The demand for residential property has soared in Brackenfell South in Cape Town’s popular Northern Suburbs, and subsequently property values are also on the rise, says Keimpe Weistra, area principal for Pam Golding Properties (PGP).
PGP’s Brackenfell office recently achieved the highest price for a house sold in the area, a four bedroom, three bathroom home which fetched R2.52 million – close to the asking price of R2.55 million. This considerably exceeds the previous highest price of R2 million for a home which sold in 2012. The top priced home includes an open plan kitchen and living area, braai room, undercover patio with built-in braai, swimming pool, double garage and outside store room. “This was also higher than any house prices achieved in the adjacent Brackenfell suburbs of Protea Heights and Sonkring,” says Weistra.
“Over the past 12 months, from 1 October 2013 to 1 October 2014, and in the price bracket from R800 000 to R1.5 million, a total of 143 properties changed hands in Brackenfell South (across all agencies and including first time registrations), compared to 126 sales from 1 October 2012 to 1 October 2013 – representing an increase of 13.5 percent. This is currently the most popular price bracket, which is also up on the former most prevalent price band of R500 000 to R1 million for the period from 2010 to 2012.
“In the higher price bracket, from R1.5 million to R3 million, 20 houses sold in the area from 1 October 2013 to 1 October 2014, reflecting a dramatic increase of 150 percent over the same period the previous year, when only eight homes sold.”
Weistra says the sudden surge in the higher end of the market is due to the shortage of stock experienced in the lower price brackets and purchasers realising they are able to obtain value for money in the top end price bracket. “More families are moving into the area due to the new high school, and as a result they are looking to acquire larger properties.
“It’s interesting to note that 40 percent of buyers in Brackenfell South are below 35 years of age, which appears to indicate young families moving into the area. With Bastion Primary School within walking distance, the new Curro Pre-School and Primary School opening in 2015 and the new Protea Heights Academy High School also expected to open next year, the demand for property will continue to grow and as a result we anticipate the average sales price will continue to increase.”
The Curro Primary School will cater for boys and girls from all areas in English and Afrikaans, while Protea Heights Academy, which is a mathematics and science focus school and also dual medium, will cater for Grades 8 and 9 in 2015. Other schools in Brackenfell include Brackenfell Primary and Brackenfell High School.
Adds Weistra: “Due to the shortage of stock we are finding that properties are being sold close to asking price and that these properties are being snapped up relatively quickly, often with two or more offers on the property. We are also seeing demand from buy-to-let investors, with many investment properties being sold in the price band between R500 000 and R1 million, as these achieve the best returns. The average two bedroom, 1.5 bathroom house can fetch as much as R6 500 per month, while three bedroom, 1.5 bathroom homes can achieve rental income of approximately R8 500 per month.”
An appealing, leafy and modern area, Brackenfell enjoys easy access to the R300, N1 and N2, making the trip to Cape Town, Somerset West and Stellenbosch easy and relatively quick.