High-end properties as well as those under R1m are currently finding favour among buyers in George.

This is the view of property professionals in the area who say sentiment has certainly started to change in 2010.

Pieter van Rensburg, owner of the Chas Everitt International office in the town, said property sales in George started an upward trend in September last year, which resulted in the best December sales figures in many years for his office, and good results since then.

“December was a record sales month, and it was interesting to note that most activity came from local buyers in what many regard as a primarily a holiday destination. These buyers started coming out of their shell at the start of spring with many homeowners upgrading and tenants buying first properties.

“However, there was also an increase in buyers from other parts of the country, notably Cape Town and Gauteng, who were either planning to relocate their families or buying holiday properties. Residential properties priced at between R450k and about R1m are finding most favour.”

Colleen Curtis, principal of Pam Golding Properties (PGP), says the George residential market came alive in January and this activity has increased dramatically in February. “Any well-priced property is selling at the moment. Those sellers who weren’t serious about selling took their properties off the market. This has created a balance between the demand from buyers and good stock coming on to the market.”

“High-end properties between R2m and R4m are quickly finding buyers while anything under R1m is also very popular right now. We’re seeing a lot investors scooping up cheaper properties and also businesspeople from Pretoria and Pietermaritzburg buying for residential purposes.

Van Rensburg says that local buyers believe the property market has reached if not passed a turning point, and are expecting prices to start rising in the near future.

“Expats returning to South Africa from Australia and the UK are also active in the market right now, as are investors who want apartments to let out, as they can now achieve returns of between 7% and 8% on such units - a 50% improvement on the return that was average just a few months ago.”

One- or two-bedroom apartments in George now fetch prices from R450k to R650k, he says, and monthly rentals range between R2,5k and R4k.

Collins says PGP has had record sales in January and February. “We’ve had sales in the region of R32m and the highest sale was R4,2m.

Van Rensburg notes that the confidence in the George property market evidenced by the increase in residential sales is underscored by renewed activity in the commercial market.

“Our office sold a commercial building to the value of R15m in the centre of town in December after a long, quiet period in this sector. And, as in the residential market, all indications are that the momentum will be sustained in the months to come.” – Eugene Brink

For more information contact Pieter van Rensburg on 082 610 1199 or Colleen Collins on 044 874 6619 send an email.

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