Propstats figures confirm Western Cape's upswing in sales

Reports from several Cape estate agencies that their turnovers have risen quite noticeably this year appear to be part of a general upturn recorded by most of the more reputable estate agencies, says Annette Evans, Manager of the Western Cape Institute of Estate Agents’ PropStats service, which collates and analyses sales data from most of the Western Cape agencies.

Evans’ latest figures show that in the first quarter of this year, confirmed sales of just over R3 billion were achieved and that the average selling price was R2,178 million. Sales, said Evans, were on average signed at prices 10,3% below the asking price.

“This,” she said, “is a big improvement on the last quarter of 2009 when the average selling price was R1,959 million and this was 13,3% below the asking price.”

March, said Evans, has been a record month for at least two agencies – with sales so far reaching a total of R802 million – and with more sales in this month still to be confirmed. These sales, she said, had an average price of R2,28 million and were on average 10,5% below the asking price.

The big question now, said Evans, is whether sales will continue to improve over the weeks of the World Cup period.

“While this has undoubtedly injected a certain new enthusiasm and hype into SA’s economy, traditionally estate agents find that slow downs in activity take place in school holiday periods. This year’s winter holiday will be six weeks long. It remains to be seen whether a holiday as long as that will in fact affect residential sales or whether life in the business community will continue much as before.”

Article by: www.ieasawcape.co.za