News from Huizemark - Jeffreys Bay

Inspite of the building boom in Jeffreys Bay and surrounding areas, the demand outstrips the supply to the extent that the market still favours the buyer. A situation which we expect to continue for the foreseeable future as a result of the reduced interest rate.

Another reason for the increased demand is the interest shown by overseas buyers. The houses and to a lesser extent business properties are increasingly being sold to foreign buyers. The reaction from advertisements on the internet shows how effective this medium of advertising has become. It has also reduced the expenses of advertising in the printing media considerably, which has as a result of the advertising costs become exorbitant.

Fortunately for the trade, more developers of townhouses are now entering the market. The demand for units in townhouses have reached the stage that in many instances units are sold from the building plan.

The substantial increase in property valuations and consequently higher taxes does not seem to be a detriment to potential buyers. One reason for the demand in Jeffreys Bay is that property prices are still highly competitive compared to the prices of residential properties in for instance Plettenberg Bay and other coastal towns.

The conversion, especially by pensioners and older inhabitants to sectional title units are continuing, not only for security reasons but also to cut maintenance costs which is a mayor consideration in our town.

Huizemark - Jeffreys Bay also entered the farm and small holding market as loan capital is becoming more easily available to suitable buyers. Several farms and small holdings were sold in the area over the past couple of months.