Picture: for illustration purposes
In South Africa's ongoing fluctuating property market, the Western Cape has surged ahead, capitalising on the coastal node's consistent demand. As per Balwin Properties' latest six-month report ending on August 31, 2023, the Western Cape overturned the traditional hierarchy, for the first time, becoming the principal contributor in apartment sales revenue.
In the reported period, the Western Cape lodged 402 apartments as revenue, escalating its part to total apartments recognised in revenue to an impressive 48%, a marked rise from 35% in the first half of 2023.
Balwin Properties noted a strong buyers' interest in the Classic apartments located at De-Aan-Zicht, Fynbos in Milnerton, The Huntsman in Somerset West, and Greenbay in Gordon’s Bay.
Concurrently, KwaZulu-Natal, with its Izinga Eco Estate and Ballito Hills, contributed a commendable 153 apartments to the period's revenue, equating to 18% of total apartments sold.
Whereas Gauteng, traditionally a sturdy performer, dropped to a 33% contribution due to a lower demand. Nevertheless, Balwin Properties maintains an optimistic long-term view anticipating a gradual improvement in Gauteng's property market as it works towards recovery.
Similarly, a surge in demand for Cape Town office space, driven by Independent Power Producers relocating their operational head offices, has further highlighted a semigration trend from Johannesburg, as attested by Growthpoint's CEO, Norbert Sasse, in the company's annual results report for the year ending June 2023.
The Western Cape government confirms these shifting patterns with an expected influx of around 500,000 people moving to the province in the near to mid-future.