The Monetary Policy Committee (MPC) of the Reserve Bank has once again decided to leave South Africa’s repo rate unchanged at 6,75% and prime interest rate the same at 10,25%.

Rudi Botha, CEO of SA’s leading bond originator BetterBond, says the SONA was very wide ranging and covered a huge number of initiatives, but that there were definitely some highlights for the real estate market.

No-one wants to default on their bond instalments or other account payments, but often in January and February, there just isn’t enough money to go around after a big holiday splurge in December.

Just as the US needs “all hands on deck” to stop it sailing over the fiscal cliff, so SA needs a multifaceted effort now to solve a housing crisis that threatens to overwhelm the country.

The number of households where adult children will move back in with their parents, or ageing parents will move in with their children, is set to increase exponentially within the next few years.