After two years of fairly flat trade in Cape Town's city bowl rentals, Seeff rental agent Elzunia Singer, says demand this year has been buoyant, but landlords need to heed the advice of specialists on what is in demand and at what price.
Circumstances change and owners need to be flexible, she says. For example, there is little demand for furnished homes - tenants prefer unfurnished. Another t rend i s t he high demand for pet-friendly properties suited to small, house-trained pets. European renters in particular are used to the availability of pet-friendly properties, but Singer says t he demand is across the board.
Homes also need to be in a good state of repair; well-maintained properties quite simply equate to good rental returns, she says. Rentals need to be seen as offering good value as overpriced properties do not attract attention.
Although rents in the area are somewhat higher than in other suburbs, Singer says tenants are happy to pay for the convenience. Tamboerskloof, Higgovale, Oranjezicht and Gardens are framed by the slopes of Table Mountain and Signal Hill.
"Tenants are attracted to the cosmopolitan vibe and facilities on offer, many within walking distance. Shops, restaurants, medical services, parks and excellent schools such as Herzlia, St Cyprian's, the German School and a French school are just some of what is on offer for residents.
"Europeans especially seek out the area, as do families. Many who relocate to the city tend to rent here before deciding where to buy.
"The suburbs are popular for corporate rentals. Young professionals working in the CBD and surrounds in industries such as advertising and film are also keen on the area, as are students at higher education institutions, such as the language and design schools, the Cape Peninsula University of Technology and the University of Cape Town.
"We have renewed 68 rental agreements for the year and concluded a further 25 new lease agreements. Escalations are about 4 percent, slightly higher than the 2 percent to 3 percent average for the Western Cape, according to the latest statistics provided by TPN," says Singer.
Most in demand are threebedroomed homes at rents of under R15 000.
At the top end, rental homes in Tamboerskloof have been let out at between R15 000 and R30 000 a month.
Homes in Higgovale, especially in the popular St John's Estate, have been let at rentals of about R25 000 a month. Rents in Gardens are climbing steadily and a three-bedroomed home here has been let out at R45 000 a month.
There is a perennial demand for good apartments, says t he agent, especially unfurnished two- bedroomed units that are fetching between R7 500 and R8 000 a month.
Weekend Argus (Saturday Edition)
