FNB Property Barometer Feb 2021
Category Market News
Please find the FNB Residential Property Barometer for February 2021 - Home buying market showing resilience, for now.
Key themes
- Recent data shows better-than-expected house price growth; further demonstrating the decoupling of economic fundamentals and housing market outcomes.
- Interest rate-induced demand remains strong, but momentum is slowing.
- Incidents of downscaling due to financial pressure continue swelling, although lower compared to GFC.
- Rental market pressures persist; vacancy rates are climbing and rental escalations slowing. Anecdotal evidence shows that some of this stock is being released into the market for sale.
- Labour market weaknesses remain a major concern. Data shows, in line with our expectations, that job losses are now migrating to more white-collar workers.
In the report, we also outline our expectations for 2021 by price buckets. Full report.
Author: Siphamandla Mkhwanazi | FNB Economics
