Better times are ahead for the real estate industry, says Gerhard Kotzé, managing director of the RealNet estate agency group.
“We believe market sentiment will improve substantially after the upcoming elections. “The elections will settle a lot of local uncertainties about the political and economic direction South Africa will be taking for the next few years.”
Many local market indicators are already positive, and the most astute buyers and investors are purchasing now, while prices are still relatively constrained and sellers are still willing to negotiate, says Kotzé.
Consumer confidence holds the key to any possible turnaround in the residential market in 2019, says Herschel Jawitz, chief executive of Jawitz Properties.
“While consumer confidence remains in positive territory, it has not yet translated into increased demand by buyers. “This buyer caution will be compounded by pressures on disposable income and the perceived uncertainty as the country heads towards the elections.”