2020 has been an extraordinary year thus far, in one way or another we have all had to make massive lifestyle changes and subsequently had to embrace a very new way of doing business.
For some, these changes have been positive and for others it has brought on incredible hardships. In many ways, the property market conditions reflect a similar outlook.
The latest cut made in July reduced prime and the base home loan rate to a further historic low of 7.0%
Tyson Properties has seen record breaking sales volumes in properties priced under R2 million, which confirms the fact that there is a massive emerging market coming to the fore. Low interest rates as well as lending confidence from the banks have resulted in this segment of the market powering ahead to record highs. This bodes well for the economic growth of the country.
Elsewhere in the market we predict that consumer confidence is once again increasing in property priced from R3 – 4 million. In the near future this will be the segment of the market where buyers should really be on the look out for some fantastic deals.
We have seen people upgrading their homes with incredible confidence knowing they are getting good value for their money whilst they negotiate strong deals on properties over R4 million. On the flip side of this coin, people downscaling from homes priced over R4 million have taken a rather large knock.
Massive price corrections have taken place in this segment of the market over the last 2 years and we are only now starting to see confidence return to this segment of the market. However, it is still a very long road to get back to where we were in 2016.
Our advice to both our buyers and sellers is, if there ever was a time to make bold moves… it is now. There are fantastic deals to be made if one does the correct research.
R3,550,000 | 4 BEDROOM HOUSE FOR SALE IN PARKLANDS NORTH
The rental market too, has been flipped on its head and is acting in complete contrast to the sales market. Rental properties under R25 000 per month have taken a huge knock as there is now a massive oversupply due to the lack of short-term rentals being done during the Covid-19 pandemic.
In many cases it is now cheaper to buy a property in this price range than it is to rent. The luxury segment of the rental market is still very buoyant with the influx of tenants wanting to rent property without the risk of owning property over R5 million.
Click to see what beautiful listings our rental division has to offer.
A few months ago, it was very difficult to take out positives from what seemed a very desperate situation. We look back now, and we can see that many well-geared companies are thriving and as we head into the Summer months, we can think of no better place to be than here in South Africa.
Get in touch and let’s talk.
Let Tyson Properties find your dream home, visit – www.tysonprop.co.za
