So says Joánie La Grange, Regional Manager of Leapfrog Greater Pretoria, who notes that there is no shortage of serious buyers in these areas. To the contrary agents are complaining that they are in need of properties that are priced according to market-related figures.

According to La Grange, buyer sentiment has improved dramatically of late thanks in part to the shift from a negative economic view, to a more optimistic forecast by most economists, the expectations created around the FIFA World Cup, and improved political stability following the elections. Reduced interest rates and softer bank lending criteria are also now combining to galvanise buyers once more, with both ABSA Bank and Stan¬dard Bank which comprise 60% of the home loan market, offering 100% loans again. The advent of summer further improved the national mood and put people in a far more positive state of mind, resulting in increased buyer demand.

“Freehold properties priced under R1m and and market-related are selling very quickly,” says La Grange. “Indeed, well-maintained homes priced in this bracket are proving particularly popular with one-time fence-sitters who are snapping up these opportunities before property prices turn upwards once more.

Expensive, up-market security estate homes are also moving fast,particularly in the price range from R1.2 to R3 million. So popular has this type of living now become that prices have escalated accordingly to the extent that estate homes which measure half the size of a traditional freehold home cost more or less the same. Security estate homes now cost between R1.2 – R5 million depending on locality”.

Although there are no fire-works, sales on the development side are also picking up. The experienced developers are still on the scene, however the profit margins on developments have come under tremendous pressure and the banks are very strict with their conditions on mother bonds. Some developers have moved their focus towards retirement villages accordingly where most of the transactions are cash related,” says Joanie.

Good news aside, the market still represents challenges says La Grange. According to her, agents need to be market savvy and conversant in all the latest developments, procedures and trends to remain viable. “Buyers and sellers are that much more knowledgeable about the property industry because they have had to do their homework given the strict bank lending criteria and the lack of general financial liquidity. Price counselling and visibility are two other important factors estate agents need to take into account,” adds La Grange.

“Many sellers are still attempting to sell their properties at over-inflated prices which usually results in a no-sale situation. These individuals need to be counselled accordingly so as to facilitate a happy arrangement for all concerned.

In terms of visibility, show house days are also a key factor in that it sends out the message to the public that there is still activity and more importantly, that specific real estate companies are still alive and kicking within the market place.”