The property sector is entering 2025 with renewed optimism – driven not just by hope, but by real market movement.

A turning point emerged in mid-2024 after three years of stagnation in KZN and the North Coast. By the end of the year, property inflation had begun climbing steadily, a trend that has continued into early 2025.

Encouragingly, buyer activity has surged, with more offers signed and a record number of transfers in my office completed in January – our best start to a year since 2021. Several factors fuelled this positive shift: The formation of the GNU, three recent interest rate cuts, and a growing sense of stability. Interest rate cuts directly correspond with higher property activity as monthly costs to get a home loan go down and more people are able to enter the market.

If this doesn’t make you think that we are in for a solid property market for the next period of time then you would have to have a fairly pessimistic demeanour.

Buyers need to weigh the interest rate saving with the rate of property inflation and try and find a middle ground that works for them. Property prices are almost always going up, sometimes it is just at a higher rate than others. The province-wide rate of inflation has been slow for a few years, but I feel that is changing.

It is never an exact science forecasting price growth, but I think it is a good time for serious buyers to enter the market decisively. As sellers see the shift in property prices, they too will raise their prices. On that note, competitively priced properties will stand out in an increasingly active market (there are more buyers looking than there have been in the last three-and-a-half years).

The momentum is real and 2025 is shaping up to be a great year in the property industry.

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