Superhomes are selling again in South Africa, but at a fat discount!

 

According to latest findings from Luxury Portfolio International (LPI) and leading immobilier companies of the World (LI), between 30 and 50% of high net worth individuals (HNWIs) plan to buy at least one additional luxury property worldwide in the next 12 months, compared to just 20% a year ago (LeadingRE). used cars in qatar under 10 000

Moreover, the latest US statistics show that luxury home sales have risen since Sept. 2020 and are currently nearly 61 percent higher at the start of last year – despite the fact that the US was so badly struck by the Covid-19 pandemic and its economic consequences.

Competition has also increased among buyers, and the average listing time for luxury properties has decreased from 82 to 55 days, even though there have been almost 32 per cent new luxury listings on the market.

"Luxury real estate is back in the lead among the HNWI investment facilities," said Rory O'Hagan, head of the Chas Everitt International Immobilien group's Luxury Portfolio division.

"The stock markets have been hammered by the pandemic everywhere and are likely to remain volatile as the economic, social and political effects continue to develop and it is very difficult to keep track of equity returns. In addition to gold, investors have traditionally viewed real estate as a safer alternative."

Second, he said that since 2019 prices of luxury property have dropped dramatically and clever investors take advantage of the opportunity to upgrade to better and larger residences or purchase additional properties in anticipation of an excellent future increase in value.

"We also see this scenario happening today in all luxurious home markets throughout SA - from the Southern Cape Town Suburbs to the North Coast of KwaZulu-Natal, where good-priced property definitely sells much faster than a year ago.

"In Johannesburg, for example, we have recently sold a super luxurious house in Johannesburg in Sandhurst, for R35 million after the price fell from R45 million, and another house in Westcliff in January, where prices fell from R28 million previously to R19,75 million," he said.

"In the past few months we have also sold a number of discounted luxury apartments in Rosebank and Sandton to equity retired HNWIs and recently sold the units in a brand new, up-market cluster development in exclusive Hyde Park as they are marked up to 50 percent of the original price.

"We expect a similar outcome in the case of the ultra-luxury mansion Gatsby at Houghton Ridge, which was recently sold at R64.8 million, or around 45 percent lower than its original demand price two years ago."

The Pellerade Design House designed and furnished Gatsby, which recently appeared in a Netflix TV series but currently isn't occupied. The hotel is decorated as a superhome and features luxury living areas, 8 glamorous en suite rooms, luxury individually designed décor, an art collection, smart home automation and large terraces and gardens overlooking Pretoria right across Johannesburg.

Gatsby also offers a wide range of business facilities and conferences, a private spa, a gym, an indoor heated pool, an outdoor saltwater training pool and a private 'nightclub' and entertainment center based in Paris's Buddha Bar.

"Last year, the expectations and needs of HNWIs in their homes have been dramatically changed," said Stephen Pellerade, CEO of the Pellerade Design Group.

"Although these luxury oases resemble 7-star shopping hotels, they now also have to offer full business functionality to make long-term remote work possible.

"The solution is also ideal for HNWI investors seeking an all-life home and business base in Johannesburg, which is the financial core of SA and soon the gateway to a single African market consisting of more than 1,2 billion consumers and valued at more than $2 trillion a year."