We already reported on the FNB housing price index which for the first time showed a slow year on year rise. Now Data from Global Property Guide also reports that during the period July – September the average house price in South Africa rose by 0,55% compared to the second quarter.
Slowly speculative buyers can get out in the South African open again, slowly.
The South African consumer index remains high at 6,4% and with electricity trariffs up by 31% in July and wahe deals accross different sectors, we don’t believe that inflation will decrease. This will mean that Central Bank Governor Tito Mboweni doesn’t have a lot of room to further decrease the South African interest rates. Current Repo rate is at 7,00% and prime rate at 10,50%
