While some positive outcomes for economic growth have occurred in the third quarter of the year, it is likely that we will only experience the full impact of this in the first half of 2025.
“Seeing as the first interest rate cut only happened at the end of September, the stats for the period July - September 2024 understandably reflect a similar level of muted growth that we have seen in the previous two quarters,” says Adrian Goslett, Regional Director and CEO of RE/MAX of Southern Africa.
While the overall market is down by 24.6% in registered sales, Goslett explains that the RE/MAX SA network is up by roughly 2.2% in registered sales value compared to the same quarter last year. “Year-on-year, we are also up by 5.3% in reported sales. While the market conditions have been tough, our agents have shown resilience and adaptability, leveraging their expertise and commitment to deliver results even in challenging times,” says Goslett.
According to Lightstone Property as at end August 2024, annual national house price inflation was at 4.57%. Adding to this, Goslett highlights that the average active listing price on remax.co.za in Q3 2024 is R3,034,304.35 which is a 9% increase compared to the same quarter last year.
“With the start of the interest rate cutting cycle, property prices will no doubt begin to show stronger growth in the months to come. It takes roughly six months before we will feel the full effect an in interest rate cut and market conditions move away from being a ‘buyer’s market’. What this means is that the gap is closing to find those ‘bargain’ deals on properties. For those who can afford to do so, now truly is the time to buy,” says Goslett.
PROVINCIAL & SUBURB TRENDS
Once again, the Western Cape also claimed all 5 spots for the top searched suburbs on remax.co.za. The Western Cape also continues to be the highest priced province at a provincial average of R1 738 844,08 with Gauteng coming in second at an average house price of R1 178 363,10.
Top 5 most searched suburbs on remax.co.za: Sunningdale, Western Cape Blouberg Sands, Western Cape West Beach, Western Cape Melkbosstrand Central, Western Cape Blouberg Rise, Western Cape
Final thoughts “The first few quarters of this year have been characterized by a challenging economic climate and a sluggish property market, but all this is about to change. Those who take advantage of the opportunities that exist now will reap the rewards in years to come,” Goslett concludes.
To find out more about the unique trends that are emerging within your own local real estate market, Goslett suggests setting up a free appointment at your nearest RE/MAX Office.
