New housing data shows that for a second successive year, sales in Camps Bay and Bakoven topped the R1 billion price mark, while the latest turnover figure of R1.1 billion represents the highest value achieved in the suburbs in history.
Total sales for Camps Bay and Bakoven amounted to R1.065 billion (112 units) for 2014 and R1.111 billion (86 units) for the 2015 year as at the end of the third quarter. In reality, the year ended closer to R1.115 billion, said Seeff Property company
According to the property group, some 15 trophy homes have sold at prices of upwards of R20 million, the highest volume ever recorded in this price category on the Atlantic Seaboard.
According to Billy Rautenbach, residential sales manager for Seeff’s Atlantic Seaboard and City Bowl operations, the average sales price for Camps Bay/Bakoven ended last year on just over R10.8 million, as much as R2.4 million (29%) higher than the R8.4 million average of the previous year.
The average house price for the suburbs escalated by 69% from R6.4 million in 2010, putting the suburb firmly amongst the most valuable real estate in the country, Seeff said.
Sellers of houses during the 2015 year also achieved an average return on their investment of 14%, measured over an 8-year holding period, Seeff said.
A house in Theresa Avenue that was bought in December 2012 for R10.7 million was for example resold in April 2015 at R17 million, achieving a 22% return in just two years.
Another Theresa Avenue house that was bought in April 2011 for R2.45 million was resold in September 2015 for R10.45 million, achieving a return of 15% per annum over 10 years.
In Beta Road, a house that was bought during April 2000 for R1.62 million was resold in April 2015 for R15 million at an average annual return on investment of 16% over a ten year period, Seeff said.
Apartments sold during 2015, achieved an even better average return on investment of 18% per annum over a seven year holding period, the property company said.
Freehold houses were the biggest seller in both Camps Bay and Bakoven, accounting for some 47% and 53% of all freehold sales in the top four luxury suburbs of the Atlantic Seaboard being Clifton, Bantry Bay, Fresnaye and Camps Bay/Bakoven.
During this period, some 198 freehold houses worth R2.176 billion were sold in Camps Bay/Bakoven compared to 111 sales worth R1.353 billion for Fresnaye, 42 sales worth R660 million for Bantry Bay and 23 sales worth R460 million for Clifton.
Camps Bay and Bakoven also topped the luxury suburbs for apartment sales, accounting for almost forty percent (37%) of the total value of apartment sales.
Apartment prices escalated even faster at 88% from an average of R3.68 million in 2010 to an average of almost R8.5 million last year.
The highest prices achieved over the last year include R47 million in Fulham Road, R32 million in Prima Avenue, R29.1 million in Brook Street, R28 million in Theresa Avenue, R25.5 million in Hove Road and R26 million in Glen Beach Road.
Apartment prices that topped the price stakes include Boulder Apartments on Bakoven Bay where six apartments were sold, priced between R10.7 million (R41,961/sqm) and R33.63 million (R78,209/sqm).
Source: Business Tech