Cape Winelands Property Market Report – Helderberg, Stellenbosch, Paarl, Franschhoek & Wellington

The Cape Winelands property market along and adjacent to the R44 regional route, particularly the winegrowing areas between Helderberg and Wellington, has once again proven itself to be one of South Africa's most dynamic and desirable residential property markets.

According to CMAinfo, sales in the four towns of Stellenbosch, Paarl, Franschhoek, Wellington, and the Helderberg area reached approximately R13 billion in 2023. This translates to roughly R1.08 billion in monthly residential sales.

For perspective, Lightstone reports that total South African residential sales for the first quarter of 2024 amounted to 47,276 transactions valued at R65 billion. This translates to 15,759 sales per month with a combined value of R21.7 billion.

Projecting these figures for the entire year 2024 (assuming all other factors remain constant), South Africa's total residential sales could reach R260 billion. The combined sales of the four aforementioned towns and the Helderberg area would then represent approximately 5% of the national market.

1. Helderberg (Somerset West, Gordon’s Bay and Strand)

The Helderberg region boasts the largest residential property market by far in the Cape Winelands, with sales reaching R6 730 155 091 in 2023. Somerset West holds the lion's share, contributing R4.681 billion in residential property sales. This impressive figure also positions Somerset West as one of the biggest suburban markets within the entire Cape Town metropolitan area.

Combined, Helderberg (including Strand at R1.06 billion and Gordon's Bay at R988 million) achieved a total residential sales value exceeding Stellenbosch, Paarl, Franschhoek, and Wellington combined by R457 million. These neighbouring Winelands towns saw a total of R6 273 275 487 in residential sales during the same period.

The Helderberg market also witnessed a significant number of transactions, with 2,885 residential properties sold in 2023. Somerset West led the way with 1,547 sales, followed by Strand (680) and Gordon's Bay (658).

One unique aspect of the Helderberg market is its exceptionally high percentage of sectional title sales. Compared to the national average of 30% and the averages in the Winelands and Cape Town as a whole, the Helderberg market leans heavily towards sectional title properties. In 2023, the breakdown was 1,404 freehold properties (48.7%) and 1,481 sectional title properties (51.3%).

In Somerset West, 824 own title sales were worth R3.277 billion, and 723 sectional title sales were worth R1.404 billion. Strand had 343 own title sales valued at R581 million and 337 sectional title sales worth R479 million. Gordon's Bay had 237 own title sales worth R407 million and 421 sectional title sales worth R407 million.

2. Stellenbosch

Stellenbosch holds the title of the second-largest residential property market in the Winelands by Rand value. In 2023, the town generated R2.78 billion in sales.

A total of 1,082 residential properties changed hands in Stellenbosch during 2023. These sales were divided between 623 own-title properties worth R1.912 billion and 459 sectional title properties valued at R865 million. This translates to roughly 88 residential sales per month with a combined value of approximately R231 million.

Stellenbosch boasts a vibrant property market, with nine of its suburbs exceeding R100 million in residential sales during 2023. Let's delve into the top four suburbs in terms of residential sales value:

• Stellenbosch Central : Total sales of R635 594 138 of which own title was R125 655 000 (13 houses) and sectional title was R509 939 138 (252 sectional title units). The highest house price achieved was R30,45 million in Noordwal-Oos Street and the highest price for a sectional title unit was R11,45 million in Andringa Walk;

• Stellenbosch Rural : Total sales of R330 719 295 of which own title was R313 553 655 (90 houses and erven) and sectional title was R44 620 000 (9 sectional title units). The highest house price achieved was R10,65 million in Brandwacht Aan Rivier Street and the highest sold price for a sectional title was R1,25 million in Nuutgevonden ll ;

• Paradyskloof : Total sales of R189 019 965 of which own title was R168 439 965 (29 houses) and sectional title was R20 580 000 (4 sectional title units). The highest house price achieved was R13,69 million in Welgegund Domaine Prive and the highest sold price for a sectional title was R6 300 000 in Paradyskloof Villas;

• Die Boord : Total sales of R167 870 000 of which own title was R159 520 000 (26 houses) and sectional title was R8 350 000 (2 sectional title units). The highest house price achieved not only in Die Boord, but also in Stellenbosch, was R32 million in Riverbosch Street, De Bosch, and the highest price for a sectional title unit was R5 750 000 in La Vallee;

3. Paarl

Paarl is the third biggest residential property market in the Cape Winelands, generating R2,47 billion in sales during 2023.

A total of 822 residential properties were sold during 2023 in Paarl - of which 680 were own title properties worth R2,26 billion and 142 were sectional title properties worth R202 million. That relays to about residential sales per month worth about R million.

4 Suburbs in Paarl exceeded R100 million in residential sales during 2023 of which 3 luxury property estates achieved combined sales worth R1,255 billion or a 50.8% market share of the total Paarl residential property market.

• Val de Vie Estate : Total sales of R611 271 000 of which own title was R580 886 000 (58 houses and erven) and sectional title was R30 385 000 (8 sectional title units). The highest house price achieved was R32 million and the highest price for a sectional title unit was R3 798 125;

• Pearl Valley Golf Estate : Total sales of R493 639 000 of which own title was R449 019 000 (57 houses and erven) and sectional title was R44 620 000 (9 sectional title units). The highest house price achieved was R21 million and the highest sold price for a sectional title was R7,3 million;

• Boschenmeer Golf & Country Estate : Total sales of R150 175 000 of which own title was R145 325 000 (27 houses) and sectional title was R4 850 000 (2 sectional title units). The highest house price achieved was R8,5 million and the highest sold price for a sectional title was R2 750 000;

• Paarl North : Total sales of R185 112 500 of which own title was R169 572 000 (71 houses) and sectional title was R12 540 000 (13 sectional title units). The highest house price achieved was R3,62 million and the highest price for a sectional title unit was R1 300 000;

4. Franschhoek

The Franschhoek residential property market generated R565 million in sales during 2023.

A total of 104 residential properties were sold during 2023 in Franschhoek - of which 70 were own title properties worth R414 million and 24 were sectional title properties worth R151 million.

The highest home price achieved was R24 million and in Fransche Hoek Estate.The highest sectional title unit sold in Riverside Oaks (Dirkie Uys Street) for R18,975 million.

5. Wellington

The Wellington residential property market generated R462 million in sales during 2023.

A total of 266 residential properties were sold during 2023 in Wellington - of which 84% (224) were own title properties worth R426 million and 16% (42) were sectional title properties worth R36 million.

Only Wellington North exceeded R100 million in residential sales as a suburb with R201 088 000 in sales - forming 47% of all the sales in the town.

The highest home price achieved was R7,75 million and in The Diemersfontein Village. The highest sectional title unit sold in Charron Square in Wellington North for R1,55 million.

Although the Cape Town suburbs of Durbanville, Brackenfell, Kuilsrivier and Constantia all border well-known wine estates, it has been excluded from the Winelands area in this article. This report also does not include any of the Swartland or Whale Route “winelands towns” (with their own wine routes) and concentrates on the oldest winelands towns and suburbs adjacent and just to the east of Cape Town.