Property prices plummet

Nonsense

All the Standard bank median shows is the "average" price of houses sold. This could mean that an increase in lower cost home sales have occurred in the period. Or that not as many higher bracket property sales have occurred

There definitely has been an slow-down in terms of sales and hence demand and hence growth, but there is no way that property prices on individual units has dropped. Nobody's about to lose money on their property unless they made a dumb@ss overpriced purchase in the first place... in which case they'd be losing money anyway
 
Sneeky said:
And so it begins, officially.

Still a few more interest rate hikes on the cards for citizens this year without any doubt, repossessions of appliances/vehicles/etc on the up as people struggle to cope, most probably trying desperately to service their bonds.
Not going to get better for a longtime yet.

http://www.realestateweb.co.za/real...d=8619&sn=Detail&ccs_clear_cache=1#CMT_ANCHOR
Click to expand...

Where did you get the statistics about reposessions of appliances/vehicles/etc. going up?
 
how much higher could intrest rates possibly still, go, are we really headed for the 'z-word', isn't this riping off the old people who have worked hard and are have lost most of their savings due to this weak rand?

the intrest rate can't go too much higher right, we should have lower rates, and that should push up property soon?

good time to buy right now?
 
phenom said:
how much higher could intrest rates possibly still, go, are we really headed for the 'z-word', isn't this riping off the old people who have worked hard and are have lost most of their savings due to this weak rand?

the intrest rate can't go too much higher right, we should have lower rates, and that should push up property soon?

good time to buy right now?
Click to expand...

Well it used to be 25% at one stage
 
phenom said:
how much higher could intrest rates possibly still, go, are we really headed for the 'z-word', isn't this riping off the old people who have worked hard and are have lost most of their savings due to this weak rand?

the intrest rate can't go too much higher right, we should have lower rates, and that should push up property soon?

good time to buy right now?
Click to expand...
There really is no ceiling, but in reality, and not being an bean counter I'm banking on another 2% till we top out (best case scenario)
 
phenom said:
how much higher could intrest rates possibly still, go, are we really headed for the 'z-word', isn't this riping off the old people who have worked hard and are have lost most of their savings due to this weak rand?

the intrest rate can't go too much higher right, we should have lower rates, and that should push up property soon?

good time to buy right now?
Click to expand...
It depends. Increasing rates will probably not do anything to reign in inflation at this point, but the bank may raise them again to be seen to be doing something. On the other hand they showed sensible restraint at their last meeting. Hopefully they will continue to show sensible restraint.

There isn't really a good time to buy.
 
I dont believe that SA has a credit problem... I think all the Gautrain, WC2010 and such developments required huge loans from the banks.. and THIS is the figure Tito is looking at. The higher the interest rates, the more these companys have to pay out.. so more OPEX.. forcing the budgets upwards.

the fact that inflation has not slowed down even after a dozen interest rate hikes is proof in my view that the problem is not in the consumer market.

but the consumer has to bear the brunt of it... and houses and cars are the first signs that things are going pear-shaped
 
Actually that makes a lot of sense Ricard.
Energy costs (liquid fuels/other) are also just pushing the blade in deeper and giving it a little twist.
 
So it is all our government's fault I suppose? Phew, did not realise our government was so powerful that we could affect house prices in the US!

US house prices suffer 11% drop

We are part of a global economy with many countries teetering on the brink of a recession, if not already in one... we cannot be unaffected by this.
 
LancelotSA said:
we cannot be unaffected by this.
Click to expand...

Agreed, but how well our economy has been run will be relative to how far down / or to what extent the global downswing affects the man on the street here in SA.
 
Sneeky said:
Agreed, but how well our economy has been run will be relative to how far down / or to what extent the global downswing affects the man on the street here in SA.
Click to expand...

And it has been run well... in Tito and Trevor we have two men who know their stuff!
 
I am with you there to a point, but surely there are other contributing factors at play, like banks and the reckless lending, massive infrastructure projects and acquisitions with increasing cost or poor budgeting, ESKOMs requirements out of the blue, etc.
This must have a significant influence, it all has to be financed from somewhere?
 
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