South Africa’s residential buyers remain prudent despite the likely eventual easing of interest rates and promises made during the budget speech.
The SARB will meet again at the end of March, with most economists anticipating another 25bp hike, signalling the peak of the cycle. Despite sale volumes slowing, properties bought as investments and for semigration continued to climb. The residential market is stable overall, but buyers remain cautious and are waiting to see what happens, especially after the February budget. “The actions of the government will speak louder than words,” he said.in the property market is the transfer duty bracket has increased by 10%, meaning that there will be no transfer duties on properties worth less than R1.1 million.
He added that Treasury proposing a total debt-relief arrangement for Eskom of R254 billion would affect how investors view South Africa and how confident the local market is to invest in property.volumes slowing and buyers being more cautious.