Being a first time home buyer, you are probably not only looking for something affordable — but also for a future investment. However, with prices having sky-rocketed, it’s time to think out of the box if you want to get into the market. So where should you put your money?

Well, for one, the property will need to be affordable and serve as an investment. So whether you are buying to invest or wanting a home you can live in, you will do well to look in the areas which are still set to grow — and where people want to live.

So what are the current buying trends and potential growth areas, and where is it affordable enough for virgin buyers to get their foot in the door?

Move out of town?

According to Adriaan Janse van Rensburg of the Genesis Property Group, congested and overpriced cities are pushing South Africans into outlying towns and villages — away from the busy city life.

And this in turn means these towns are starting to boom, as they build up their infrastructure and get their amenities up to scratch to accommodate both commercial and residential demand.

Janse Van Rensburg says, "Somerset West, being just a 30-minute drive from Cape Town’s CBD, is fast developing into its own mini-metropolis, with many businesses setting up shop in order to service the vast Winelands area as well as the surrounding False Bay coast."

Out of town hot spots

According to Dr Andrew Golding, CE of the Pam Golding Property group, "These out of town hot spots include Karoo towns like Nieu Bethesda, Prince Albert, as well as towns in the Western Cape’s Boland and Overberg region. Also unspoilt towns such as McGregor and historic Stellenbosch are always in high demand."

He adds that in Gauteng, the quiet hamlets of old, like the East Rand, which is some 20 kilometres outside of Sandton, are the "best examples of out of town places being rapidly urbanised".

Mike Mcgowan of Sotheby's International Realty East Rand, agrees: "The area’s location, adjacent to the OR Tambo International airport, has encouraged the development of a booming mini-economy.

"The East Rand Mall has also undergone an upgrade and the entire North Rand Road has transformed into a buzzing commercial hub."

Buy in Boksburg?

Mcgowan says that you can buy a property for some R5000 per square metre in the East Rand, whereas you'll pay between R8500 and R9000 per square metre in Sandton.

Boksburg, once largely a farming area, still contains spacious stands that are gradually being bought by developers who are building upmarket cluster homes for those who live and work on the East Rand.

These cluster homes typically start at R600 000 for a two-bedroom, two-bathroom unit, with prices rising to R1.5-million to R2.5-million for larger, luxury homes in the latest development, says Mcgowan.

In the central region, areas along the Vaal Dam and Vaal River like Deneysville, Frankfort and even Parys seem to be popular.

Out to sea

In the Eastern Cape or Garden Route region, Kenton on Sea, Port Alfred, Jeffreys Bay and Mossel Bay are looking attractive to buyers.

"As a result of strong demand, residential property in what were once peripheral areas has remained on the boil, despite the slowdown seen across the broader property market," says Janse van Rensburg.

If you're looking to buy in KwaZulu-Natal, areas along the South Coast, including places like Ramsgate, Margate, Shelly Beach, as well as the scenic KZN Midlands and Southern Drakensberg are definite winners, says Golding.

"There are plans in the pipeline for a new toll road between East London and the South Coast, if this goes ahead it will mean more through-traffic for the area which will boost the local economy, drawing increased number of holiday makers as well as developers," says Gerrit Venter of Lew Geffen Sotheby’s International Realty Margate.

Below North Coast prices

"At present those who travel to the Eastern Cape from up country usually go via Bloemfontein as this has always been the most direct route. The new road will definitely encourage holiday makers to take a more scenic, coastal route instead. It’s a matter of time before the area undergoes a complete makeover.

"Already year-on-year growth is sitting at 30 percent to 50 percent, especially in suburbs west of the motorway, where the majority of rejuvenation is taking place," Venter says.

Properties in the area currently cost some 10 percent to 15 percent less than that along the North Coast and, as a result the South Coast should provide an excellent place of entry for first time homebuyers or for those wanting to invest for the future.

Venter admits the area is in need of rejuvenation, but says the amount of development and commercial investment should impact on its popularity and improve infrastructure.

Three-bedroom steals

He adds that although they aren’t common, it is possible to still find two- to three- bedroom homes with distant sea views for as little as R380 000 in Ramsgate and Margate, along the South Coast of KZN.

"We recently handled the marketing of a new development where 16 units, 71 square metre units priced from R650 000 to R690 000, six hundred metres from the beach, sold out in four weeks and there are several other large development such as this coming online.

"Those who buy these properties as investments to let are generally able to make rental returns of around R2500 per month — which usually starts to cover bond repayments around two to three years after purchase. This is unheard of in the majority of seaside towns in SA."