Capital value and rental growth accelerates in Hout Bay
Owning property in the Hout Bay/Llandudno area has become highly rewarding. The property market has been at an all-time high for some time now, and as a result, there has been a notable upward shift in the capital value of property, as well as accelerated rental growth.
This is well illustrated when looking at the latest Propstats data. It shows the overall average selling price in Hout Bay now stands at around R5.1 million. This is about 37% higher compared to 2019 and represents annual growth of around 6.7% per annum, well above the average CPI rate. Comparatively, the average price growth across the country is now below 1% according to the latest data from the FNB House Price Index.
The average price of freehold property is now at R6.2 million, and at R2.4 million for sectional titles. The data shows that the average difference between asking and selling prices is just 5.4% compared to 7.1% for the Cape Town Metro as a whole. Total sales for 2024 to date is already at over R833 million, and could potentially again top the R1 billion sales mark, especially in view of the expected interest rate cuts.
This clearly demonstrates the favourability of Hout Bay/Llandudno among property buyers, investors and tenants. The high demand means that Hout Bay is not only a good choice for residential and second home buyers, but also for investing in property for the rental market.
Aside from service delivery, an excellent community crime prevention operations centre, and good infrastructure where everything actually works, we also benefit from a fabulous coastal lifestyle. Nowhere is this better illustrated than in Hout Bay and Llandudno with its scenic setting between mountain and sea, and all the conveniences that you need right on hand including top schools.
Hout Bay is also just a short drive to the wine farms and shopping including Cavendish Square in the Southern Suburbs, and the attractions of the Atlantic Seaboard, Waterfront and City Bowl, along one of the most scenic drives in the world!
Hout Bay offers a choice of property including a number of estates offering stunning luxury homes, and we continue seeing new development as we expand to cater for the growing demand.
Working with the best agency is also a distinct advantage for property sellers, buyers, landlords and tenants. Aside from the credibility and 60-year brand leadership history, Seeff Hout Bay/Llandudno offers skilled and experienced agents who are able to assist clients to maximise their property aspirations.
As we head towards the busier selling season, and especially in view of the pending interest rate cuts which will further boost demand in the market, we would encourage those looking to sell or rent their homes to get into the market now.
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.
Property in Hout Bay and Llandudno have proven to be an excellent investment, and we invite you to contact our office today to chat about your property needs.
Yours in Property