The MSCI South African Annual Property Index for December 2022 revealed an 8.7% ungeared total return in 2022 for direct real estate, highlighting that property returns had recovered to above inflationary levels after posting its first negative annual return in 2020.
The improvement in total returns was a function of capital growth which was positive for the first time since 2018. Income returns underpinned total returns but remained below 8% on the back of negative net operating income (NOI) growth as property owners struggled with rising operating costs.
For more detailed information on SA’s property trends, download a free copy of the latest report here (free to SAPOA members only).
How to access SAPOA’s reports:
- Visit www.sapoa.org.za.
- Login/register on SAPOA Members
- Click on ‘Reports’
- Click on ‘Free Reports’
- Click on ‘SA Property Trends Report’
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