Property group Seeff has revealed the areas where property spends the least time on the market before being sold.
According to the second survey of the FNB Property Barometer, homes in Gauteng spend an average of 12 weeks (84 days) on the market before being sold.
“This figure is considerably better than the national average of 15 weeks and 4 days (109 days) and a good indicator that homes in Gauteng are generally priced realistically from the start,” says John Loos, household and property sector strategist at FNB.
Seeff asked some of its property experts in Gauteng to reveal the fastest selling suburbs in their license areas and in all of these suburbs the days spent on the market were not only considerably lower than the national average, but also lower than the Gauteng average.
The suburbs are;
Broadacres and Maroeladal (Fourways area)
Charles vining, Seeff’s MD in Sandton, says Broadacres is a suburb close to the Fourways Life hospital, and is nestled between the gated communities of Cedar Lakes, Fourways Gardens and Steyn City.
“Our office has made 17 sales in this suburb for the year so far at an average of 56 days on the market. A few homes that were priced at R2.4 million, R1.1 million, R1 million and R900 000 were sold on the very same day of listing.
Maroeladal is a desirable part of Fourways, most often called by the estate names in the suburb rather than the suburb name itself, like Waterford Estate, for example.
Seeff Sandton has made 13 sales in Maroeladal since March and property here spent an average of only 40 days on the market. The property that took the longest time to sell was priced in the mid R3 millions and took only 98 days to sell; and this is still lower than the national average.”
Weltevreden Park and Roosevelt Park (Randburg)
Chris Hajec, Seeff’s MD in Randburg says that the average days on market for their office in both these suburbs is just under 30 days, keeping in mind that property in the lower to medium price range tend to sell in the first or second week when they are properly priced.
“The average gets extended beyond this period when you factor in the homes that are unrealistically priced and at the upper end of the price spectrum”.
Weltevreden Park is a well-kept and attractive, community and family oriented suburb which offers a wide array of amenities, proximity to both public and private schools and Wilgeheuwel Hospital. It is conveniently situated immediately adjacent to the N1 and it is a good midway point for Sandton and the West Rand, with excellent access to all points in Randburg.
While there is a wide range of pricing, there is also a sizable amount of affordable stock for entry-level buyers with freehold property being split almost equally between two average price points of R1.3 million and R1.5 million. Buyers see value for money in these prices when you consider the quality of the housing stock on offer.
Roosevelt Park is a small suburb in the Randburg area with an average price point of R1.95 million, but with entry-level homes starting at an average of R1.4 million. This suburb is seen as both affordable and as having excellent value for money”.
Kibler Park and Alveda Park (Johannesburg South)
Trevor Sturgess, Seeff’s MD in Kibler Park says in these two suburbs property priced at R1.250 million and less sell in only 54 days of listing.
“The prices in both these areas range between R650 000 and R2 million and this coupled with factors such as being only 15 minutes away from the Johannesburg CBD and close to the M1 Highway make them very popular.
Glen Marias and Van Riebeeck Park (Kempton Park)
André Landman, Seeff’s MD in Kempton Park, says that younger people favour Glen Marais because of all the modern, secure estates and extras like fibre networks and free Wi-Fi it has to offer.
“Homes here sell for between R2.5 million and R3.5 million and are only 5 minutes away from OR Tambo. When priced correctly they sell within 60 days. Van Riebeeck Park offers more established developments and free-standing homes on large stands and are priced between R1.5 million and R2 million.
“Properties in Van Riebeeck Park that are located in secure states are sometimes snapped up in only 45 days.
Faerie Glen (Pretoria East)
Jimmy du Preez, a property expert with Seeff in Pretoria East says that properties sold here in 2017 to date spent an average of only 30 days on the market.
“Quick access to the Eastern Central Business District, known as Menlyn, OR Tambo airport, N1 and N4 highways, hospitals and leading schools make this one of the most popular living areas in the Tshwane Metropole. Property prices range between R1.5 million and R2.5 million”.
Eco Park in Highveld and Heuwelsig Estate in Monavoni (Centurion)
Steve van Wyk, Seeff’s MD in Centurion says property in the above areas sell within 6 weeks (42 days) of listing when they are priced correctly. Property in both these areas range between R800 000 and R2.5 million.
“The reason that property here sell in half the time than in the rest of Gauteng include the fact that these suburbs offer lock up and go units that are extremely sought after, fantastic value for money and are located in close proximity to highways, schools and all amenities”.
Mahube Valley and Capital Park (Pretoria North)
Peter Mokwana, Seeff’s MD in Pretoria North (Jacaranda), says although property in these two areas differs vastly the average days spent on the market is around 35 days for both.
“Mahube Valley is a new suburb at the top end part of Mamelodi with a price range from R450 000 to R800 000, while Capital Park is an established area which is nestled against the mountain with a price range from R750 000 to R1.2 million. Although Capital Park is a quiet suburb, it is very close to the centre of town where many government employees work and it is extremely sought after”.
The importance of pricing your property correctly
All of the above experts agree that there is only one way to ensure a quick sale on your property and that is to price it correctly and realistically from the get-go.
“In current market conditions, astute buyers do not pay a premium for property. They do their homework, look at all of the available stock and often play a waiting game where they wait for a property price to drop before making a reasonable offer.
Overpricing a property and adopting a strategy of ‘dropping the price at a later stage’ however is not the way to ensure a quick sale because quick sales only happen when well-priced and well-presented properties come onto the market that buyers are active in.
In order for sellers to price their property correctly they need to appoint an experienced, proven, real estate professional who can provide a track record that speaks for itself. The professional should be able to show a comprehensive comparative market analysis, establishing market value by showing what similarly situated homes have sold for recently in the area and it is best to avoid discount agencies and gimmicks playing on consumer's financial fears and inexperience.
Sellers absolutely have to put themselves in the shoes of prospective buyers and this means revisiting asking prices, especially if a property has been on the market for a while.
Marketing a property for too long may cause purchasers to lose interest or even convince them that the property has some serious flaws or irreparable problems and this could then eventually result in it being sold at a price far below the market value.
The Seeff experts conclude that in the current market you should always be able to justify the price you are asking for a property.