It’s easy to make assumptions about what the property market is doing, but dinner party conversations, whilst entertaining, might not be the best place to get reliable or up to date information. Of course, statistics can also be misleading or even misinterpreted, but when one overlays the data available from several reliable resources with anecdotal evidence on the ground, a clearer picture of what is happening in any area can be determined.
There are many new trends developing in the Midlands area, but the age profile of recent buyers in our major residential areas is of particular interest to me. Age is an incredibly important metric in any property market and is a good indicator of what is happening on the ground. It has an impact on a number of areas such as education, healthcare, tourism and housing. Deeds Office statistics show us some interesting trends over the past 12 months. The most notable is that the buyer profile seems to be getting younger. Almost 72% of Hiltons’ buyers were under the age of 49 years with 24% under 35 years. The urban areas within Howick, had as much as 35% of the recent buyers under 49 years, with 10% of these under 35 years. This would stand to reason given the high number of retirement estates that the town is home too. in Nottingham Road 51% of buyers were also under 49 years, with 13% under 35 years. If one looks at the entire uMngeni municipality over the past 12 months, 62% of recent buyers were under 49 years with as much as 21% being under 35 years. On their own, these stats might have little context, but if one considers previous years, the buyer profile is most certainly getting younger year on year.
There is no doubt that what we are seeing on the ground marries up with the stats. The Midlands has become a far more balanced property market and it is shedding the label of merely being a rural or retirement destination. It is also becoming a desirable place for young families to settle and raise their kids, thanks to many excellent schools, medical facilities, and a more wholesome country environment. As one of the most desirable retirement destinations in South Africa, this multi-generational appeal, and a variety of both affordable and exclusive real estate products, makes it one of the most interesting markets in the country right now.
The desirability of the area is however no coincidence. It is exciting to see so much effort from various local stakeholders working to cultivate this evolving Midlands brand. In March, I participated in the uMngeni Tourism Sustainable Development Strategy workshop at the Old Mushroom Farm in Karkloof. The event, facilitated by Mayor Chris Pappas, saw a diverse range of representatives from the public and private sector join forces to brainstorm and begin the process of constructing a framework of the uMngeni offering and brand moving forward. It is very encouraging to witness this level of collaboration and energy and there is no doubt that all these efforts are having an impact on how the area is viewed by the next generation of investors and community members.