Absa’s 2024 Homeowners Sentiment Index shows consumer confidence in South Africa’s property market holding steady at 84%, with optimism bolstered by expectations of rate cuts. Key trends include a high proportion of solo female homeowners (66.6%), dominated by young black women. First-time homeowners make up 48% of applicants, reflecting a 1% rise from Q2, and many seek improved financial guidance to navigate the market.

Rental property conversions for short-term income continue to grow, with feedback from renters indicating an increasing desire to buy homes as confidence in market conditions strengthens. The trend toward alternative energy adoption has slightly rebounded to 39% (up from 37% in Q2), as load-shedding fears wane. However, fewer respondents now believe such systems substantially boost property value. Reducing electricity costs remains a primary motivator for investing in off-grid solutions.

Positive buyer sentiment stems from long-term property value growth (55%) and secure asset perception (51%), while concerns include economic instability (60%), high property prices (43%), and crime levels (46%). Similarly, sellers remain optimistic about property as a valuable investment (55%) and a reliable income source (48%), yet worry about the weak economy (51%), high prices (50%), and affordability for tenants (39%).

Overall, while consumer confidence is stable and buyer optimism prevails, economic and political uncertainty weigh on both buyer and seller sentiment. These trends underscore the importance of financial resilience and cautious decision-making in South Africa’s evolving property landscape.