In the area 1 – Germiston

A strong industrial base is helping the Germiston property market to bear up well under the pressure of the current downturn.

That’s the word from Leonora Swart and Simon John Smith, principals of the Homenet offices in East Rand town, who say that while prices are down 10% to 15%, the demand for residential property is being sustained by employees of the many industrial concerns in Germiston and neighbouring Wadeville.

The relative buoyancy of the local market, Swart says, is also being boosted by the fact that cash buyers are also plentiful in the under-R800 000 price range, with much of the demand stemming from “black diamonds” who want to move out of the townships but do not want to live too far from work.

First-time buyers and investors are also being attracted from across the Witwatersrand by the good value in Germiston, where one can purchase a three-bedroom, two bathroom home with double garage for between R750 000 and R800 000.

Indeed, the area is still attracting large numbers of buy-to-let investors who are having little trouble letting their properties for between R2500 and R7000pm.

Meanwhile, commercial investment in the area continues relatively unabated. A number of large mixed-use developments have been constructed recently and a new government hospital is due to be completed towards the end of the year, when hospital staff seeking accommodation close to their place of work will give the surrounding market another boost.

Already completed is a new retirement home which, says Smith, is the first of its kind in Germiston and a welcome addition as senior citizens previously had no choice but to leave the town to retire. Units in the home are selling from R650 000.

Article by: www.homenet.co.za