November property statistics released by bond originator ooba show positive year-on-year property trends, despite weak economic conditions and a rising interest rate environment.
Rhys Dyer, ooba CEO, said: “Demand for property in certain areas remains resilient, which, when coupled with shortages in supply of properties for sale in many areas, continues to drive prices higher.”
ooba’s latest stats show that a slightly negative year-on-year trend has emerged in the total approval rate, which, at 72.9% is down by 0.6%. “South African consumers are facing increased financial constraints and this is illustrated by marginally lower bank approval rates and increasing demand for 100% bonds,” said Dyer. “Just over 50% of applications processed in November were from home buyers who had no access to a deposit.”
Financial pressure hits the first-time buyer the hardest, which is evident in ooba’s ratio of first-time buyers dropping by almost 2% year-on-year to 54% of all applications received in November.