Property in Plettenberg Bay has remained subdued, but relatively constant, over the past three years. The number of properties sold in 2010 remained in the mid-200’s, a far cry from the high of 793 in 2002. Average sales prices remained relatively constant since the 2007 peak in the market. 2010 average prices are 5.6% lower than 2009’s, but 8.8% higher than 2007’s.
Over the past twelve years average prices in Plettenberg Bay have grown annually at an overage of approximately 19%, which is above the national average, and demonstrates that property in Plett is a good investment if bought at the correct price. It is currently a buyer’s market.
The average price for freehold property is currently around R2, 35 million (including vacant plots and houses) and for section title units about R1, 59 million. The entry level for houses remained constant at R1m (off a high of R1, 4million in 2007). The entry level for apartments is R600, 000. In the rural area surrounding Plett 32 smallholdings sold for an average of R3,2 million.
The highest price so far in 2010 was R21 million for a large older home on Beachy Head Drive. The record highest price so far for residential property in Plett was R50 million for a luxury coastal estate sold in 2006 by Hein Pretorius, the principal of Lew Geffen Sotheby’s International Realty Plettenberg Bay.
Only one property was registered in the town of Keurbooms in 2010 for R2,9 million. Six properties transferred in Natures Valley also for an average of R2, 9 million.
The figures above were taken from deeds information on the 20th of April 2011. Rural property and sales below R200 000 are not included in the graphs, and duplications have been removed (e.g. when a developer buys numerous properties for a single price and each is listed at the full price, only the single figure is taken). A number of sales are still in the registration process, so the picture could change somewhat.
Report compiled by Steven Neufeld, Manager of Lew Geffen Sotheby’s International Realty Plettenberg Bay and Candidate Valuer and Appraiser for South African Property Valuations.