Activity in the SA housing market remains steady

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The residential property market has recorded increased demand for luxury homes. What are the factors behind this?

Although facing economic headwinds, including loadshedding and the rising cost of living – with activity mainly in South Africa’s metro markets holding steady, one of the most noticeable trends in the residential property market is a discernible uptick in demand for luxury homes, says Dr Andrew Golding, chief executive of the Pam Golding Property group.

“Lifestyle is the key consideration for these high-end buyers of luxury property. Securing a unique property is the key consideration – whether it is a lifestyle property in the Winelands, an apartment on the beach, a penthouse or a property with an exceptional view. In many instances, Covid accelerated buyers’ long-term plans,” says Dr Golding.

, ooba’s average overall purchase price rebounded to R1.446 million in February 2023, which is close to the December 2022 record high of R1.452 million. Meanwhile, the average price paid by first-time buyers inched higher to R1.14 million in February 2023, slightly below the previous highs in Q2 in 2022.”as coastal properties continue to register stronger price growth than non-coastal homes. The gap between freehold and sectional title house price inflation, which peaked at 4.

 

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