Long Term adaptation to mounting effective urban land scarcity continues

Despite around -18.9% real house price decline since the boom period real house price peak at the end of 2007, FNB remains of the opinion that the residential market remains unrealistically priced in the longer run, with relatively high real house price levels (by historic standards) continuing to in part reflect the 2000-2007 economic boom period, and not yet fully reflecting a weak economy battling to average 2% average annual
growth since 2008.

FNB Property Barometer_Long Term Building Characteristics_Update _Aug_2014