Garden Route Property steps up another gear

As 2004 approaches, another year slips behind us with some of the Knysna folk having left, only to be quickly replaced by new friends. Knysna continues to change rapidly, creating factors that contribute to a need for residential, commercial and industrial property. Many properties have changed hands this year even though property prices have escalated beyond many local purchasers' means. Demand for property in the lower price range continues as prices continue to increase. Recently a property priced at R1 450 000 was inadvertently advertised in a local paper for R450 000. The response was stupendous with the lines burning to catch the deal; yet all one could do was apologise, as it was a genuine printing error (apology received). We then listened to a rather saddened voice saying: "If only… we thought it was too good to be true". Some local buyers are now being forced to look in other towns for accommodation that might suit their pockets.
We have been inundated with queries regarding immigration, indicating that there are many foreigners still considering South Africa and specifically the Garden Route as their new haven. The Rand has strengthened to the extent that some of our foreign purchasers have decided to wait for it to devalue again, but there is a distinct group of both returning expats and new blood who have decided that South Africa has a phenomenal amount to offer. Furthermore, there has also been a notable growth in couples that have chosen South Africa in which to see out their retirement. This has in turn led to an increased demand in secure retirement villages. Our local Hunter's Village is all but sold out; and on the horizon, the threat of long waiting lists looms as developers consider the potential value of building another retirement village.
Along with the strengthening Rand, our interest rates have seen some dramatic reductions during the course of 2003, which in turn has helped prospective buyers enjoy more bearable mortgage bond repayments.
The real estate market in Knysna has seen some dramatic forces at play recently, particularly as competition has become that much more aggressive due to the shortage of stock in the region. Via an informal network, we are able to deliver a better level of service to our clients by being able to offer a wider variety of properties and services. Knysna Estate Agency has formed an affiliation with Ocean Estates International due to their extraordinary volume of over 300 exhibitions worldwide per annum. Ocean Estates International has head offices in Spain, and is developing offices in South Africa and the Far East, with consideration also being given to destinations even further afield. Finally, we have also concluded an agreement with a London based real estate company in order to more effectively market South African property, and look forward to a healthy working relationship.
In conclusion, change in the real estate industry along the Garden Route has seemingly shifted into another gear. Prices and demand are increasing dramatically with the need for improved quality of life, better technological advancements, weaker currency and lower crime rates in the region versus elsewhere. From an investment perspective, South Africa is exciting, whilst the Garden Route is becoming exhilarating.
For more information contact Knysna Estate Agency at 044 384 0764