Many people will have felt as though they had emerged from a boxing match after the last 365 days, and still have throbbing financial scars due to the circumstances, however, the property market could be a happier place in 2019, so if you are looking for property in Eastern Cape then this article might be of interest to you.
Right now, consumers are still wary of any sucker punches lurking around the corner, with a number of last year’s issues still causing concern, but experts are suggesting that there is enough evidence to point at a better 2019 in the property market, with first time buyers likely to have the best opportunity.
Right now, banks are still more lenient when it comes to home loans, and this is because they are competing against one another to make their products more affordable and accessible to potential buyers. This was evident when looking at stats from ooba, which showed that the Average Deposit as a Percentage of Purchase Price has dropped by 20% when assessing matters year on year. To put this simply, it means that buyers a year ago would have had to come up with a deposit that was equivalent to 15.5% of the purchase price, while right now on average it is at 12%.
“This is the ideal time for prospective first-time homeowners, including those without deposits, to enter the property market. 80% of our 100% bond applications in Q4 18 were approved compared to 72% in Q4 17,” said CEO of ooba, Rhys Dyer.
They also went into the matter of negative real property price growth, which is when salaries are increasing at a higher rate than property prices. This ensures that property prices are more affordable, and with the easier lending conditions, it allows for buyers to get some incredible opportunities.
