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Springs Draws Home Buyers

Springs is showing that it has pulling power for house hunters who are attracted by the space available and value for money that property in the area still offers.

Those who perceive Springs as the poor cousin of the East Rand need to take a second look at this thriving yet underrated area

Day says that that there is an abundance of professional people and businesses contributing to the growing economy, and Springs is currently experiencing unprecedented interest. He adds that although record prices had been achieved during the boom years, property in Springs is currently and arguably still more affordable than elsewhere in the province.

Where areas like Boksburg, Benoni and Kempton Park are running short of space, in Springs, there is land still available for new developments. Day says that this factor is giving Springs the edge, particularly as it's easily accessible via major routes such as the N17 and N12 to the business hubs of Sandton and Johannesburg.

The fact that sizeable tracts of land are available is prompting developers to build new complexes and homes.


Springs provides good opportunities for buy-to-let investors, says Day. "For investors this is a sound deal as rentals of R4k a month are obtainable in Springs, so over a five-year period this represents a return on investment of 10 percent per annum."

The middle segment of the market has also gained, with the price of an average three bedroom house in the suburb increasing from around R300k three years ago to R750k today – yet still competitively priced. Day says buyers are increasingly basing their real estate decisions on proximity to major roads and schools.

"The fact of the matter is that people are trading off more and more – transport costs and travel time versus the value of the property – a trend which is likely to continue. We are also going to see more pockets of high-value properties emerging as people are tempted to live closer to where they work," says Day.

18 Mar 2009 - N/A