Property sales stats 2018

Regardless of what life stage you are in currently, property will always play a part. Whether you’re a tenant or homeowner there is always a future possibility of moving into a different category, namely:

Buyer

Seller

Tenant

Landlord

 

Either way Etchells & Young have got you covered.

Below are some property sales stats that we have compiled for the period of October 2017 – September 2018. Based on the areas we specialize in, including Sandton, Randburg and Fourways. The stats are taken directly from Lightstone but the reasons for the stats are based on our expertise and experience in the industry.

Some of the lingo we will use in this piece (as per Google):

Millennial:  Born from 1980

Generation X:  Born from 1960 to 1980

Baby Boomer:  Born from 1940

Generation Z:  Born from 1990

 

THE GREATER SANDTON AREA

BUYERS

54% = 18-35 years

30% = 36-49 years

11% = 50-64 years

5%   = 65+

SELLERS

15% = 18-35 years

43% = 36-49 years

24% = 50-64 years

18% = 65+

AVE PRICES

Estates: R3.394 Mil

Freehold: R4.377 Mil

Sectional title: R1.492 Mil

 

 

Above we can clearly see that more than half of the BUYERS in Sandton over the last 12 months fall into the Gen Z and Millennial category (18-35). After a bit of digging we found that these buyers are likely moving into the area or investing for buy-to-let purposes. The reasons for the move, among many, is likely (according to our research):

  • Upscaling
  • Starting a family
  • Moving closer to work
  • Looking to be a part of the elite lifestyle that Sandton offers
  • Good return on investment
  • The perception of less crime in the area

 

With the SELLERS in the area we see something quite different. 43% of sellers in Sandton fell into the Gen X category (36-49) and 24% into the baby boomer stage (50-64). Some of the main reasons we were able to establish are the following:

 

  • Downscaling due to financial pressure
  • Immigrating (moving to another country)
  • Semigrating (moving to another province or city)
  • Larger family homes more affordable in other areas
  • Downscaling due to: children leaving the nest/divorce/death of a partner

 

THE GREATER RANDBURG AREA

BUYERS

50% = 18-35 years

34% = 36-49 years

12% = 50-64 years

4%   = 65+

SELLERS

15% = 18-35 years

45% = 36-49 years

23% = 50-64 years

17% = 65+

AVE PRICES

Estates: R1.699 Mil

Freehold: R1.622 Mil

Sectional title: R920 000

 

 

Here again we can see that the Millennials made up 50% of the BUYERS in the Greater Randburg area.  However, the reasons somewhat differ in comparison to Sandton.  Due to the reasonable prices in this area first-time buyers find it much easier to get their foot in the property door. Some of the factors driving young buyers to this area:

 

  • Affordable family homes
  • Just married or starting a family
  • Investment opportunities for middle income earners
  • Downscaling due to financial pressure
  • Upscaling – moving away from high crime areas

 

Similarly, to Sandton the SELLERS fell into the Gen X category. Strangely enough the reasons for buying here have a close correlation to that of the reasons for selling.

 

  • Upscaling to more secure estates or complexes in safer areas
  • Moving closer to private/specialised schools
  • Semigration (moving to another city)
  • Achieving a fair and market related price for their property

 

THE FOURWAYS AREA

BUYERS

37% = 18-35 years

42% = 36-49 years

15% = 50-64 years

6%   = 65+

SELLERS

9%   = 18-35 years

45% = 36-49 years

21% = 50-64 years

25% = 65+

AVE PRICES

Estates: R1.803 Mil

Freehold: R2.68 Mil

Sectional title: R1.406 Mil

 

 

It is no secret that over the last few years Fourways has become one of the busiest social hubs in Johannesburg. Since the roads have been expanded in certain areas people are finding the home to work commute a little easier. Fourways property is well priced for what you get, in particular the freestanding homes and secure estates. That is why you will see that most of your BUYERS here are Gen x and Millennials (from 18 – 49).

From moving in with your partner to putting your kids in the best private schools, there is something for everyone. Fourways is a family-oriented area with a lot to do indoors and out.

 

The SELLERS here come as no surprise. From ages (36-65) making up most of the sellers in the area the only reasons we could find are the following:

  • Immigrating
  • Semigrating – Retirement in another city
  • Upgrading to a bigger property still within the Fourways area
  • Downgrading to a smaller property still within the Fourways area
  • Downscaling for financial reasons

 

Well there you have it. We suspect that with the 2018 fuel hikes and unstable economy, we will see very different buying and selling trends in the next report.

 

#asketchells

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