In the area 3 - Market turns in Faerie Glen
Demand in Pretorias Faerie Glen property market has turned from the affordable sector in favour of the middle market.
This is in contrast to many other markets where entry-level and luxury properties are in demand, says Nelis Bezuidenhout of the RealNet Wapadglen office.
Traditionally we have seen strong demand for townhouses in the R500 000 to R800 000 price range but currently property in the narrow band between R800 000 and R1m is doing well.
There are two reasons for this trend in the first place, entry-level buyers are under pressure and are waiting on the sidelines for interest rates to stabilise and drop. In the second place, buyers that would have bought in the higher brackets are now lowering their expectations and are buying down.
He says, however, that the trend towards lock-up-and-go units that gathered momentum a few years ago is still very evident in Faerie Glen. Buyers are targeting lifestyle developments such as Boardwalk Meander because of safety concerns and benefits such as sporting facilities on their doorsteps.
Townhouses, of which there is a large selection in the area, remain popular among first buyers, investors and older residents who want to scale down. These units are also proving popular among black buyers who are scaling up from flats in areas such as Arcadia and Hatfield, he adds.
Prices for townhouses currently start at around R500 000 for two-bedroom, one-bathroom units without gardens. An additional R40 000 will be enough to buy a similar unit with a small garden.
Free-standing two-bedroom units are selling from R620 000 while luxury 250sqm units in top developments carry price tags of around R1,8m.
Bezuidenhout adds that Faerie Glens location is a big plus for the lock-up-and-go crowd. The area is served by large shopping centres such as Menlyn, the Atterbury Value Mart and Woodlands Boulevard, and it offers easy access to the N1 as well as N4 highways.
Article from: www.realnet.co.za