Data provided by iNet BFA
Loading...
See More

House prices grow, but remain low

Nov 07 2012 11:35 I-Net Bridge
property

House price growth improves, but remains low.

Related Articles

Homes spend more on energy than food

Building costs strengthen home prices

First-time homebuyers on the rise

Buying a house now: a good investment?

Houses on the market for longer

Moderate growth in SA house prices

 
Johannesburg - October 2012 saw the year-on-year growth in the average value of homes in the middle segment of the South African housing market improving further compared to September this year‚ the latest Absa House Price Index shows.

Month-on-month price growth‚ however‚ is still on a steady declining trend‚ pointing to eventual subdued year-on-year price growth.

The index‚ based on applications for mortgage finance received and approved by the bank in respect of small‚ medium-sized and large homes in the middle segment of the market‚ showed the average value of middle-segment homes increased by a nominal 2.6% y/y) in October this year‚ after rising by a revised 1.5% y/y in September.

The first ten months of the year saw house prices marginally down by 0.6% y/y‚ after significant price deflation evident in the small segment of the market for most of the year.

Real house price deflation continued up to September‚ with the momentum slowing down somewhat from August on the back of improved nominal price growth‚ but faster rising inflation.

The headline consumer price inflation rate accelerated to 5.5% y/y in September on the back of upward pressure coming from food prices and transport costs. Consumer price inflation averaged 5.7% in the first nine months of 2012 compared with the same period last year‚ Absa said.

The average nominal value of homes in each of the three middle-segment categories of the housing market was as follows in October 2012:

• Small homes (80m²-140m²): R749 800

• Medium-sized homes (141m²-220 m²): R1 042 900

• Large homes (221m²-400m²): R1 526 200
property  |  house prices
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

A cash flow crunch often occurs in small businesses trying to balance cash coming in with cash going out. Watch this video to help you improve.
 
 

Passive investment for retirement

The use of passive investment products, like Exchange Traded Funds, to deliver low-cost investment performance is taking off.

 
 

Start saving...

Time the key for retirement saving
Dummy's guide to saving
Save money with affordable account
All about endowments

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...