Coastal property demand to continue in 2015
The demand in property is expected to continue to rise in Walvis Bay throughout the middle of January, despite the recently ended festive season.
This is according to Claudia Lofty-Eaton, Broker/Owner of RE/MAX Coastline Property Centre which services Walvis Bay and other coastal towns. She expects a sharp increase in demand for property in Walvis Bay.
“There has been a steadily increasing level of demand for property in Walvis Bay over the last six months,” she said. “From mid-January, we are expecting the demand for property in Walvis Bay to drop back slightly, although it is expected that the level of demand for property in 2015 will continue at a higher rate than during 2014,” she added.
Adrian Goslett, CEO of RE/MAX Southern Africa, said that as the momentum within the property market continues to gain traction, it can be expected that the demand for holiday homes will gradually start to increase. “This means we are likely to see slow but steady growth in the leisure property sector of the market.”
Sales associate at RE/MAX Coastline Property Centre, Saloom Hasanein, explained that in Walvis Bay, buyers are typically investors, whether they are families, executives or young couples, with the rental market made up purely of holiday visitors.
“The most popular price range for properties in this area is between N$1.2 million and N$2 million,” he said. “This price range is the most active as it is affordable, and properties in this bracket often provide the highest returns on rentals and appreciation,” he added.
Rentals in these areas range from N$12000 upwards. Hasanein said that buyers are looking at properties that can generate appropriate income and which have the potential to provide a rental income outside of the holiday season as well as a sound appreciation over the long term.
He pointed out that Walvis Bay currently offers one of the highest property appreciation rates in the country.