Ooba says the decision today by the South African Reserve Bank to increase interest rates by 0.5% from 6.25% to 6.75% will negatively impact the residential housing markets as many consumers are already facing increasing financial strain through dealing with elevated levels of debt and the rising cost of living expenses.

With inflation within the target range and a sluggish economy struggling to regain impetus while the country experiences the worst drought in decades, the Monetary Policy Committee’s decision to further increase the repo rate by another 25bps was ill-timed, as a stable rate would have helped boost business and consumer confidence at a time when it is needed most, says Dr Andrew Golding, CE of the Pam Golding Property group.

Property developers have identified a growing need by up-and-coming executives to buy residential properties close to city centres without having the required 10% deposit.

While the ‘green revolution’ in residential property, unlike in the commercial sector, is still in its infancy, rapid strides in technology and increasing awareness of the potential cost savings and reduced environmental impact are making good sense to more and more home owners – and home buyers, says Pam Golding Properties.

The repo rate will remain unchanged at 6% per annum, Reserve Bank Governor Lesetja Kganyago said on Wednesday.

Described as being well ahead of its time, ‘The Houghton’ offers a choice of luxurious apartments from ground to penthouse level, with unparalleled safety, magnificent views and a private 168-acre parkland - all within a heartbeat from the city.

Dr Andrew Golding CEO of Pam Golding Property Group and CEO of Jawitz Properties Herschel Jawitz comment on the impact of the 25 basis point interest hike on the property market.

Heart of Cape Town takes centre stage with landmark 'Open House' artwork.

By historical standards, housing in South Africa remains affordable and also compares favourably to affordability in other global housing markets. However, slower growth in local household income has seen a gradual deterioration in affordability since late-2013, says Dr Andrew Golding, chief executive of the Pam Golding Property group.

Having been one of the first markets to react to the 2007 downturn in the residential property market, KwaZulu-Natal has been relatively slow to respond to the current upturn.