Latest news with #Seeff
IOL News
24-06-2025
- Business
- IOL News
How economic stagnation is impacting property transactions in Johannesburg
The Johannesburg region continues to see a surge in population as many people search of better economic opportunities. Image: Simphiwe Mbokazi / Independent Newspapers Property transactions in Johannesburg depict years of low economic growth, with Lightstone data showing that the city's property transactions are down by over 30% in some areas. It has lost significant property value over the last few years, with negative property value growth of 1.3%, the weakest of the metros, and notably below Cape Town's 6% growth, says Samuel Seeff, chairman of the Seeff Property Group. He said the average property price has remained static at around R1.3 million. Despite this, he said the Gauteng metros present unparalleled value for property buyers and investors right now. 'Buyers should use the interest rate savings and opportunity to invest at the current historically low prices,' Seeff said. 'You can find unbelievable value, even in the luxury areas where you can find mansions for under R10 million to R15 million. While the market is picking up, it remains sluggish, largely due to poor infrastructure maintenance and management, but this will not always be the case,' he added. The property group said that despite its current challenges, Johannesburg possesses enormous untapped potential. It said this is the country's most populous metro with the highest urbanisation rate, as people continue to flock to Gauteng in search of economic opportunities. This constant influx creates a robust demand for accommodation, including rentals, presenting lucrative opportunities for investors, with many areas offering above-average rental yields that often surpass those found in Cape Town, it said. Seeff said the problems of Johannesburg and the Gauteng metros are man-made and they demand man-made solutions. The chairman said it is vital for South Africa's economic resurgence that these issues are decisively addressed and resolved, especially with significant international gatherings like the G20 on the horizon. Beyond that, Seeff says residents and ratepayers need to get involved instead of waiting for someone else to solve the problems. Earlier this year, Neil Gopal, CEO of the South African Property Owners Association(SAPOA), told Independent Media Property that one of the biggest risks currently facing Gauteng is the water crisis and the near collapse of the City of Johannesburg. He said the continued degradation of infrastructure is a major concern amongst investors and citizens. The organisation that represents the commercial and industrial real estate sector in South Africa appealed to the government to resolve the devastation of infrastructure at the local government level and intervene where necessary to financially stabilise dysfunctional municipalities. Seeff said the star power of Joburg is undeniable since it is the financial and economic heart and engine of South Africa, and the wealthiest city on the continent. He said it is home to the JSE (Johannesburg Stock Exchange), the largest and most sophisticated stock market in Africa, and home to major banks and financial head offices, legal firms, and consultancies. It is the preferred headquarters for the vast majority of leading corporations, with over 70% of the country's companies based there, he said. The company added that the city's economic output is staggering, contributing almost 16% to South Africa's total GDP and a remarkable 40% to the economy of Gauteng, the wealthiest province. It also added that it is also home to the largest concentration of wealth, with nearly 15 000 dollar-millionaires in Johannesburg/Pretoria (according to New World Wealth). Captains of industry, business entrepreneurs and those who drive much of the South African economy are said to be based here. Seeff said that the property market should be pumping; instead, it is lagging at the bottom of the cycle, offering exceptional value for money, which may not be repeated down the line. Right now, the cost to build is significantly higher than what you can buy for, and buyers and investors should take advantage, he says. The reality is that Joburg is going nowhere, it will continue expanding, and there are tremendous opportunities to capitalise on, he says further. 'Beyond its economic might, it is a great place to live, and one of the greenest metros with great weather, and a vibrant cosmopolitan lifestyle. It has some of the best schools and tertiary institutions on the continent.' He said the amenities are top class despite the deteriorating infrastructure, but even on this point, he believes this needs to be addressed as a matter of urgency.
