Areas and Places

Morningside residential property values back to boom 2007 levels

The Rawson Property Group’s rapid expansion into the more affluent Northern Suburbs of Johannesburg was taken a step further this month with the signing of a deal between their franchisee for Sandton, Ben Cilliers, and his co-franchisee and wife, Adriana. In terms of this they have established a new franchise in Morningside, one of the most prestigious suburbs in Johannesburg. 

Ben Cilliers said that, typically, sectional title prices in Morningside are between R1 million and R5 million, with some of the more spectacular penthouse suites selling at R16 million or more. Sixty nine percent of homes in Morningside, he said, are sectional title, 19% are in gated estates and only 12% are freestanding. Sectional title homes, said Cilliers, average at R 1,604,000 in price, while estate and freehold properties are selling at an average price of R 3,525,000, with many being valued at over R20 million.

Most homes in Morningside, said Cilliers, have been appreciating steadily in price for some time now. Price rises in sectional title units, he said, are now between 5 and 7% per annum. The more expensive, upmarket homes, he said, are not yet showing signs of price rises but prices here have stabilized significantly.

More so than in almost any other upmarket South African suburb, said Cilliers, demand for homes in Morningside is way ahead of supply. This, he said, is because of its aesthetics, composition and highly strategic position, just a few kilometres from the Sandton CBD and within 15 km of the Johannesburg CBD.

“Any accurately priced unit in the hands of the right agent will sell within 48 hours,” he said. “The most recent sale made by our franchise, for a R4,150,000 home, was achieved within three and a half hours of its coming onto our books.”

Stock shortages, he said, are the main challenge facing any agent in the area. However he is confident that, with the team he has now recruited, he will be selling six to eight units per month by the end of this year.

“The situation being what it is,” said Cilliers, “Morningside residential property now represents a very good opportunity to achieve significant capital growth on an investment.”

Within eight days of establishing the new franchise, Cilliers and his wife had recruited eight adept agents, with an average age of only 29.

“I believe strongly in having a young staff,” he said. “Their energy and enthusiasm are what give an agency such as this real life.”

The Rawson Property Group Morningside franchise will be following the example of its Sandton partner by conducting regular community and property surveys from house-to-house. The results of these will be disseminated throughout the community by knock-and-drop flyers and, said Cilliers, have in the past proved very useful. They will also continue to sponsor the Rawson Rebels, a ten side rugby team in the popular Sandton tournament.

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