PROPERTY BUYING STILL UP ON PRE-PANDEMIC LEVELS

HOME buying activity is undoubtedly slowing, although it is still above pre-pandemic levels, reveals the latest FNB Estate Agents Survey.

Most of the Q3 2021 activity is due to “very active” buying levels in the affordable housing market – R250 000 to R500 000.

FNB economist Koketso Mano says agent satisfaction with current conditions remains high.

“Most agents were satisfied with conditions in the Western Cape, Gauteng and the Eastern Cape, but only half in KwaZulu-Natal. This follows the unrest that affected activity and confidence in KZN, which was also a factor that estate agents highlighted as a risk to future market activity.”

Although FNB’s proprietary house-price data showed easing price growth – which reflects slower demand – in the R300 000 to R1.5 million segment, most estate agents expect general market activity to increase or stay the same over the next three months.

The volume of sales due to financial pressure has also, fortunately, slowed closer to pre-pandemic levels.

Of those who sell due to financial pressure, Mano says 58% will probably buy a cheaper home while 42% will rent.

Sales due to financial pressure have slowed. PICTURE: RILEY EDWARDS/UNSPLASH