According to FNB’s housing market data, the general picture is one of a market whose pace of growth/improvement appears to have been gradually slowing down. The term “slowing pace of improvement” should not be confused with a “deteriorating market”.
Therefore, the solid performance of the housing market continues, with still-positive house price growth in real terms, and an improved balance between demand and supply, but this pace of growth appears to have been slowing down in recent months.
According to the FNB House Price Index, the average house price for July 2014 rose 7.2 year-on-year. This is slower than the previous month’s revised 7.5%, and represents the 6th consecutive month of gradually slowing since the 8.6% year-on-year inflation rate recorded in January 2014.