{"id":758193,"date":"2024-03-09T17:00:00","date_gmt":"2024-03-09T15:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=758193"},"modified":"2024-03-08T15:39:06","modified_gmt":"2024-03-08T13:39:06","slug":"foreigners-are-scooping-up-property-in-this-part-of-south-africa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/trending\/758193\/foreigners-are-scooping-up-property-in-this-part-of-south-africa\/","title":{"rendered":"Foreigners are scooping up property in this part of South Africa"},"content":{"rendered":"\n

There has been a marked increase in the number of foreign buyers in the Helderberg region in the Western Cape. <\/p>\n\n\n\n

Over the last three years, foreign buyers have boosted the sales and rental markets in Somerset West, Strand and Gordon\u2019s Bay, with ongoing development needed to meet the growing demand.<\/p>\n\n\n\n

\u201cSomerset West has always been very popular amongst foreign buyers and, after a slight decline during Covid, this sector of the market has recovered well, and the swallows have returned,\u201d said Andre Coetzee from Lew Geffen Sotheby\u2019s International Realty. <\/p>\n\n\n\n

\u201cThe majority buy properties here to escape the European winter, and they tend to stay in South Africa for between three and six months a year. There is a large and growing German, Swiss and Duch community in Somerset West, and their preferred properties are in gated estates in the R4 million to R12m price band.”<\/p>\n\n\n\n

\u201cNot only do they appreciate the great value for money from a price point, but the relatively cheaper cost of living plus the lifestyle factor makes this area very appealing to foreign buyers, despite the country\u2019s issues and eco-political climate.\u201d<\/p>\n\n\n\n

There has also been a spike in buyers semigrating from Gauteng and KZN, with constant demand for correctly priced properties in all price segments of the market. <\/p>\n\n\n\n

\u201cThis increase in market activity since lockdown ended is clearly evidenced by Lightstone data, which reveals that during the past years, the median house price in all three areas reached a record high.<\/p>\n\n\n\n

\u201cIn Strand, the median house price jumped from R1.27 million in 2022 to R1.59m in 2023, in Gordon\u2019s Bay a high of R1.89m was reached in 2022, dipping only slightly to R1.88m last year and in Somerset West, a previous high of R3.3m in 2022 was pipped at the beginning of this year when it rose to R3.96m.” <\/p>\n\n\n\n

\u201cThe sectional title market has also fared well, with the median price in Somerset West and Strand reaching a median high this year of R3.1m and R1.45, respectively, while in Gordon\u2019s Bay, a record median price of R762,500 was set in 2023.\u201d<\/p>\n\n\n\n

To meet the demand for more affordable accommodation, there are also many new residential developments in the area. <\/p>\n\n\n\n

\u201cMost are secure estates or complexes that offer 24-hour security along with great lifestyle offerings such as gyms, swimming pools and so on, and some estates offer a wide variety of property options ranging from one-bedroom apartments to expansive freestanding houses,\u201d said Lew Geffen Sotheby\u2019s International Realty’s Chantal Botes. <\/p>\n\n\n\n

However, Coetzee warned that the Helderberg market has strengthened notably, with sellers needing to remember that buyers are well-informed and will not overpay for a property. <\/p>\n\n\n\n

\u201cThey (buyers) also have many tools at their disposal to compare properties, and value for money tops most buyer\u2019s lists. Even in a high-demand market, overpriced properties tend to sit nowadays.” <\/p>\n\n\n\n

Below are properties in these areas at various price points: <\/p>\n\n\n\n

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