Potential property investors assume that the most valuable property is sitting within the metropolitan areas. While this is partly true, more people are moving out of the big cities. In 2020, remote working became the norm – with businesses wondering why they ever need expensive office space. Thus, allowing people to move out of the metro areas and into more affordable surrounding suburbs…or provinces.
Mpumalanga is one of South Africa’s top tourist destinations, thanks to its beautiful and natural surroundings. Is it a great place to live in as well? Possibly.
A three-and-a-half-hour drive from Gauteng, the province has quite a diversified economy, which has increased the demand for housing. Let’s take a look at the three areas that property investors should consider:
Serving as one of the entrances to the Kruger National Park, the farming town of Malelane is bustling with tourists during good days. It also provides its residents with a tranquil and slow lifestyle – thanks to its quiet nature. In September this year, there were 101 houses on the market, 33 of them being three-bedroom homes.
The average age of stable homeowners in the area is 36-49 years. This age group also makes up the recent buyer demographic – possibly buyers that are tired of living in the bustling cities and looking for an area that is serene with a lot more space.
Situated close to the CBD, Nelspruit Central is hustling with business growth – a hidden gem if you’re a property developer or interested in flipping houses. In fact, many of the older and larger properties in the area have been converted into offices or for commercial use.
In September 2020, there were 284 properties on the market – with 124 of these being 0-bedroom homes. What are “zero” bedroom homes exactly? Studio apartments or vacant land and commercial property. The average asking price is around R800 000.
If you’re looking to sell to potential homeowners in the area, you may need to consider targeting those between the ages of 36-49 years – as this is the average age of homeownership in the area.
Do a quick Google image search of Hazyview and get ready to be amazed by the results. It’s green, picturesque views make the subtropical farming town in Mbombela, make it seem like you’re in another country. It’s this reason why the area is not short on resorts – as everyone flocks to the town to know its history and to escape.
The latest statistics show that there were 159 properties for sale, with 82 of these properties being zero-bedroom properties. Again, this could refer to vacant land or commercial property. What’s the average asking price for this type of property? Around R395 000.
Hazyview’s main demographic is aged between 50-64 years – these are mainly your retired community. However, the demographics for buyers in this area is between 36-49 years. Considering that this area is a popular resort town, this age group is likely looking for business opportunities in the area.
The great thing about the South African property market is that there is a vast array of opportunities – nine provinces worth! There are hidden gems that can be found easily if you know where to look.
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