Need access to the latest property trends for 2024, yere you go. According to FNB’s Property Barometer in the run-up to the end of 2023, there are a few significant trends to note which include:
- FNB expects that the interest rates have reached their peak. Thank heavens. A measured cycle in 2024 will see us all find some relief when repaying our home loans and other credit-linked products.
- Affordability is tighter and more pinched than ever. That means that buyers are considering very very carefully any drastic changes in their current address and are shopping around for well-priced good stock.
- Although in Jan 2024 there has been an uptick in buyer activity, if your home is not priced correctly you will miss the few buyers that there are that are on the market and looking for new addresses.
Property Trends : Let’s take a look at property growth
Considering the property trends in the Randburg and specifically the Robindale estate agent marketplace, the picture provided from FNB, above, the HPI or House Price Index ended on an average of 0.5% in November 2023. That’s low folks. That means negative territory for sellers especially if you have plans to list your property for a price at which the market will simply not respond.
The only price bracket that is not showing significant stalling is the R1.25-R1.5 million price bracket. The demand for risk is simply very low. This has significantly curbed development and construction and this will continue until we start to see relief in terms of our really fat interest rates.
Property Trends : Home Loan Information
Well, in a nutshell, the banks have tightened the reigns on lending. We all know how tough it is to repay a bond where your repayments have gone up significantly in 1 year. The banks know this all too well. And we all have a friend or two that is struggling and getting deeper and deeper into trouble, financially. With bond repayments starting to falter and property owners struggling to repay their bonds every month, more and more homeowners with bonds are asking for relief. So, the noose on lending criteria from the banks is getting tighter and tighter.
Provincial Views of Property Trends
Also from a property trends in Robindale perspective its important to note that Gauteng is sitting at the bottom of the pile when it comes to price growth in the entire JHB Metro. Leading the pack and the graph is Cape Town where most Vaalies are already moving or have moved. The demand is high and the supply in Cape Town is pretty low. Prices are on average quite a bit higher and are enjoying better growth than our properties in Johannesburg.
Looking Ahead
As far as property trends in Robindale go, FNB has considered the current weak house price growth and expects the current trajectory to continue for a while. And, certainly, until inflation and borrowing conditions show a meaningful ease but towards the 2nd half of 2024.
Interest rates will start to ease but when. HPI has lifted marginally from 1.5% (the 2023 average) to 1.6% in January.
Market Recovery what can we expect?
FNB has confirmed that the property price growth or HPI should start a moderate recovery but this will take time and this will start to happen more as we reach a much lower interest rate. First-time home buyers are more despondent than ever and the demand is exceptionally low as young families simply cannot get into the first-time homebuyer market.
What is the general overall sentiment from the market?
Firstly, as FNB puts it, there is some optimism. Although new home loan volumes have declined by 27% and verified by the Deeds Office. Higher-priced segments are hardest hit at this point. We are also seeing a downscaling trend in play. If and when the interest rates start to come down, FNB expects the growth of the first-time home buyer segment to improve. The drop in this important sector of our economy has dropped from 47.3% to 39.7% and although this does not sound like a big drop it is huge on the ground with properties priced and perfect for a family that is shopping for their dream home in the R1.25-R1.5 million price brackets.
Thinking of buying before you sell – don’t
In the current market and certainly, if you consider the property trends for Robindale and surrounds, if you are in a position to sell first then buy then please do that! On average it takes 3 months plus to sell a property. You do not want to lose your dream home because you bought it before you sold it. That’s just hard. It is simply imperative, even if you have the money to sell before you buy your next home. Remember the costs when you move out keep piling up and if you got a valuation 2 years ago, chances are the number will be lower than initially presented. Prices from 2 years ago will simply not fly.
Time to get realistic about what your property is worth?
If you want to sell your property in Robindale and the surrounding areas, remember there are plenty of buyers out there that are ready and are willing go big or go smaller in the current market. There are so many reasons why these trends become meaningful and what this means to all of us. If it is time to get your property valuation done, please get a price that will help you sell your property at a price that will get the active buyers responding. A great deal of the stock on the market at the moment is not priced for the current market.
Trust me the easiest thing for an estate agent to do now is to just pick a number. The numbers when you list are more important than you realise. List it too high and you don’t get buyers even seeing your property when they are looking and shopping online in the price brackets they can afford. A busy listing should produce between 2 – 10 viewings per week and that would be based on accurate pricing for the current market. Need more than just a number, need honesty and reliability, give me a call.
Need help? Need a Property Valuation in Robindale and surrounds?
Call or WhatsApp me on 083 550 1220 if your property is in the Robindale and surrounding areas. As a seasoned estate agent, I know how to price for the current market and I know how to market a property for sale. Service is a priority for me, but above all it’s honesty. Honesty builds trust and so does my commitment to deliver a sale in any given market for the right price. Call me on 083 550 1220 or click here to leave your details and I will get back to you asap. The areas I work in are Robindale, Robin Hills, Fontainebleau, Malanshof and Linden.