Goedehoop Suburb in Strand - 2014 Sales Volumes on same level as 2005 - 2007 boom

The Strand suburb of Goedehoop is seeing strong demand from family buyers, coupled with a rise in property values over the last year due to a shortage of property in the market. A real shortage exist in homes on the market below R1,5 million which has created a situation where there have been only 2 transfers of property in the first quarter of 2015 – i.e. 2 registered sales in the Deeds Office during January to March 2015.

Goedehoop is an established suburb which has long reached maturity – with basically no land available for further development. Almost every home enjoys views of either the Helderberg Mountain or the Hottentots Holland mountain ranges.

4 Areas of Goedehoop

Goedehoop consist of four areas – Langverwacht, The Palms, Strandvale and Goede Hoop. There are 786 residential own title homes and 23 residential sectional title property in Goedehoop. There were 28 own title houses and 1 sectional title property sales in all 4 sections of Goedehoop during 2014.

Langverwacht is located between Broadway Boulevard (south) and Aerodrome Street (north) and Da Gama Street (west) and Volsteedt Street (east). It has 153 homes (own title) and none sectional title units. In 2014 there were 4 own title sales at an average price of R1,552 mil – with the highest price R2 mil and the lowest R1,23 mil. There have been no property transfers during 2015.

The Palms is located between Broadway Boulevard (south) and Aerodrome Street (north) and Volsteedt Street (west) and Sarel Cilliers Street (east). It has 157 homes (own title) and none sectional title units. In 2014 there were 3 own title sales at an average price of R1,221 mil – with the highest price R1,39 mil and the lowest R1,075 mil. There have been no property transfers during 2015.

Strandvale is located between Aerodrome Street (south) and Algoa Street (north) and Karl Kielblock Crescent (west) and Da Gama Street (east). It has 244 homes (own title) and none sectional title units. In 2014 there were 8 own title sales at an average price of R1,165 mil – with the highest price R1,45 mil (6 Drommedaris Street) and the lowest of R910 000 (13 Jurgens Street). There have been one property transfers during 2015 for R920 000.

Goede Hoop is located between Broadway Boulevard (south) and Aerodrome Street (north) and De Ruyter Street (west) and Main Road (east). It has 232 homes (own title) and 23 residential sectional title units. In 2014 there were 13 own title sales at an average price of R1,536 mil – with the highest price R2,15 mil (10 Elizabeth Vermeulen Street) and the lowest R845 000 (3 Jameson Street). There was only 1 sectional title sale – 2 Jurgens Street for R1,3 mil. There have been no property transfers during 2015.

Goedehoop Suburb  Property Market - Growth in Prices between 2012 and 2014/5

In 2012, 26 own title properties changed hands in Goedehoop (excluding Strandvale sales), at an average price of R1,26 million. That sales volume figure drop quite substantially in 2013 to 17 properties sold, at an average price of R1,288 million (source - Lightstone) but rose again to 29 sales during 2014 at an average price of R1,354 - i.e. a rise of 7,5% between 2012 and 2014. The average price obtained during 2014 is however still below the "speculation driven" price heights of 2008 when an average price of R1,459 mil was obtained. Sales volumes has however reached the same levels as during the height of the previous property "boom phase" (2005 to 2007) - when between 28 and 32 houses were sold annually.

The sectional title (apartment) sales varied from 3 sales (average price R775 000) in 2012 to no sales during 2013 and  2 sales during 2014 at an average price of R1,3 million. Sectional title property sales in Goedehoop has therefore experienced a growth rate of 68% in the average prices obtained during the last 3 years.

This rise in sales volume during 2014 of especially the own title property is not surprising given the demand for affordable family homes which are located close to good schools and amenities, and which offer a wholesome lifestyle within walking distance to one of the best family beaches in South Africa,” says Careen Liebenberg, another CCH resident agent of the Strand.

Available Property Prices

Goedehoop property consists primarily of freestanding family homes on erfs between 500 square metres and 1 000 square metres. Prices in the suburb range from around R1.26 million for some of the older, smaller homes, while more modern or larger family homes are priced from about R1.6 million upward to about R2,8 million, depending on their finishes and size of the erf and the house. The erfs in Goede Hoop up to Da Gama Street are predominantly about 700 sq.m in size. Between Da Gama and Sarel Cilliers the average size of the erfs varies between 700 to about a 1000 sq.m

Goedehoop Suburb Demographics & Comparative Suburbs

The average household income range for Goedehoop (excluding Strandvale) is according to Lightstone between R43 000 and R51 000 - i.e. LSM10 High. The period of ownership is 61% (11 & more years), 12% (8-10 years), 11% (5-7 years) and 16 less than 5 years. The age group division of the residents is 33% (65 & older), 42%(50-64), 23%(36-49) and 3%(18-35).

Recent buyers were 6% older than 65, 34% (50-64), 38%(36-49) and 22% (18-35). Recent sellers were 39% older than 65, 27%(50-64), 30%(36-49) and only 3%(18-35).

Comparative suburbs in South Africa - based on average property prices - is Glencairn (Cape Town), Bothas Hill (Kwazulu Natal), Beverley Grove (Port Elizabeth) and Highway Gardens (Ekurhuleni).

Suburb Amenities

Residents of Goedehoop have the best of both worlds - a relatively small suburb with a town-like feel close to the Strand beach with city-like amenities such as a regional shopping centre and two private hospitals and with lifestyle offerings such as top wine estates and a variety of sport facilities  - all within a radius of 10 km. A convenient Spar shopping centre (with a pharmacy, doctor rooms etc.) and a BP Petrol Station (with 24 hour shop) is located on the corner of Broadway Boulevard and da Gama Street – within walking distance to most of the properties in Goedehoop. The Waterstone Village shopping centre hosts one of the top 2 Woolworths in South Africa - a mere 5 km from Goedehoop.

Vergelegen Medi-Clinic (5 km) , third largest regional shopping centre in the Western Cape - Somerset Mall, just 3 kilometres away and the Strand Shopping Centre in Strand Central (2 km), and several excellent schools within a 10 kilometres range. These include Lochnerhof Primary, Hendrik Louw Primary (both within a km), Somerset House Primary (4 km) and Somerset College (10 km) and the Helderberg International School (5 km), as well as Parel Vallei High School (6 km), which was rated 11th in the Western Cape based on its 2013 matric results.

New improvements or developments for the area includes Cure day Clinic and an Eye Hospital and variety of doctor rooms in the Luipaardsvlei area on the other side of Strand Golf Club as well as one of the largest Curro Private School developments in South Africa which is due for completion in January 2016 in the Sitari Estate development about 10 km from Goedehoop

Suburb Lifestyle offering

Other appealing factors is the suburb’s location close to lifestyle offers such as the Strand Golf Club (1 km), Somerset West Country Club (5 km) and the Erinvale Golf Estate (10 km). Goedehoop is about 2 kilometers from the Melkbaai beach - perfect for some of the best beach strolls the Cape has to offer.

The Helderberg Nature Reserve (8 km) with views of False Bay along its many hiking trails along the Helderberg are frequented by many families for recreation and picnics. Goedehoop is bordered on the western side by the Lourens River (a nature conservation area with the Dick Dent bird sanctuary) - creating a semi-rural atmosphere.