The Randburg property market and the property market in general has hit the Nadir, as FNB puts it. The lowest point or the weakest point for the property market.
BUT, trust me now is an extremely good time to list a property for sale and there are so many benefits to consider in the current market. But now is also a time when property professionals need to ramp up service and also communication.
Not to be negative, but the Randburg property market is tough at the moment. No doubt about it. But the market if you have plans to sell is still yielding really good value for both sellers and buyers alike.
Let’s sum up the current Randburg property market Update from FNB? Hot off the press from the FNB Property Barometer. What is the latest news and what are the recent trends in the property market, that have been applied to Randburg and beyond? It’s not great news. We were hoping to see a lift in the property market volumes in 2024 or 202More. FNB in their recent report used the word Nadir which I had to look up, meaning from the Cambridge Dictionary.
Here are some headline trends and insights from The FNB Property Barometer
- Firstly, the FNB House Price Index has averaged 0.6 year on year for January which is unchanged from December 2023. This is what we call a sideways movement and not an upward movement indicating growth. We are just not able to lift the prices and the buyers that are considering a buy are well supported in their buyer pricing.
- Frankly, the HPI bottomed in the 4th quarter of 2023.
- A little lift is expected in the 2nd half of 2024, once the overall affordability improves.
- Both the supply and the demand for property sales is contracting. This is a tough market as we wait for all the Macro factors to balance out and we hope they do soon (inflation, water, power, rates, voting, etc).
- FNB also believes that the property market has possibly reached its lowest point.
- There has been a 28% decline to date in mortgage volumes and the affordability pressure have kept buyers at bay. Many buyers now seek more affordable options.
- We do not expect a significant rebound in house price growth in the near term. But FNB does predict that volumes will revert to pre-pandemic levels by 2025 and volumes will stabilize with lower rates.
- Growth according to FNB will be in the region of 0.8% this year and they expect growth to lift again to 12.7% in 2025.
What does the insight from FNB mean to the Randburg Property Market
If it’s time to sell and move away or into something smaller, then pricing now is more crucial than ever. The growth that some folks are wanting to see when we sell their property is just not there. If you have no option other than to sell, the price at which you list is absolutely crucial. Simply put, if your asking price is above what buyers will pay for your property, it will simply not sell. As estate agents we are always pushing upwards just a little. Often though that push given what Sellers want is just a little too high.
What plans can you consider in the property market at the moment?
There are always options to consider in any given market and these include a few but not all:
- Is the price at which your property has listed in line what the numbers for your property show? Have you pushed up a little too high? If you have and you picked your own number, it may be wise to reconsider the number you had in mind if you have plans to sell.
- You could discuss with your agent what the strategy could or should be. It is hard to provided regular feedback when there is no good news to share.
- Remember it only takes 1 buyer to sell your home? Every enquiry is treated like gold at the moment. Agents will work hard with buyers to find a serious and active buyer to find them what they are looking for?
- Has your agent leveraged all the buyers for their other properties to your property?
- If you have small little niggles at home that require repair, possibly take the time to get quotes to understand what repairs will cost, giving buyers less wiggle room when it comes to OTP time.
- If you do get an offer in the current market, you are fortunate. If the offer is lower than you had in mind, it would be wise to consider the offer very carefully. Remember as a seller you have 3 options (Accept the offer, Decline the offer and Counter-Offer).
- Has your agent featured your property on the major portals like Property24? This special featuring opportunity ensures your property ranks first for your area.
- Also, are your photos brilliant? Brilliant photos are like eye candy and selling a property in a tough property market if the photos are not 100% sets you and your listing back so much.
Need assistance to navigate the current property market?
I can assure you if your price is wrong for the current market chances are you will not sell this year. BUT, there are so many benefits to listing a property now with an agent that has active buyers to leverage. If you do need a second opinion on the price you have your property listed for, feel free to reach out. I can assist with a remote valuation if need be, but if the price is not perfect, your property will sit for ages on the market.
Need more information on the property market
Please feel free to reach out if you need further info? I would be more than happy to share some reports with you that will provide you with some granular info on the prices of properties in your area. At the end of the day we would all like to see both the seller and the buyer end up with a win-win situation. That may only be possible with accurate pricing. The numbers in the reports don’t lie. The numbers are accurate so maybe it’s time to consider carefully if now is the time to sell your property. If FNB maintained that it is unlikely that prices will rebound in the near future, it may also be an opportunity to revise the price at which your property is listed.
Get in touch with a seasoned estate agent in Randburg
Call Sandy from Sell with Sandy on 083 550 1220 or visit my website.
Click here to view my listings in the current market and yes I do have a few properties that are sitting but mostly because we are sitting with a price that is a little above what the recommended price was when listing.