Wednesday, 20 February 2019 19:17

Property insights- Budget week

Minister Tito Mboweni’s 1st Budget is likely to be a “tough” budget, with economic weakness constraining revenues along with a seemingly endless list of urgent spending priorities, some bordering on crises, giving him little room to manoeuvre.

Private sector-financed building activity (see explanatory note) in the South African market for new housing showed continued diverging trends on specifically a segment level in the first eight months of 2018, which caused the planning phase of new housing to have improved whereas the construction phase has contracted over this period.

Uptick in household credit and mortgage balances growth in the first half of 2018, while home loan repayment patterns were divergent across income categories in the twelve months up to mid-2018

Residential building activity in the planning phase improved, with the construction phase contracting in the first four months of 2018.

There was a very slight imprivement in levels of home maintenance and upgrades early in 2018,but this was more on the maintenace side than on the upgrade side.

Our Firstrand expectation is for a 25 basis point interest rate cut in the SARB’s Repo Rate, when its Monetary Policy Committee (MPC) meeting concludes on Wednesday. Should this happen, it would lower the Repo Rate to 6.5%, and the Prime Lending Rate of banks to 10%.

Ongoing subdued household credit and mortgage balances growth.

While economic growth is expected to be mildly better in 2017, this is not yet expected to be enough to turn Real Household Disposable Income growth positive on a per capital basis.

Tuesday, 29 November 2016 11:56

Household credit and mortgage balances

Continued declining household credit and mortgage balances growth  The first ten months of 2016 saw growth in outstanding credit balances in the South African household sector slowing down to a much subdued 1% year-on-year (y/y), with the value of these outstanding balances at R 1 478,6 billion at the end of October.

Thursday, 29 September 2016 11:32

Household credit and mortgage balances

Growth in outstanding credit balances in the South African household sector remained low at 1,4% year-on-year (y/y) up to the end of August 2016.

Page 1 of 3

Most Popular

New Maluti Crescent to open on 21 March and transform shopping in Phuthaditjhaba

Feb 28, 2019
MD  PAUL GERAD
Maluti Crescent Shopping Centre will open on 21 March 2019 when it will officially become…

Fairvest Property Holdings Limited announced solid results for the six months to December 2018

Feb 27, 2019
DARREN WILDER
Fairvest Property Holdings Limited today again announced solid results for the six months…

Redefine Properties on track to drive sustainable growth in ‘watershed’ election year

Feb 25, 2019
1 ANDREW KONING
While economic conditions remain challenging, Redefine Properties (JSE: RDF) continues to…

Renewable energy programme attracts R209.4 billion to SA economy

Feb 25, 2019
JEFF RADEBE
The Renewable Energy Independent Power Producer Procurement Programme (REIPPP) is making…

Iconic new Cape Town building The Rubik launches on to market

Mar 06, 2019
00 THE RUBIK
The Rubik , a newly launched luxury mixed-use building situated in the heart of Cape…

Please publish modules in offcanvas position.