New year, new opportunities: 2023 Property Market Predictions

We are looking forward to the new year and all the opportunities it holds! 2023 promises to show more post-pandemic-fuelled course correction and a transformational shift in the ways buildings are used. There is still some ongoing uncertainty about the way the global economy could impact the industry, but here are some of the forecasts you can look forward to:

South Africa's property market is slowly recovering, and property values were remarkably resilient in 2022. The overall performance was stable, a positive for sellers looking to enter the market in 2023. Property prices have shown growth towards the end of 2022, hopefully setting the trend for the new season. Luckily this shot of growth hasn't been too fast for buyers and we can look forward to new investors entering the market.

2023 is looking promising for buyers, as lenders are more motivated to secure potential qualified property owners. First-time buyers are highly prioritised and favourable interest rates are currently offered to financially secure buyers, which we expect will be the inclination in 2023.

Agents can prepare for a possible shift coming to the local housing market, as agencies reported a higher volume of rental-related searches toward the end of 2022. However, leaner times in terms of buyer interest may be in store. After the pandemic subsided there was an abundance of buyers, which will possibly not be sustained in 2023. Real estate professionals will benefit from building their networks as much as possible before conditions change. Favourable lending conditions for buyers in 2023 will hopefully help the residential property market grow and the rebound in demands for investment buy-to-let properties can be beneficial for agents.

Consumers continue to battle rising living costs which will likely mean increased rates for tenants, but a rise in the demand for rental properties means that they can look forward to new developments and hopefully a wider variety of rental properties available on the market.

Landlords can expect pre-covid levels and beyond for the holiday rental market in 2023. Despite rising inflation, which may impact home maintenance costs, tenant payment behaviour has been recovering to post-pandemic levels at the end of 2022, a bright outlook for the new year!

We are excited that South Africa's property market showed an overall positive recovery last year, bouncing back after the decline during the global pandemic. The good news is that a lot of growth is still to come.

The Meridian team would like to wish you the greatest success in 2023! We cannot wait to be your partner in prosperity in the years to come. Speak to one of our property professionals today to find out how you can join the team or to make sure your property journey is successful:

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At Meridian Realty, our expert property professionals know exactly what your curb appeal should and shouldn't be. Contact us today for any home valuation questions: https://www.valuations.meridianrealty.co.za