The global economic downturn has left its mark on Swaziland’s property market, but it has also created opportunities for savvy investors. While residential sales have dropped by approximately 20% since last year, the country’s property landscape remains attractive, particularly for South African buyers seeking holiday homes or second residences. This article explores the current state of Swaziland’s property market, highlighting the value it offers and the factors driving investment interest.
Residential Sales and Cautious Buyers:
Gaetan Ning, owner of the local Aida franchise, notes that residential sales in Swaziland have declined by about 20% since the previous year. Local buyers have become more cautious, and the recession has impacted the market for second and third homes, traditionally a significant segment of the property market.
Ezulwini: A Thriving Tourism Hub:
Amidst a general slowdown, Ezulwini stands out by witnessing a surge in local middle-class buyers. Emerging as a burgeoning tourism hub, Ezulwini has witnessed a notable uptick in property prices, with the average price per square meter escalating from R150 to R200 over the past year. This remarkable achievement highlights the area’s allure and the resilience of its property market. The growing interest from middle-class buyers reflects confidence in Ezulwini’s potential for investment and residential living, driven by its strategic location and expanding tourism industry. As property prices continue to rise, Ezulwini cements its reputation as a desirable destination for both homebuyers and investors seeking opportunities in Eswatini’s evolving real estate landscape.
Golf Estates and South African Buyers:
South African buyers continue to show interest in Swaziland’s property market, particularly in golf estates. Nkoyeni, located approximately 45km from Mbabane, has become a popular destination, with stands of 2000sqm selling for around R500,000. This price point offers excellent value compared to prices in South African golf developments, making Swaziland an attractive option for investors.
Factors Attracting Investors:
Swaziland’s relatively low crime rate and slower pace of living contribute to the country’s allure for South African investors seeking holiday properties or second homes. The decrease in interest rates may also spark renewed activity in the market, with industry experts expressing cautious optimism about a market recovery in the near future.
Conclusion:
While Swaziland’s property market has faced challenges due to the global economic downturn, it continues to offer value and opportunities for investors. The surge in local middle-class buyers in Ezulwini and the interest from South African investors in golf estates demonstrate the market’s resilience and appeal. As the country navigates the economic landscape, it is essential to strike a balance between attracting investment and ensuring sustainable development that benefits the local population. By identifying investment opportunities that create long-term value for Swazi citizens, the property market can contribute to the country’s overall economic growth and prosperity.
