An eco-estate developer on the KwaZulu-Natal south coast has seen a change in buyer dynamics and behaviour in recent months, with more opting to buy land over fully developed properties, while the average age of buyers has risen.
“Due to the recent reduction in interest rates and discussions about potential further cuts, clients are showing strong enthusiasm for our land parcels, which come platformed and connected to all utilities within each residential estate,” said Reece Daniel, developer of the eco-focused estate Serenity Hills, near Margate.
Daniel said the age of buyers had increased in recent times, with many aged 40 and above buying for later use. “These land purchases are more strategic, with buyers looking to build a home in the future, or as an investment opportunity.”
The area has experienced an uptick in interest since the May 2024 elections, after which a government of national unity (GNU) was formed.
Serenity Hills expected this positive momentum to continue into this year, with “local and international buyers feeling more confident after the elections”, Daniel said.
Estate agents countrywide have expressed renewed confidence, with a Lightstone survey indicating that 85% of SA agents are optimistic they will achieve their value targets.
At Serenity Hills, Daniel said the increase in land purchases, with some of those being made in cash, allowed owners to “manage their expenses more effectively”.
“By securing the land with cash and financing the construction through a home loan, they have more flexibility to design and build their dream home without facing the financial strain of a large, upfront investment,” he said.
KwaZulu-Natal is known for its high-end estates such as Zimbali, which are capitalising on the rising demand for luxurious, secure living.
Daniel also said the trend of semigration to coastal towns such as Margate was expected to continue as more people seek a relaxed, holiday-inspired lifestyle.
He said the interest rate cuts had positioned the SA housing market for a much-needed recovery, with more first-time home buyers likely to invest. “This is the right time for investors who’ve been waiting to enter the property market.”
While the stability of the national grid has boosted investor confidence, forward-thinking buyers are increasingly seeking secure estates that provide the infrastructure for off-grid living, including an eco-conscious supply of electricity and water.
Daniel said: “Demand will continue to grow for estates that meet this need for self-sufficient elements.”
Water retention systems and on-site reservoirs, which supplemented the water supply for residents, were key features that modern buyers increasingly prioritised, he said.
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