TimesLIVE
19-06-2025
- Business
- TimesLIVE
Western Cape tops SA rental charts as prices soar past R11,000
The figures showed the Western Cape has a growing appeal among high-net-worth individuals and international investors. 'The sustained influx of people to the metros in search of better economic opportunities is expected to continue fuelling demand for rental accommodation. Additionally, semigration trends to coastal areas, the Cape in particular, will probably continue to drive higher demand and higher average rentals in the Western Cape,' said Seeff. According to Seeff, the average national rental exceeded R9,000 per month by the end of 2024, which was a milestone that reflected strong demand and economic pressure on tenants. 'The past year was relatively good for the residential rental market, with rents trending higher. According to rental property barometers, landlords enjoyed positive rental income growth.' Rental income growth stood at 5.2% for the last quarter of 2024, significantly outpacing the national average house price growth of 0.8%. However, this rental growth tapered as the year progressed. 'The Eastern Cape enjoyed growth of 7.3% in 2023, but it fell to 4% at the end of 2024. Rental growth for the Free State reduced from 9.1% in the first quarter of 2024 to 3.5% by year-end.' The figures showed other provinces also experienced a slowdown: Mpumalanga: ended the year with 0.2% growth; Northern Cape: improved slightly but closed the year at 2.6%; Gauteng: ended with 3.4% growth; and KwaZulu-Natal: recovered to end with 4.5% growth. Conversely, the North West and Limpopo stood out for strong performances as North West showed a 7.2% growth in Q4 2024 and Limpopo had 11.1% growth which was well above the national average. The Seeff Group believed economic conditions and interest rates would remain critical factors in shaping the rental landscape but also cautioned against unrealistic rental escalation expectations. 'If both improve, as expected, landlords can probably look forward to another good year. Landlords are cautioned to remain mindful of the economic pressures. Raising rents above the average rates may result in increased vacancy rates.' Additionally, tenants are becoming more value-conscious amid cost-of-living challenges. 'Tenants are increasingly prioritising value for money, seeking smaller, more efficient units in well-located areas.' Seeff also highlighted an encouraging trend of fewer tenants falling into arrears. Data from PayProp for the final quarter of 2024 showed only 17.1% of tenants were in arrears. 'Tenants are still spending about 44.1% of their income on rent, largely due to low-income growth and the impact of high interest rates.' Tenant screening and professional property management are becoming more critical. 'Working with a credible rental agency, whether to source a tenant or manage your rental property, is a definite advantage in the current market. By doing so, landlords can mitigate risk and maintain a stable rental income stream.'
The South African
16-06-2025
- Business
- The South African
The SA city that foreigners spent over R1 billion buying property in
International property buyers have already poured over R1 billion into Cape Town's real estate market so far in 2025, proving that the city is more attractive than ever to foreigners wishing to invest. According to BusinessTech and Seeff Property Group, sales to international buyers hit R600 million in February and R700 million in April this year, bringing the year-to-date figure to well over R1 billion. Data also showed that overall property sales in Cape Town reached nearly R2.5 billion in the first five months of 2025 – the highest level seen in the past five years. And it seems foreigners are interested in purchasing property in particular areas in the city. Ross Levin, licensee for Seeff Atlantic Seaboard, noted that foreign buying has been especially strong in the Atlantic Seaboard and City Bowl, which together accounted for around 67% of all international transactions. In April alone, overseas buyers spent R530 million on properties in the Atlantic Seaboard. 'We've seen sales across just about all suburbs, with Camps Bay and Bantry Bay commanding the highest values, and Sea Point and the CBD leading in transaction volumes,' Levin said. Data also indicated that foreigners from over 40 countries have invested in Cape Town this year. These included buyers from Germany, the UK, Netherlands, Switzerland, and other European nations. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
The South African
12-06-2025
- Business
- The South African
The quiet Western Cape towns South Africans are semigrating to
If you were wondering where South Africans are semigrating to in 2025, it seems the Western Cape's smaller, country towns are becoming quite popular. According to BusinessTech and property experts from Seeff Property Group, country towns across the Western Cape are experiencing a surge in demand for property as more South Africans wish to opt out of busy city life. This semigration trend was seen, in particular, amongst remote workers, retirees, and families looking for quieter and safer lifestyles. Some of the most popular Western Cape country towns include Barrydale, Bonnievale, Ladismith, Swellendam, Pearly Beach, Riversdale, Gansbaai, Still Bay and Struisbaai. BusinessTech also reported data that showed that over 8 000 property transactions worth nearly R9.5 billion occurred across the Cape countryside last year, with an estimated 90% of these sales coming in under R1.5 million per transaction. 'We're seeing strong interest from all over the country, with nearly 60% of buyers from Gauteng,' Anet Rossouw from Seeff noted, as per BusinessTech . Another 10 percent are from the other South African provinces, with the rest of the buyers being from the Western Cape itself, looking for second homes or future retirement homes. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X, and Bluesky for the latest news.
