Sandton, often referred to as the “Richest Square Mile in Africa,” stands at the epicentre of Johannesburg’s financial and business community. Sandton real estate has flourished into a high-end residential market, offering luxury apartments, modern family homes, and exclusive estates that cater to an international clientele.
This status has significantly shaped the local real estate market, influencing demand, pricing, and investment opportunities. According to David Savage, Sales Manager at Century 21 Sandton, the migration of corporate head offices to the area initially caused a surge in demand for nearby housing, leading to skyrocketing prices. However, the landscape has shifted in recent years. “The demand for homes close by drove up the prices and the demand for new buildings went through the roof. However, dynamics have changed over the past four years post-COVID, and prices have dropped to more realistic values,” he explains.
Despite market fluctuations, some property types remain highly sought-after. “The newer apartments are still getting decent prices, along with clusters in secure estates. The houses and older blocks of flats, unfortunately, have lost appeal,” Savage notes. Buyers and investors are gravitating toward modern living spaces that offer security, convenience, and lifestyle amenities.
The real estate market in Sandton is not immune to global economic pressures. Savage highlights how both local and international factors have played a role in property value trends. “I believe that the state of our own economy has had a big impact on the prices in the area, with very little growth over the past 10 years. Post-COVID has put economies around the world under huge pressure, which has impacted our prices more than they would have otherwise. There are way fewer international buyers.” With a cautious investment climate, buyers and sellers need to adapt their strategies to maximize returns and secure favourable deals.
Sandton’s luxury apartment market remains competitive, offering both challenges and opportunities. Savage advises buyers to be proactive in negotiations. “Firstly, everyone is negotiable, so ask, or you won’t receive a discount. Secondly, because there is an oversupply of good quality apartments, both tenants and buyers have many options if some sellers and landlords stand firm on their prices. There is always a deal to be had.” This buyer-friendly market creates opportunities for savvy investors to secure premium properties at competitive prices.
Navigating the real estate market in Sandton requires expertise and insight, which Century 21 Sandton prides itself on providing. “We are very hands-on and know everything that is seriously on the market as opposed to those testing the market. Because of this, we can conclude quicker with serious buyers and not let them get messed around, avoiding buyer fatigue,” says Savage. Additionally, pricing strategies play a crucial role in ensuring swift transactions. “We take our stock to market close to the market price to avoid lengthy marketing. It has become a tough, frustrating time to be an agent in the area, so we try to avoid further frustration for all parties.”
Sandton remains a prime real estate location due to its financial prominence, but shifting economic conditions require buyers and sellers to adapt their approaches. With strategic negotiation, careful market analysis, and expert guidance from firms like Century 21 Sandton, successful property transactions are still well within reach.