SA’s residential market is cautiously rebounding from earlier election-related uncertainty and affordability challenges according to FNB’s latest Property Barometer for October/November 2024.
While affordability remains a key constraint in the affordable housing market, improved sentiment – particularly in the middle-to-higher priced segments – has begun to drive activity.
Property practitioners have also highlighted regional disparities in market performance. Activity levels moderated in the Eastern Cape and KwaZulu-Natal during Q3 2024 while Gauteng and the Western Cape experienced a surge in market activity, with Gauteng showing the most significant improvement.
The rise in market activity in the higher priced segments has also led to shorter selling times across all regions with properties now staying on the market for an average of eleven weeks and two days, down from twelve weeks and two days in Q2 2024. While the affordable housing market has not shown the same momentum, FNB anticipates improvements as interest rates decline.
Primary reasons for selling during Q3 2024 remained due to downscaling – life stage and financial pressure.
