The average purchase price for a house in South Africa right now – and why people are taking out bigger loans

[BusinessTech]

The average purchase price for a house in South Africa right now – and why people are taking out bigger loans

Dr Andrew Golding, chief executive of the Pam Golding Property group, says that the average value of the homes sold in South Africa during the first half of 2021 was higher than during the course of last year.

 

[Thor]

Probably the first businesstech article worth reading.


Also this is scary

"

the pace of mortgage loans granted has accelerated and is now at the highest level since the introduction of the National Credit Act in 2007.

"

 

[rietrot]

It's all just the interest rates that affect affordability of monthly repayment.

If we get some high inflation increases and interest rates go up in the short to medium term the bubble will pop.

 

[rvZA]

It's all just the interest rates that affect affordability of monthly repayment.

If we get some high inflation increases and interest rates go up in the short to medium term the bubble will pop.

Agreed, rates are guaranteed to go up in the very near future, in fact, most likely the first increase coming next week. Many new buyers are likely to lose their houses. The big question is how much higher the rates will need to go.....?