The real estate market in South Africa is booming. Despite the economic downturn brought on by the pandemic, the country’s property market is seeing significant growth in 2020. According to the latest data from the South African Real Estate Institute (SARIE), the country’s residential property prices have increased by 3.8% in the first quarter of 2020. This marks the highest quarterly growth rate since the start of the decade.
A major factor driving the growth in South African real estate is the increasing demand for residential and commercial real estate. This is due to the country’s growing population, which has led to a shortage of housing, even in the face of the pandemic. In addition, foreign investors have been flocking to the country to take advantage of the low property prices and low interest rates.
The increased demand for South African real estate has also led to the emergence of new players in the market. There are now more than a dozen real estate companies operating in the country, some of which are owned by foreign investors. These companies are offering a wide range of services, from property management to investment advice.
The South African government is also playing a role in promoting the real estate market in the country. The government is offering incentives in the form of tax breaks and other incentives to encourage investment in the sector. This is helping to make real estate in South Africa more attractive to investors.
The South African real estate market is looking positive. With increasing demand for both residential and commercial properties, as well as government incentives, the sector is likely to continue to grow in 2020 and beyond.