Continued contraction in levels of residential building activity

Residential building activity with regard to new private sector-financed housing in South Africa continued to contract in the first two months of 2017 compared with the corresponding period in 2016. Contractions were evident in all segments of new housing as well as in respect of additions and alterations to exiting houses in both the planning and construction phases up to February this year. However, it was only the segment for flats and townhouses that recorded an improvement in building activity, which was with regard to the number and building area of plans approved.

Residential building activity is forecast to remain largely subdued in 2017 against the background of trends in and the outlook for the economy, household finances and levels of consumer and building confidence.

Read more here: Absa – Building Statistics – February 2017