South Africa’s property and automotive markets provide a barometer of how the country’s economy is performing. In recent years, both property and automotive sales have drifted sideways and downwards reflecting the generally difficult economic times and now Covid-19 and its consequences.
While the prices of properties and vehicles have risen year-on-year, the volumes have not: property sales have been flat at around 220 000 while in 2011, 340 000 new vehicles were sold through the dealer network, and this dropped to 306 000 in 2019 – a decline of around 10%.
But there are clear signs of opportunity and growth that a changing country offers. SA’s past, rapid urbanisation, political uncertainty and a struggling economy have all helped shape an uneven property market with a large informal and low cost element which presents opportunity for buying up when economic conditions allow.