Gauteng transactions signal returning confidence

Recent movement in the Gauteng property market has signalled some returning confidence, and could be the start of good news for sellers, as well as buyers looking for property for sale in South Africa.

Stuart Manning, the Group CEO of Seeff Property Group, discussed improved activity in the upper end of the market in the Gauteng region, which is an important sign when it comes to an improving market.

There was a recent surge of activity which saw numerous transactions over the R20 million mark, which was the first time this has happened in years. According to Manning, this sector is usually the first to show any signs of recovery, and signals that the confidence is indeed returning to the market.

This is one of many signs that have experts in the property market excited though. In May, it was revealed that the repo rate would remain unchanged, staying at 6.50%. Although the announcement by the SA Reserve Bank’s Monetary Policy Committee was expected, it ensured that there was stability in the housing market.

This was coupled with the improved sentiment locally and abroad following Cyril Ramaphosa’s appointment as the new President of South Africa. Unfortunately, the land expropriation saga did bring about some uncertainty after that, but fears have been cooled after the President announced that all steps would be taken to ensure food security and economic growth.

Although there is a lot to look forward to, Manning also warned that this is not necessarily the case across the property market in South Africa, saying that we are currently seeing a bit of a hybrid market. This means that some areas are moving forward and getting over their struggles, while the likes of the Cape metro, which has also been hit hard by drought, is still in a difficult position with slow movement at the upper end of their market.