’s ninth gated community project. It borders a nature reserve and offers environmentally friendly technologies that use 20% less electricity and water, as well as excellent security and annual capital growth of up to 10%.

According to Toni

Enderli, head of Realtor of Excellence, the trend is likely to continue, as stock in this sector is limited. “Some banks have responded to the demand by offering 100% finance because they see the entrylevel sector as an incubator for growth,” he says.

IHS’s MD for SA, Rob Wesselo, says the affordable housing market will keep growing, especially in Parklands, which is less than 20km from the CBD, with easy access to schools, shops, work opportunities and some of the country’s most beautiful beaches.

Ihlathi’s Phase 1, the first 102 apartments of a total of 384, will be ready for occupation by early 2021.