Bloem property in upward trend

Erna Goodes, Broker/Owner of RE/MAX First in Bloemfontein, says the property market is showing definite signs of recovery. She says that while demand remains strong, affordability in terms of bank criteria remains a problem. “However, the prices that are being achieved are continuing on an upward trend.”

She says that entry level homes, dependent on the area, would generally cost between R600 000 and R725 000 and would consist of a two- or three-bedroom home with single bathroom, single garage, lounge / dining room. Goodes notes that the buyer profile in this price range is made up of approximately 40% first time buyers and 60% previously disadvantaged buyers.

Buyers of middle of the range homes are predominantly upgrading buyers who make up around 40% of this market, and previously disadvantaged buyers who account for 60% of purchasers in this segment. Here homes would generally be set on stands measuring between 950m2 and 1500m2 and would feature three bedrooms, two bathrooms, a single or double garage and a swimming pool. These homes range in price from R850 000 to R1 050 000.

The most expensive homes are naturally located in the prime areas and include a mix of older and more recently built homes. Goodes says they would usually include four bedrooms, a study, TV room, separate lounge and dining room, a minimum of two bathrooms with separate guest toilet. “They would also have a double garage with automated doors, a swimming pool, lapa, patio and a braai area and would mostly feature upgraded kitchens and bathrooms.” Selling between R1,4m and R6m, these top-of-the-range homes often include a one- or two-bedroom granny flat, added parking in the form of carports and excellent security features. In this price range, stand sizes measure anywhere between 1800m2 and 4000m2. Goodes estimates the buyer split in this category to be 45% upgrading buyers and 55% previously disadvantaged buyers.

Adrian Goslett, CEO of RE/MAX of Southern Africa says that properties in Bloemfontein offer value for money, and the spread of homes in different price categories caters to a wide range of buyers.

Goodes says that renovations, the erection of flatlets or second residences on stands, subdivisions and extension under sectional title are the main emerging trends in the Bloemfontein property market. “We expect the property market to continue on an upward trend for the next 12-18 months. Bloemfontein remains a consistently stable market and the transfer of people to other centres seems to have declined somewhat. The upgrading of the road transport system due for the Soccer World Cup was long overdue and will be major benefit to our city,” Goodes concludes.

Article by: www.remax.co.za