• April 4th, 2020

Land prices keep rising as auctions heat up


Ngaevarue Katjangua

Most of the 512 young people who registered to bid for 46 Rocky Crest Extension 4 plots, which were auctioned by the City of Windhoek at Ramatex yesterday, were willing to pay as much as double the price of the erven. 

This, according to the city’s manager of property management, Sheridan Simpson, shows a clear indication of desperation for land in the country and the city.

“The prices we witnessed today in the youth category gives a clear indication that people are desperate for land in the city. I cannot say that people have money, considering the economic situation,” said Simpson, adding that “I was even shocked that people were willing to push the prices that high.”

The city has since Monday 24 February auctioned 92 of the 231 plots that were made available to the youth and its staff members, with the remaining 139 left for a general public auction scheduled for Thursday 28 February.

One of the plots ranging from the price of N$257 600 was sold for N$408 000, while another of an upset price of N$345 600 was sold for N$602 500.
A young man, Sabbat Hauwanga, who walked away without a plot, shared his disappointment with New Era, saying while the process may “seem fair”, it creates room for an uncontrolled acceleration of prices due to frustration.

“While I think the bidding process was fair, people’s frustration and desperation for land increase the prices,” Hauwanga said.

He went on to suggest that if these auctions were happening regularly, maybe people would not treat it as the only chance to get a house and raise the prices.

“I don’t know if they (City of Windhoek) can do better at servicing land and having these auctions often – maybe people will not be so desperate to push the prices so high,” Hauwanga suggested.
Another youth, who got a plot, spoke to New Era on anonymity, saying while he was happy to walk away with a piece of land, the numbers were too high.

“I feel good getting a plot but I can’t say it is a pleasant feeling looking at the price I had to attain one for,” he moaned.

He was under the impression that it is difficult to get a plot in Windhoek, which is why he bade so high.
“Many people told me that it is hard to get land in Windhoek, so I had to set my prices really high to better my chances of getting a plot.”

The city will conduct another auction that is open to 733 bidders on Thursday, 28 February, where 139 plots will be sold. 
This auction was not limited to first-time buyers. 

 


Staff Reporter
2020-02-26 06:51:45 | 1 months ago

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