select
|

Demand for Residential Property Still Outstrips Supply

November property statistics released by ooba, South Africa’s largest bond originator, show positive year-on-year property trends, despite weak economic conditions and a rising interest rate environment.  
 
Rhys Dyer, ooba CEO says: “Demand for property in certain areas remains resilient, which, when coupled with shortages in supply of properties for sale in many areas, continues to drive prices higher.”
 
The Average Purchase Price of R1,062,476 recorded in November was up 7.1% year-on-year, and, similarly, the ooba First-time Buyers’ Purchase Price showed a year-on-year increase of 7.3% to R805,514.
 
ooba’s latest stats show that a slightly negative year-on-year trend has emerged in the Total Approval Rate, which, at  72.9% is down by 0.6%. “South African consumers are facing increased financial constraints and this is illustrated by marginally lower bank approval rates and increasing demand for 100% bonds. Just over 50% of applications processed in November were from home buyers who had no access to a deposit,” says Dyer.
 
Financial pressure hits the first-time buyer the hardest, which is evident in ooba’s ratio of first-time buyers dropping by almost 2% year-on-year to 54% of all applications received in November.
 
“With one of the highest approval rates in the market, all prospective home buyers, and particularly first-time buyers, are encouraged to use ooba’s bond origination service to successfully secure a home loan during the current difficult economic conditions. ooba also offers a free prequalification service to smooth the way for buyers to find the best bond on the right terms, which allows our customers to concentrate on finding their dream home, while we find the money,” concludes Dyer.




  Comment on this Article

  Please login to post comments

Post to my facebook wall
  
2000
Characters remaining


    Latest Property News
    • 24 Nov 2017
      Demand for secure estate living in Hout Bay has risen sharply in recent years, precipitating a spike in development with estate homes now accounting for 20.24% of the property landscape with the launch of an exclusive new gated development on 26 November adding 20 more units to the existing 1250 estate homes.
    • 24 Nov 2017
      There are some things that money can’t buy – spectacular views from Mouille Point to the V&A Waterfront and a trendy and lively neighbourhood that encapsulates the very best of the Cape Town lifestyle.
    • 24 Nov 2017
      Tshwane’s four-bedroom Mayoral mansion, nestled among ambassadorial residences in the upmarket suburb of Muckleneuk, fetched R5.1 million after spirited bidding at High Street Auctions’ final sale of the year.
    • 23 Nov 2017
      Reserve Bank Governor, Lesetja Kganyago, said that the Monetary Policy Committee had once again decided to let the interest rates remain unchanged with the repo rate at 6.75%, and the prime lending rate at 10.25%.
    • 23 Nov 2017
      As the holiday season approaches, most of us are counting the days until that year-end bonus hits our account. There’s nothing quite like a little bank balance booster to get us in the holiday spirit.
    • 23 Nov 2017
      The Adelphi Centre (now entitled “ARTEM") in Sea Point, Cape Town, is being extensively renovated, and once complete will offer an ultra-luxurious galleria style shopping centre unlike any other seen on the Atlantic Seaboard or in Cape Town.
    • 23 Nov 2017
      If you are looking to sell your home in today’s real estate market, there are certain things that you need to include both inside and outside your house. Today’s generation of home buyers is looking toward a more eco-friendly, energy and water conscious home, and if your house stands out then you are more likely to be able to sell it.
    • 22 Nov 2017
      Most people know of the Community Schemes Ombud Service (CSOS) and that levies must to paid to fund its operations. In this article the experts at Paddocks will address some of the issues that are causing confusion.
        
    X
    Subscribe to the MyProperty Newsletter

    Name  
    Last Name  
    Email Address  
    Email Frequency
    select
    X
    Share this Page

       
    For Sale Property
    Rental Property
    More Options
    About
    Connect with us
    FEEDBACK