With property price growth at its lowest point in many years, 2018 will continue to be a great buying opportunity for property investors.
«Strong economic support within these two markets should make for a soft landing in terms of
slowing property price growth, increased marketing time for properties and lower probabilities that sellers will actually transact and close during a given marketing effort of their property,» Johnson says.
Overall, real estate indicators are expected to be better than their 20 - year averages this year, except among the following indicators that are forecasted to perform worse:
commercial property price growth, equity REIT returns, retail availability rates, and single - family housing starts.
In Gauteng and Kwa - Zulu Natal, the slowdown
in property price growth has reversed with a marginal uptick in prices in October and November possibly signalling that prices have bottomed out.
We can then expect the year - on -
year property price growth to rise by 6 % for the last quarter of 2018, compared to only 1.4 % compared achieved for the fourth quarter of 2016.»
While median sale prices are useful as a measure of market activity — ie what types of properties are selling and what types of buyers are most active, the median value is a more indicative measure of
actual property price growth as it takes into consideration all properties within a suburb.
This slowdown extends to the Western Cape — a niche market in itself —
where property price growth has fallen below 10 % for the first time in at least three years.
«Strong economic support within these two markets should make for a soft landing in terms of
slowing property price growth, increased marketing time for properties and lower probabilities that sellers will actually transact and close during a given marketing effort of their property,» Johnson said.
A combination of interest rate rises and
property price growth has seen housing affordability worsen more in Melbourne than other capital cities over the past year.
Rics forecasts that the north west will outperform in terms of
property price growth, and as rents are predicted to rise at a faster pace than house prices, now is the time to consider investment.