Cape property ‘superior’
The province’s success includes tourists and potential buyers escaping European winters
THE performance of the property market over the past five years had clearly demonstrated that Cape property is well ahead in terms of value, growth and high demand, Paul French, commercial director of the Coastal Property Group said.
“Although price growth has slowed over the past year as a result of the overall economic slowdown, the Cape remains an excellent proposition for buyers and investors,” French said.
“One thing is for sure, while price growth is slower, the overall average growth measured over the last five years, remains well ahead of the rest of the country.”
French said while the drought would no doubt have an impact, it won’t last forever. The resilience of the Cape’s success story, was due to a number of factors, including tourism.
The coastal location means it is ideal for tourism and the city works hard at growing this sector.
This brings demand for holiday and second homes as well as for holiday rentals, which in turn boosts the buy-to-let market.
Despite the drought, international tourism arrivals increased year on year in December by 11.5%.
The Cape remains a firm favourite with northern Europeans both for second homes and holiday purposes bringing people from places like the UK, Germany, Netherlands and other Benelux countries along with visitors and property buyers from across the world. The city is popular for northern hemisphere people to escape during their cold winters. The Cape is also popular with retirement home buyers from Europe.
Many expatriates continue investing in property in the country and much of this is Cape property. Similarly, Cape Town is an attractive holiday and property investment destination for wealthy Africans and this is a growing market, French said.
The influx to the Cape will likely be hampered only by the inability of upcountry people to get their properties sold. The desire remains high to move to the Cape for a variety of reasons including lifestyle and better quality of life especially for families with young children. The Cape is also a highly desired retirement location.
“The city has a very active long-term rental market, which provides a further boost for the buy-to-let market. It tends to attract the highest rental returns in the country but also seems to have better tenants according to recent rental barometers. That is certainly an incentive for property investors.”
FNB said last year that property prices in the Cape metro were well above any other area in the country. – 701295 Morning Melodies – The Delft Big Band MORNING Melodies focuses on presenting professional and affordable morning concerts to the senior citizens of the Western Cape. Each patron is also invited to a complimentary cup of tea or coffee after the performance. These performances are presented once a month and guests can expect opera, jazz, big bands, choral music, ballet and more. Tickets R35-R40, 10.30am, Baxter Theatre, Rondebosch The Black Filmmakers Film Festival THE Black Filmmakers Film Festival (BFFF) connects and showcases artists of colour through a series of events and workshops in the field of film and media. It seeks to establish itself as a port of call for aspiring black creatives in a supportive environment marked by mutual assistance and purposeful collaboration. Tickets R50, 6pm, Alliance Française, Loop Street, CBD When Swallows Cry WHEN Swallows Cry is a powerful trilogy on the international theme of migration and refugees. It played to critical and audience acclaim during its premiere run at the Market Theatre in January 2017. Tickets R80-R120, 8pm, Baxter Theatre, Rondebosch
PRIME SPOTS: Langebaan is a popular West Coast resort in the Western Cape where many foreigners, especially Europeans, buy property.