October 9 2024 15:00
The towns of the Cape Winelands and Boland region have enjoyed a few prosperous years. In fact some property prices have reached more than R20m in the area, especially in Stellenbosch, said Pierre Germishuys, Seeff Properties’ licensee for the areas.
According to Lightstone data, median property prices are up by between 53% to 119% on average over the past 5-10 years. This is because of a surge in semigration and the desire among buyers for a quiet, country lifestyle, said Germishuys. Wealthy property buyers are also investing more in Stellenbosch, Franschhoek, and Paarl, especially in estates such as Val de Vie and De Zalze.
Young families are moving to the Winelands and Boland areas for access to good schools such as Paul Roos and Rhenish Girls’ High in Stellenbosch, Bridge House in Franschhoek and Paarl Boys and Girls High Schools, Paarl Gymnasium and La Rochelle Girls High in Paarl, among others. Stellenbosch University is also a big drawcard.
The surroundings, mountains, and valleys, and wine farms with their vineyards all add to the allure. Close proximity to Cape Town is another benefit, and the new Winelands Airport under construction is set to add further to demand for property in the area, according to Seeff.
Stellenbosch is the largest property market among the areas. Lightstone data showed that R3bn in transactions were concluded for the past twelve months (October 2023 to 30 September 2024), followed by Paarl at R1.8bn, Franschhoek at just over R742m, and Wellington at more than R493m.
Franschhoek boasts the highest average transaction price of R5.5m, followed by Stellenbosch at R3.2m and Paarl at R2m. Generally prices have grown by up to 64% over the past five years, and have doubled in ten years in these three towns.
Price growth over 5 and 10 years
| Price2024 | Price2019 | 5-Yr% Incr | Price2014 | 10-Yr% Incr | |
| Franschhoek | R5.5m | R4.30m | 27% | R2.75m | 100% |
| Stellenbosch | R3.20m | R1.95m | 64% | R1.60m | 100% |
| Paarl | R2.0m | R1.22m | 63% | R990k | 102% |
| Wellington | R1.66m | R1.48m | 12% | R950k | 74% |
| Ceres | R1.8m | R852k | 111% | R400k | 350% |
| Riebeek-Kasteel | R2.6m | R1.6m | 63% | R1.3m | 100% |
| Malmesbury | R1.6m | R945k | 69% | R850k | 88% |
| Tulbagh | R1m | R935k | 7% | R730k | 37% |
| Ave Price Increases | 52% | 119% |
Source: Seeff/Lightstone
Karen van Niekerk, an agent with Seeff said Stellenbosch was a sought-after address. It is renowned for its Cape Dutch architectural heritage, Stellenbosch University, and well-liked wine farms in the country. She said buyers were “coming from everywhere including many from Gauteng, KwaZulu-Natal and overseas”. Neighbourhoods such as Brandwacht aan Rivier, De Zalze, and Welgegund Domaine Prive are among the top choices for upper end buyers. Sales are now mostly between R8m to R13m, but prices of over R20m have been paid in Stellenbosch over the past year.
Those who don’t buy choose to rent. Jana de Villiers, a rental agent with Seeff, said student rentals were very popular, and students now pay around R6 000 to R9 000 per person. From a general perspective, tenants look for townhouses in the R15,000 to R21,000, range, or houses in the R22,500 to R37,500 per month range.
Access to some of the best schools in the country, especially for Rugby, is a big drawcard for Paarl, according to Clive Hartman and Chris Boucher, agents from Seeff Paarl. Older buyers and golfers are keen on the area, as well as European “swallows” who spend extended periods here to escape the cold European winters.
Hoog-en-Droog and Courtrai, both located on the slopes of Paarl Rock are a popular choice, as is Boschenmeer Golf Estate. Most buyers look in the R3.7m to R5.25m range.
Paarl is also very popular for rentals, said Charmaine Van Jaarsveld, a rentals agent with Seeff. Boschenmeer, Oude Chardonnay and Le Parc are popular, and most tenants tend to look at in the R12,000 to R25,000 per month range. High end rentals such as Sante Winelands Estate can go up to as much as R66,000 per month.
Franschhoek has emerged as a premier destination for its village setting amid mountains and rolling vineyards. It is also the most expensive on average with about 70% of sales falling above R3m. The average paid for homes ranges between R8m and R20m. Dina Boshoff, an agent with Seeff Franschhoek said there is “always a shortage of good stock, and both short term and long term rentals do exceedingly well”.
Katharina Roth-Munnik, a rental agent, said most tenants look in the R10,000 to R20,000 per month range, and look for farm cottages, small apartments in the town centre, or homes in estates.
Wellington is also close enough to Cape Town with some buyers opting to commute for work. This town is renowned for its vine-growing and cutting nurseries. It offers a great lifestyle for families and older buyers, according to Marilize de Beer and Linda le Roux, agents with Seeff.
Ceres is another popular town, about 90-minutes from Cape Town. It serves as a regional centre for the surrounding villages of Wolseley, Tulbagh, Op-die-Berg and Prince Alfred Hamlet. It offers predominantly freestanding houses with spacious yards, great views, and clean air. The area is also renowned for its outdoor adventure including 4X4 trails, rock climbing, and zip lining. Marianna Groenewald from Seeff Ceres said buyers mostly look for affordable homes in the R1m to R2.5m range.
Those who don’t buy, tend to rent for around R15,000 per month. Demand for rentals frequently exceeds supply which offers an opportunity for investors, she said.
247@propertyflash.co.za
