PE market bottoming out

02 Mar 2009

Over the past year, Port Elizabeth's property market has flattened out, with buying and selling taking place at much lower levels than previously.

So says Di Allan, principal of leading local agency Homenet, who adds that "price counselling has become the norm and sellers have had to lower their expectations".

"A number of families have also moved in together and are leasing out their other properties in an effort to cover costs.

"However, buyer sentiment is improving in the wake of the two interest rate cuts since December. The prospect of being a 2010 host city is also doing much to lift the general property outlook. The Sydenham stadium is nearing completion, and the related infrastructure and investment has already generated positive spin-offs for the immediate property market."

Other factors that will contribute to a quick turnaround, she says, include stable property values, a strong holiday season performance and the fact that development and investment in the city has continued relatively unabated.

For example, major plans to open up Walker Drive in Sherwood are in progress and a sizeable shopping centre has already been constructed in the area, while land has been earmarked for further mixed-use development.

Currently, freehold property values in the city are holding firm at an R850k, entry-level and sectional title homes are selling for an average of R700k.

Stand buying has also become popular as evidenced by swift sales recently at Kamma Heights, Bluewater Bay and Parsons Vlei as buyers look to acquire their land now while prices are still relatively low, and build later. The stands have the basic utilities in place and typically measure between 400 and 600sqm. Prices start at R250k depending on location.

For more information contact Di Allan on 041 922 6161 or click here to visit the website.

Readers' Comments
Have a comment about this article? Email us now..

Looking for a new home?
To find a property to buy, visit Find a Property and view listings of properties in all areas. Check out PropertySPI and get an affordable online report on actual sold prices of properties in your area.

Property News
Click here for more property news articles.

Need a blog?
Start your own blog with a free blog from 24.com.


Email Print Share

Similar Articles

View all articles

Top Articles

View all articles
Top Articles
More property articles...

Newsletter

Get the latest property news in your inbox.
Select your options:

Your browser is out of date!

It looks like you are using an outdated version of Internet Explorer.

If you are using Internet Explorer 8 or higher, please verify that your Internet Explorer compatibility view settings are not enabled.

For the best browsing experience update to the latest Version of Internet Explorer or try out Google Chrome or Mozilla Firefox.


Please contact our Customer Service Centre for further assistance. Tel. +27 (0)861 111 724