Buying to slow, rental demand to rise in 2018

OTHER predictions for 2018 include:

The demand for investment properties is likely to slow down further as will the demand for developments, especially in the upper price ranges.

Financial stress-related selling is likely to rise in the lower to mid-sector of the market while at the upper end, buyers and investors will rather stay put, renovate and upgrade.They will not want to invest further, pending an improvement in the economic and political outlook.

The demand for rental accommodation will rise as more people will see renting as a cheaper, low-risk option.

Security, affordability and convenience are likely to be key drivers which will mean sectional title property and the smaller to mid-sized housing sector will continue seeing the best demand.

The demand for holiday houses and secondary homes is likely to come under further pressure, with smaller coastal locations beginning to see more of a slow-down in demand over the next year. Prices will come under pressure in the holiday towns and villages, especially those located a bit further from the main centres.

Upgraded related selling is also likely to be slower, while more people will look at downgrading with costs and prices being a major driver of the demand.

Source: Samuel Seeff, Seeff Properties