July Property Barometer
South Africa - FNB
House prices tick up alongside rental inflation
The FNB HPI ticked up marginally in July, recording 3.6% y/y from 3.5% y/y in June. This takes the average year-to-date nominal house price growth to 3.5% y/y, slightly worse than the 3.6% y/y recorded in the same period in 2018, but noticeably weaker than the 3.9% annual growth for 2018. At these levels, growth in house prices still languishes below inflation, using the headline inflation print of 4.5% in June. Positively, FNB Market strength indices revealed a mild improvement in demand, and a persistently slowing pace at which properties entered the market for sale. Consequently, the demand and supply gap narrowed marginally, but remains in favour of buyers. This can be attributed to some easing in buyer despondency post elections, the increased bargain hunting in the higher-priced segments and, more recently, lower interest rates.
July Property Barometer
Disruptors in property market offer a choice of service
South Africa - Property360
Industry insiders differ on whether fixed-fee and low fee real estate agencies will fundamentally affect the sector
Fixed-fee real estate agencies may be ruffling the feathers of traditional role players, but there is more than enough scope and diversity in the South African market to accommodate both models.
There is also no reason to believe the failure of online model Purplebricks in some overseas markets is indicative of their impending demise here. As technological capabilities have evolved so have disruptors in the property market – like many other industries – been challenging traditional ways of conducting business.
Last year the Pam Golding Property Group acquired online digital real estate agency Eazi. This prompted Adrian Goslett, regional director and chief executive of Re/Max of Southern Africa, to call into question the sustainability of the traditional real estate model.
UK Conveyancing Market Trends Report 2019
UK - BusinessWire
The UK Conveyancing Market Trends Report 2019 provides an overview of the UK conveyancing market which is facing a period of uncertainty in the next few years.
In 2018 as in 2017, the author estimates that the residential conveyancing market declined as the number of property transactions and the number of individuals using conveyancing services fell back compared with 2017. Price pressures, i.e. more fixed fee options, have also been impacting on market value growth. In 2018, the UK residential conveyancing market decreased in value by 2.8% in 2017.
The number of residential property transactions also decreased in 2018 by 2.4% compared to 2017 and this followed a decrease of over 1% in 2017. Provisional figures for the first half of 2019 point to an even larger decrease in 2019. Residential property transactions decreased by 6.6% in the first half of 2019 compared to the same period in the previous year. A possible solution to the Brexit confusion in Autumn could help to improve prospects in the latter part of 2019.