Don’t be fashionably late to the Real Estate Party. 2024 is poised to be an exciting time for homeowners. The tide is turning, and so is South Africa’s property market.
Like a child taking its first steps with cautious optimism, South Africa is beginning to see signs of growth within its real estate market. This potential is expected to drive positive sentiment, bringing commitment and confidence back to the property market.
Multi-award-winning real estate company, Byron Thomas Properties, predicts the following significant factors on the horizon for the property market in 2024:
Interest rates are on the decline
Rising interest rates have resulted in a poor buyer market over the past few years with buyers either only qualifying for lower bonds, or not getting finance at all. The good news is that this is set to turn around over the coming year.
Interest rates are likely to start declining in the coming months and should continue to do so into 2025. This will lead to a marked improvement in consumer sentiment and buyer enthusiasm. South Africa should start seeing more investor buyers coming back into the market as finance will be cheaper allowing for better returns.
In recent years, the market has seen many buyers holding off on taking the big step into home ownership, opting to rent instead. With interest rates easing, many hesitant first-time buyers will soon be able to afford to buy their dream homes. This will directly affect demand and negatively affect the pricing of popular sectional title units.
With the world in turmoil, South Africa’s socio-economic issues seem like less of a deterrent than before. Emigration and semigration have slowed down, and many previous South African homeowners turned expats, are now returning home.