In the face of South Africa's strenuous economic conditions, characterised by a 5.9% consumer inflation rate and notably high interest rates (with the repo rate at 8.25% and the prime lending rate at 11.75%), the housing market's resilience emerges as particularly noteworthy.

Local and international migration have undoubtedly been driving forces in the South African property market during the past decade and their recent resurgence after travel and lockdown restrictions were eased have come as no surprise.

According to Yael Geffen, CEO of Lew Geffen Sotheby’s International Realty, the decision by the South African Reserve Bank’s Monetary Policy Committee (MPC) to raise the repo rate by 25 basis points to 4% is not unexpected.

Recent reports on property market trends from Q1 2021 have revealed trends in South Africa which are both alarming and inspiring, depending on your position in the market.

The TUHF Western Cape regional team believes that even though COVID has had an impact on the property market, there are still significant opportunities for savvy investors looking to enter the affordable residential sector as new areas for development become available.

Somerset West’s property market is renowned for its resilience, but the last few years have delivered some unprecedented challenges.

Over the past three years, the KwaZulu Natal (KZN) property market has enjoyed unparalleled growth, outperforming other provinces as an investment destination. And yet, it is still considered one of the best kept secrets in the country!

The future of South Africa’s housing market is looking bright, as aspirant buyers between the ages of 18 and 24 are the most optimistic about the merits of investing in property.

As the property market continues to heat up and shortages of homes for sale in certain areas and price brackets start to develop, hopeful buyers and investors are increasingly turning to estate agents directly and paying them a fee to go out and find suitable properties.

During the third quarter of 2020 (Q3 20), South Africa’s COVID-19 lockdown moved from Alert Level 3 through to Level 1.