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Buyers are snapping up homes in Cape Town's Kenilworth Park
Category Property News
In even the most subdued property market, there will always be pockets which continue to enjoy the benefits of keen buyer interest, and unassuming Kenilworth Park in Cape Town is such an enclave where price stability, respectable returns and quick sales are still the order of the day.
According to Marc Plastow and Mitchell Mckenzie, Area Specialists for Lew Geffen Sotheby's International Realty, the freehold properties, especially, are in great demand and values have appreciated significantly during the past year.
"Houses in Kenilworth Park are very popular as they are similarly priced to sectional title properties in the surrounding areas, affording buyers more living and outdoor space but without the levies of sectional title properties," says Plastow.
"The suburb is therefore an attractive starting point for the first-time buyer, young family or those looking for a solid investment on a limited budget. The area is also attracting a growing number of empty nesters looking to downsize, as well as young professional couples."
"We listed the property on 5 December and sent brochures to our database of current buyers. At the very first show day on Sunday the 9th we received an offer which the buyers accepted and by Monday the deal was done with all signatures on the dotted line," says Plastow.
The duo sold another house within six weeks of listing over the festive season, signing the final documents on 21 January, and they have just listed a third house which is already attracting considerable buyer interest.
"An analysis of Propstats data clearly reveals the suburb's market strength as the average house price here has risen in steady increments during the past three years despite the prevailing economic climate," says Arnold Maritz, Southern Suburbs Co-Principal.
"In 2017 the average house price increased by 7.2%, from R1.37 million in 2016 to R1.47 million and again by a further 7.29% to R1.6 million in 2018 when prices in most areas were at best stagnating."
Selling time has also remained encouragingly brisk, especially for houses, which only spent an average of 18 days on the market last year, just two days longer than in 2016, says Maritz.
Maritz adds that although the sectional title sector has been a bit slower, largely because houses in the area offer such good value, apartment sales and prices have only wavered rather than tumbled with many units still selling within a month of listing while a few have taken up to three months.
Plastow and Mckenzie say that although the neighbouring suburbs aren't faring quite as well across the board, properties priced between R1.2 million and R1.5 million still seem to be moving steadily, with two bedroom freehold homes being the most popular.
"We've also noticed a 20% increase in sales in the Harfield Village and greater Kenilworth area in recent months, which is great considering the general overview of the current property market with most areas experiencing slow-moving stock," say Plastow and Mckenzie.
"One of the main reasons that Kenilworth Park has proven far more resilient than many of its more prominent neighbours is because it offers good value within in a high-value zone, with residents enjoying the same access to an array of first-class amenities. This is also one of the key reasons that demand and property values are likely to continue to grow in the suburb for the foreseeable future."
Author: Lew Geffen Sotheby's International Realty
