SA property prices up again

September showed an increase in house prices for the fourth consecutive month displaying signs of anticipated recovery of the housing market in South Africa.

The Oobarometer price index for September revealed a year on year rise of just under 2% giving a typical price this year at just over R806,000 over the price of around R791,000 recorded in the same month last year, and for the last five months Ooba has confirmed inreases in the the value of approved bonds.

Market recovery is often indicated when banks are more inclined to offer favorable terms to potential home buyers and this appears to be the case in South Africa with mortgages being offered again at 100% from the four major banks in South Africa. Competition appears to be building between banks to hit sales targets and claim their market share. Approval rates are up by nearly 4% from 2008.