Why are more people moving to the Western Cape?
More than 30% of homeowners selling their properties through Sotheby’s International Realty in Gauteng are doing so with the intention of relocating to the Western Cape, says company chairman, Lew Geffen.
“According to our agents in Pretoria, the figure stands at around 10% to 15% of their sellers, but it’s as high as 40% in many Johannesburg suburbs such as Dainfern and Blair Athol,” says Geffen.
Property economist at FNB, John Loos, puts the Western Cape as the province with the strongest net inflow of repeat buyers and suggests people are moving away from Gauteng for lifestyle reasons.
But according to Geffen, those relocating to Cape Town in particular need to study the market and manage their expectations. “The fact is that residential property in Cape Town is, on average, far more expensive, and you’re likely to get less house for your money if you’re only spending your Gauteng house sale price. On the up side, return on investment on Cape Town property also tends to be higher so once you’re in the market you should have a higher-yielding, safe investment.”
This article originally appeared in Neighbourhood, Sunday Times.