So 2017 had some good things to offer the South African property market – around 82% of property for sale in Q4 2017 had a price tag of under R1.5m, while 60% sold for under R800 000. Now that 2017 is in the rear-view mirror, it’s time to look ahead and find out what the coming months have in store for real estate.
More affordable homes
Homes at the cheaper end of the spectrum are attracting lots of interest from buyers and are therefore selling better. While the country is recovering from economic woes, affordability will be a key consideration in the housing market.
Size is king
High demand for separate ownership of units due to their lower maintenance costs and security benefits has resulted in this property type doing better than freehold homes in terms of price growth in recent years.
Urban revamp
With more people flocking to urban centres and these cities running out of living space, government is stepping up to renew these areas and is making available tax incentives to curb urban decay and encourage investment in these areas.
Going green
The demand for green features will continue to increase as the high cost of utilities, and electricity and water supply issues force this to become a key factor in home buying decisions.
Tech’s appeal
Young South Africans consider fibre optic networks and properties offering high-speed internet access to be more important than whether a property has a pool or staff accommodation.
Crime remains a worry
Security features in homes will shape buying or renting decisions. Estates and complexes will continue to be popular due to the perception that they offer a more secure environment.
By identifying the relevance that a specific trend can potentially have on the home buying process, you can invest your time in the ones that will be beneficial in the long run.
