Somerset West boasts highest average property prices in Helderberg
Loretta Diab, manager for Seeff Somerset West, says that the village has in recent years become one of the most sought-after residential areas in the country and sales, prices and the property statistics for the market reflects that.
It is especially upcountry buyers from areas such as Johannesburg and Pretoria that are flocking to the village.
Somerset West now boasts the highest average prices in the Helderberg and is certainly rivalling Stellenbosch desirability, demand and price stakes. The average price for freehold property for example now stands at around R2.56m. This is not only 50% up from five years ago, but is now at a very similar level to the average price in Stellenbosch while it is significantly higher than that of the Strand and even Gordon’s Bay which boasts many millionaire homes.
Sectional titles
Sectional title property now sells for around R1.5m on average, about 36% more than five years ago. Comparatively, the Strand and Gordon’s Bay boasts a freehold price of only around R1.2m and a very modest sectional title price of around R750,000-R800,000.
These days, Somerset West is also home to a number of millionaires and millionaire homes that are easily priced to the R25m to R30m price mark.
While the sub-R3m price band remains the most active, top end sales prices of luxury homes have comfortably reached R3.7m in Fairview Heights, R4.5m and R5.2m in Dennegeur Estate, R5m in Boskloof Estate, R6m in Bellaire Estate and R6.5m in Spanish Farm.
Diab says the laid-back country lifestyle, scenic surrounds and surprising centrality are factors often cited by newcomers to the area. The migration to the Cape has certainly boosted activity considerably with out-of-town buyers now easily comprising around 40% of our buyer interest, she adds.
Younger buyers
At this stage, demand is still outstripping supply and it is still a favourable phase for sellers, especially in the R2.2m to R2.9m price range where there is now very little stock on the market, says Diab. It is also not just older buyers, but there is a clear shift in the buyer demographic. This is supported by the latest Lightstone figures that shows that about 40% of recent buyers are younger, under the age of 40.
While there are many older homes, we have a wide selection of luxury homes priced in the R2.5m to R7.5m range, but prices range to as much as R20m at the top end.