Housing stock dries up in Mtubatuba
|Mtubatuba in northern KwaZulu-Natal is suffering from a
drastic shortage of property stock with the waiting list of buyers having
increased from 100 to more than 400.
Gawie Spies, principal of leading local agency Homenet Chevwood, explains that all new developments in the town have been put on hold due to a water shortage and that there is virtually no vacant land for sale.
He also says that of the properties currently for sale, full title homes generally range in price from R900 000 to R2,5m but that properties priced at R800 000 and above are hardly selling, because 95% of the local market is made up of government employees who simply cannot afford them.
Sectional title homes are available at prices from R580 000, but buyers in our area are not too keen on sectional title units because of the levy costs and restrictions on alterations and extensions.
What is needed, says Spies, are more freehold homes at the right price for the local market. We have recently only had two houses in the R300 000 to R500 000, but if there were more they would be snapped up almost as soon as they were listed.
Meanwhile, the towns economy continues to expand and bring even more potential buyers into the market. Commercial projects recently completed in Mtubatuba include new offices for the Department of Agriculture and as an indication of the level of confidence that businesses have in the area, Spies reports that new branches of Nedbank, Sheet Street and Kentucky Fried Chicken are to open shortly.
In addition, the developers of a proposed upmarket shopping centre are already in discussions to try to secure a much needed Pick n Pay store as an anchor tenant, while another development team are laying plans for additional shopping mall.
Article by: www.homenet.co.za