Boksburg, described by mining commissioner Montague White in 1888 as one of the most uninviting spots he’d ever seen, is today one of Gauteng’s more attractive and sought-after cities as evidenced by its growing population: according to the results of the last Census, it has grown from 158 600 residents in 2001 to more than 445 000 in 2012.
That’s the assertion of Brian Dugmore, principal of Harcourts Anchor in Boksburg, who says the area bears no resemblance to the dry, tree-less expanse of the late 1800s. “Boksburg has literally turned into an oasis, not only with regard to its environmentally attractive setting and thriving industrial and retail sectors but also because of its wide range of property offerings in all price ranges” says Dugmore.
Less than 20km to the centre of Johannesburg and with its own thriving industrial zone in the form of Jet Park, it’s an easy commute to work by Gauteng standards, one of the reasons for a first quarter uptick in home buying activity. “The market is definitely better than last year, with the gap between house price growth and inflation starting to narrow,” he says. “As a result, we’re experiencing a shortage of good, well priced homes, which can sell within two to six weeks of coming on the market if correctly priced.”
And it’s not just the affordable suburbs that are in demand. Sunward Park and Beyers Park, both upmarket areas with quality homes, are also enjoying strong buyer interest, Beyers Park because of its proximity to OR Tambo International airport, various highways and the Woodlands Private School, and Sunward Park owing to its easy access to the N17 and other main arterials, he notes.
Executive level buyers can expect to pay upwards of R2, 2 million, which will secure a three or four bedroom home with two or three modern bathrooms, a great kitchen, lounge, dining room, family room, swimming pool, double garage and possibly even a Jacuzzi.
Units in secure villages in Sunward Park, Beyers Park and Bartlett, which offers an expansive range of upmarket cluster developments, are particularly sought-after at the moment, he continues, with people paying anything from R1.8 million up to R5 million. Among his office’s most recent sales in this price bracket was a luxurious 480m² cluster in a secure complex in nearby Bardene, which changed hands for R2.6 million. He also reports good interest in new listings such as a recently listed “status” property in Greenacres, Bartlett, priced at R2, 575 million. The “appealing, exquisitely finished cluster home with huge living areas” sits snugly in a secure, upmarket complex popular with high-end buyers, he says.
The new Oaks Golf Estate, a secure, Provencal-themed cluster development for which Harcourts Anchor has secured the selling rights, is also high on buyers’ favourite lists, according to Dugmore. The estate, which adjoins the ERPM Golf Course and will comprise 47 units on completion, is already 72% sold out, with only 13 stands left, he reports. Stand prices vary from R350 000 to R650 000 depending on their position, while complete building packages range from R1,5 million upwards. “The Oaks’ success lies partly in its aesthetic appeal,” he explains. “It has achieved a contemporary new look that is unique to the area, bringing together earthy tones with French Provencal red brick and grey plaster. Further, it offers all the comforts of modern-day living within a naturally beautiful environment secured around the clock by electric fencing, 24 hour manned gates and guard patrols, which is what people increasingly want today.”
Boksburg is also good news for entry level buyers, who are often left out in the cold in other towns and cities where stock in the R500 000 to R700 000 price range is extremely limited. According to Dugmore, there are a number of new affordable developments both under construction and in the pipeline. In Ravenswood, a smallholdings belt until recently, developers are buying up the land to build modern, affordable sectional title complexes specifically for first time homebuyers. Established suburbs such as Dawn Park, Parkrand, Van Dyk Park, Elspark and Impala Park also offer a good selection of affordable homes, starting at R550 000, which will buy a new two bedroom, one bathroom unit with shade cloth carport in a multi-storey sectional title complex. Hugely popular with younger families in search of affordability, security and modern design, they’re also attracting growing interest from investors, he says.
Those with R800 000 to spend will be able to buy a unit with an additional bedroom and bathroom or alternatively a small house in older areas such as Boksburg South, while R1.2 plus is the going price for a freestanding, three bedroom house with two bathrooms and double garage.
One of Dugmore’s best value buys in this price range at the moment is a recently listed, modernized house in Van Dyk Park with double garage, pool and a separate, self-contained flatlet. “At R860 000, this translates to outstanding value in the current market,” he maintains.
Dugmore says the Boksburg market is also extremely investor-friendly right now. For best returns, he advocates focusing on units for under R600 000 with low levies in a good area. These, he says, will ensure good rental returns as well as long term capital growth. “Present gross rental yields of 6 to 7% can be expected, and if one combines the gross yield with an annual capital growth of 4.8%, the figure looks even better, provided that the maintenance and levy figures are kept to a minimum. That’s the reasoning behind buying a townhouse or flat for investment, since the need for garden and pool maintenance is eliminated. These are expenses that eat into net profits and should therefore be avoided.”