The Citizen
11-06-2025
- Business
- The Citizen
Record sales to international buyers in Cape Town hotspots this year
Correlating strongly with City of Cape Town reports of a record-breaking summer tourism season, international property buyers have invested in record numbers in the City's hotspots, according to the Seeff Property Group. Propstats data shows that sales worth almost R2.462b were concluded in the first five months of this year, the highest in the last five years. The total value for the whole of 2024 was R3.4b, and it was similar in the prior year, 2023. Sales to international buyers reached a record R600m in February, and R700 in April across the whole city. More than two thirds (67%) of the total value were generated by sales across the Atlantic Seaboard and City Bowl. Ross Levin, licensee for Seeff Atlantic Seaboard, says sales activity has been up quite notably this year. For the Atlantic Seaboard alone, sales to international buyers amount to about R530m for April. Overall, there were sales in just about all of the suburbs. The highest values recorded are in Camps Bay and Bantry Bay, and the highest volumes in Sea Point (27) and the CBD (32). Buyers from more than 40 countries invested in property across the Cape this year. The highest volume is attributable to buyers from Germany, followed by the UK, Netherlands, Switzerland, and other European countries. There has also been a notable uptick in sales to American buyers who bought predominantly in Sea Point, Bantry Bay, Mouille Point and in the City Bowl. Buyers from other African countries have also made a welcome return. These include some 12 countries, being Angola, Cameroon, Congo, eSwatini, Gabon, Ghana, Mauritius, Mozambique, Namibia, Nigeria, Tanzania, and Zambia with Nigeria the stand-out in terms of the volume of sales. Levin says the whole market across the Atlantic Seaboard and City Bowl has been very active and there is a shortage of stock, thus presenting good opportunities for sellers right now. Notable recent Seeff sales to foreign buyers include two sales to German buyers at R21m in Camps Bay and R29m at the Waterfront as well as a R29.5m sale at the Waterfront to a buyer from eSwatini. Other areas where international buyers have been active include Constantia and Bishopscourt in the Southern Suburbs, False Bay areas such as Muizenberg and Fish Hoek, Southern Peninsula suburbs such as Kommetjie and Scarborough, Hout Bay, and Blouberg where Marlene Picksley, an agent with Seeff Blouberg concluded a record sale of R16.5m in Sunset Beach to a buyer from the USA. Hout Bay has seen particularly strong demand from international buyers with as much as 37 sales to buyers from a number of different countries, especially Germany, Netherlands, UK, Denmark, and other European buyers, and the USA. According to Stephan Cross, manager for Seeff Hout Bay and Llandudno the buyers spent between R5m to R25m. He says the Hout Bay market has been particularly hot this year with high sales activity and a shortage of stock, thus good opportunities for sellers, he adds. Propstats shows that total sales across the whole Hout Bay market already tops R600 million for this year following a record R1.3b last year, notably higher than for 2023, and similar to the 2022 Covid-boom sales levels. Levin says Cape Town is particularly attractive to international buyers, including those from the African continent for its Mediterranean climate, cosmopolitan lifestyle, and access to good amenities. International buyers are not only keen investors in property, but also tend to spend more on a per capita basis, and often invest even more in upgrades and their lifestyle, all of which amount to a notable injection of foreign income for the local economy. Issued by Gina Meintjes
