Estate agents have signalled a property market weighed down by election anxiety and persistent affordability constraints with 75% recently surveyed by FNB pessimistic about an improvement in the level of market activity.
However, the affordable housing market emerged as a resilient bright spot during Q2 2024, recording a higher activity rating compared to the traditional market.
While the Eastern Cape and KwaZulu-Natal saw improved overall market activity, Gauteng and the Western Cape experienced a decline.
The slowdown in market activity translates to longer selling times with properties remaining on the market for an average of 12 weeks and two days in Q2 2024, up from 10 weeks and six days in Q1 2024, affecting all regions and price points.
Downscaling due to life stage, which includes those moving to retirement homes, remained the most common reason for selling, accounting for 22% of total sales with financial pressure-induced sales rising slightly during the period.
Interestingly, financially motivated sellers are preferring to downsize rather than to rent.
