Cape Town property experts divided
The recent interest rate hike of 50 basis points by SARB caught many property industry experts off guard. While most industry leaders had predicted a 25 basis points increase, there were still some who correctly predicted the 50 basis points hike. In a recent finder.com SARB repo rate forecast report, panellists were divided on whether this would be the rate peak, with 55% of them expecting it to peak in March, while 23% predicted May.
With rising interest rates, there was a consensus that fewer first-time home buyers will enter the market in 2023, according to around 88% of participants. While it may be harder for buyers to purchase property, there is still hope for those who are willing to "downgrade" their expectations. A high interest rate environment can result in a buyers market as mortgage demand dampens, but supply may increase.
To safeguard financially against higher interest rates, homeowners should prioritise paying off any bad debts first and avoid taking on any new debt in the coming months. It's also essential to keep some room in the budget for another potential 0.25% to 0.5% increase in interest rates. With sound financial planning and vigilance around finances, it will assist in weathering the impact of higher interest rates and keep debts manageable.
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We are excited to announce that Quay 1 International Realty has been honoured with the esteemed title of Best Independent Real Estate Brokerage in South Africa for 2023. This recognition was awarded by one of the most reputable committees in the industry and is a genuine reflection of our team's unwavering commitment to excellence.
Our clients' needs have always been our top priority, and this award validates our innovative, professional, and results-driven approach. We are grateful for this acknowledgment of our dedication to adding value to our clients, and it reinforces our mission of navigating success in all market conditions for our sellers, buyers, landlords, tenants and developers. We are excited to continue providing unparalleled service and support to all our clients.
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