Luxury homes in Cape Town continue to attract some of the highest prices paid in South Africa despite a slowing property market.
Seeff Property Group chairperson Samuel Seeff says that despite a significantly weaker economic climate, R20 million-plus sales for Cape Town for the year has already topped R1.6 billion in value, with an average selling price of just under R30 million.
“When it comes to properties priced at R20 million-plus, there’s no shortage of buyers who are prepared to pay ever-higher prices for a foothold on the Atlantic Seaboard and in the upper end of the southern suburbs such as Constantia and Bishopscourt,” he says. “But we’re seeing this R20 million ceiling lifting in many other Cape Town areas.”
Seeff has sold a R34 million house in Higgovale in the City Bowl and a R32 million property in Riverside Crescent in Hout Bay, thus lifting the upper-end price ceiling considerably in these areas.
“We’re beginning to see R20 million-plus sales in other areas as well such as Mouille Point and even in Claremont Upper,” Seeff explains. “While Clifton will always be the most expensive neighbourhood, with the entry-level price there now about R20 million for a modest home, Camps Bay has seen the highest volume of R20 million-plus sales over the past two years.”
Other areas in the Western Cape that have seen an uptick in property prices include Plettenberg Bay in particular where several R20 million-plus sales have been recorded over the past three years, as well as Hermanus where Seeff, for example, concluded a R24 million sale.
Johannesburg and Pretoria East’s luxury areas are still playing catch-up, with only a handful of annual sales topping the R20 million price mark, Seeff says, and almost nothing in the R40 million to R50 million range despite the fact that significantly more wealthy homeowners reside in these areas than in Cape Town.
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“The seaside location, magnificent views over the Atlantic Ocean to the one side and mountains to the rear, along with the limited land space has in part been responsible for the significant price growth, but it’s also a reflection of the city’s good governance.
“Cape Town is a coastal tourist city and so attracts buyer interest from across the country and the globe – all of this means higher prices for a piece of prime land,” he says
The most expensive residential property ever sold in South Africa is in Cape Town, according to Seeff.
Here are the 10 most expensive properties sold in SA:
- Bantry Bay – R290m, 397, 399 + 403 Ocean View Drive (2016)
- V&A Waterfront – R245.1m, Lawhill apartment complex (2010)
- V&A Waterfront – R110m, One&Only penthouse 3 (2010)
- Clifton – R110m, 5 Nettleton Road (2015)
- Clifton – R80m, The Beaches (apartment), Victoria Road (2017)
- Mouille Point – R78m, 701 and 702 Amalfi (penthouse), Beach Road (2015)
- Fresnaye – R75m, 32 Ave Alexandra (2017)
- Constantia – R51.5m, 63 Southern Cross Drive (2015)
- V&A Waterfront – R55.5m, One&Only penthouse 2 (2012)
- Clifton – R62m, Kloof Road (2016)