April 7 2025 20:25
This is a guest article by Seeff Properties
SOUTH AFRICA
The news of buyers returning to Gauteng including reverse semigration from the Cape areas is no surprise given that the greater Joburg metro areas offer some of the best value for homebuyers, according to the Seeff Property Group.
After two flat years, the market is picking up steam, fuelled by a mix of those returning and influx of people in search of economic opportunities. According to a Lightstone report, the highest volume of people moving from rural to urban areas are in Gauteng. They often enter the rental market first, and once their financial position improves will enter the purchasing market. Aspirational buyers is a big component of the Gauteng metro property markets with buyers often moving up the price ladder over a period of time.
Property affordability and economic opportunity are the primary reasons for those returning to the Gauteng metros, according to various Seeff branches. Buyers find they can do much better in the Gauteng housing markets, and often their earnings as well.
Samuel Seeff, chairman of the Seeff Property Group says the marked decline in sales volumes over the last two years has meant that prices have largely stalled. Buying at the bottom of the sales cycle means you can benefit from capital growth once the market starts moving with greater momentum again.
The average price for Joburg has for example remained static at around R1.3m since 2019, increasing briefly to R1.4m in 2023, but dipped again to R1.3m last year. Meanwhile the average for the Western Cape is now at R1.9m, having grown notably over the last five years.
Gauteng prices have remained largely in check, and you can buy a lot more square meterage in Joburg, says Seeff. This has created an unprecedented buying opportunity across the Joburg, Tshwane and Ekurhuleni metros. Many suburbs offer entry level properties from R450,000 to R600,000. Property below R1.21 million is also exempt from transfer duty which is a further saving for buyers, he says. Given the high demand rental market, there is also opportunity for rental investors.
Christa Roos, licensee for Seeff Helderkruin and surrounds says there is excitement in the market with the interest rate cuts providing great opportunities for buyers. Suburbs on the western side of Joburg also offer excellent value for buyers. The highest demand is in the R1m to R1.5m range and there is an opportunity for sellers.
First-time buyers can for example find sectional titles and small houses in the R700,000 to R1m range. Families usually look in Witpoortjie (around R1.35m), and in Kloofendal, Helderkruin, Wilro Park and Roodekrans where you can buy below R1.75m. These areas are also popular for rentals which move quite quickly in the R15,000-plus per month price range. Pet-friendly properties in particular are in big demand, and there’s always an opportunity for investors.
According to Rochelle Holland, sales manager for Seeff Joburg North-West, they are seeing an influx of people coming from the Cape, often renting first, and then buying in the area. Most affordable areas include Strubens Valley, Wilgeheuwel, Radiokop, Allen’s Nek, and Honeydew offering good homes in the R800,000 to R2.8m range.
Soweto is almost unbeaten for excellent value for those looking to get a first foot onto the property ladder, says Khosi Sibiya, licensee for Seeff Soweto. Lower rates mean even more affordability, which could spark a buyer frenzy, and there’s good value to choose from, she says.
Best value areas include Protea Glen (R680,000-R750,000), Chiawelo (R650,000-R850,000), and Pimville (R900,000-R1.5M). You can also find family houses from R900,000 in Pimville and Rockville.
Pretoria/Tshwane is another area offering particularly good value. Areas such as Die Hoewes, The Reeds, and Heuweloord offer sectional titles from just R600,000, while Rooihuiskraal (from R1.5m), Doringkloof (from R1.75m), and Eldoraigne (from R2.0m) are affordable options for family houses, says Tiaan Pretorius, manager for Seeff Centurion.
The luxury price bands also offer significantly more value, including areas around Sandton, Johannesburg North and Pretoria East. Where the average transaction price for a luxury home (over R3 million) in the Cape is around R7.6m (35% higher compared to 2020), it is just R4.4m (2024) in the Gauteng metros.
Gerhard van der Linde, MD for Seeff Pretoria East said while most sales are below R5m, high end properties reached prices of up to R12m in Lynwood, R10.9m in the Mooikloof Equestrian Estate, and R17m in the Woodhill Golf Estate over the last year.
Woodhill Golf Estate
alistair@propertyflash.co.za
