2018: A year of reflection
Category Newsletter: Company Message
As 2018 approaches its end with just over 2 months until Christmas, we are finding ourselves reflecting on what has certainly been an interesting year for the South African economy and the Cape Town property market.
Due to the current economic and political climate, the ongoing issue regarding land expropriation without compensation and the recent water crisis, buyers and tenants seem to be few and far between despite the abundance of available stock that presents itself. The saturated short-term letting market has also influenced demand and supply in the city.
This year we have seen a price “correction” take place as buyers and tenants enter the market with caution and increased negotiation tactics. We are asking ourselves for how long this trend will continue and are of the opinion that we may not see a noticeable shift until the national elections next year.
We have little doubt that over the longer term, the property market, especially along the Atlantic Seaboard and in the City Bowl, will continue on an upward trend. Cape Town remains as the most attractive city in the country for business and property investment.
This week, we sadly lost an influential figure in the Cape Town community, Theodore Yach, who passed away suddenly on the 17th October 2018. Theodore was the visionary and brains behind the City Improvement District and played an influential role in cleaning up the city. Since then, the city has experienced strong growth with more and more professionals opting to live closer to work. He donated to various charities through his swimming where he successfully completed 108 Robben Island crossings. This is a remarkable achievement in itself.
I was lucky enough to know Theodore Yach personally and had the privilege of his sound knowledge and advice through my real estate career to date. Our thoughts are with his family and friends that he left behind and to his dear wife, Michelle and two sons, David and Daniel.
We wish our clients in South Africa and abroad a positive end to the year and please do not hesitate to contact us for all your property needs.
Author: Daniel Sher, Property Consultant