Standard Bank has reported a rise in home-loan approvals, signalling renewed demand in South Africa’s residential property market despite recent challenges like high interest rates and inflation. The bank’s data shows that home-loan demand between 2020 and 2021 surged to R20 billion per month, but affordability constraints reduced this to R14 billion in 2023. However, the bank is forecasting a recovery in demand as the South African Reserve Bank is expected to lower interest rates starting late in 2024, with additional cuts in 2025, while an improving political landscape are expected to further revive buyer confidence and boost loan applications.
