If you are interested in buying a home in South Africa, you might want to know what the latest trends are in the property market. Here are some of the most important factors that are shaping the demand and supply of residential properties in 2023.

Semigration and reverse semigration

Semigration is the term used to describe the movement of people from one province to another, usually for lifestyle or work reasons. Reverse semigration is the opposite, when people move back to their original province after living elsewhere.

Semigration has been a major trend in South Africa for several years, especially among people who want to live near the coast or in smaller towns. The Covid-19 pandemic and the rise of remote work have accelerated this trend, as people seek more space, safety and quality of life.

Semigration will gain momentum and possibly also change direction in 2023. It is predicted that more people will move from Gauteng to the Western Cape, Eastern Cape, and KwaZulu-Natal, but that some people will also move back to Gauteng from the coastal provinces, as they miss the economic opportunities and social networks there.

Sectional titles are still hot property

Sectional titles are properties that are part of a larger complex or development, such as apartments, townhouses, or cluster homes. They are usually more affordable, secure and convenient than free-standing houses, and often come with communal facilities and services.

Sectional titles have been in high demand in South Africa for a long time, especially among first-time buyers, young professionals and retirees. They also offer good returns for investors who want to rent them out.

Sectional titles accounted for 28% of all home loans granted in 2022, up from 26% in 2021. It is expected that this trend will continue in 2023, as sectional titles offer value for money and low maintenance costs.

Going green and auto

Another trend that is influencing home buying in South Africa is the growing awareness and preference for environmentally friendly and energy-efficient properties. More and more buyers are looking for homes that have features such as solar panels, rainwater harvesting systems, insulation, LED lighting and smart appliances.

These features not only reduce the environmental impact of the property, but also save money on electricity and water bills, which are rising steadily in South Africa. They also increase the resale value and attractiveness of the property.

In addition to going green, many buyers are also looking for properties that have automated or smart features, such as security systems, cameras, alarms, locks, gates and garage doors that can be controlled remotely via an app or voice command. These features enhance the convenience, comfort, and safety of the property.

High demand for estate life

Estate living is another popular option for home buyers in South Africa who want security, privacy, and lifestyle amenities. Estates are gated communities that have their own rules, regulations and facilities, such as golf courses, clubhouses, pools, gyms, parks and shops.

Estate living appeals to a wide range of buyers, from families with children to retirees who want a sense of community and social interaction. Estates also offer a variety of property types and sizes, from luxury mansions to compact apartments.

According to a leading online property website, estate living is one of the most sought-after property types in South Africa. The demand for estate properties is expected to remain high in 2023, especially in areas that have good infrastructure, schools and access to nature.

Going micro

Micro living is a trend that involves living in small spaces that are designed to maximise functionality and efficiency. Micro living is popular among young professionals, students and singles who want to live in urban areas that are close to work, entertainment and public transport.

Micro living is also a response to the high cost of living and housing in South Africa’s major cities. By living in smaller spaces that have lower rental or purchase prices, utility bills and maintenance costs, micro dwellers can save money and live within their means.

Micro living is not only about size, but also about style and quality. Micro properties are often modern, stylish and well-equipped with smart features and storage solutions. They also offer communal spaces and amenities that foster social interaction and convenience.

Pooling resources

Pooling resources is a trend that involves buying a property with other people who share similar goals or interests. This could be family members, friends or strangers who form a group or a syndicate to buy a property together.

Pooling resources can help buyers overcome some of the challenges of buying a property in South Africa, such as affordability, access to finance and risk management. By pooling their incomes, savings and credit scores, buyers can qualify for larger home loans, lower interest rates and better deals. They can also share the costs and responsibilities of owning and maintaining a property.

Pooling resources can also offer social and lifestyle benefits, such as companionship, support and flexibility. Buyers can choose to live together in the property, or rent it out and generate income. They can also sell their share of the property when they want to exit the arrangement.

The most in-demand areas in 2023

According to latest data, some of the most in-demand areas for home buying in South Africa in 2023 will be:

• Cape Town’s Atlantic Seaboard, Southern Suburbs and City Bowl, which offer scenic views, cosmopolitan lifestyles, and high capital growth.
• Johannesburg’s Sandton, Fourways, and Midrand, which offer proximity to business hubs, shopping centres and entertainment venues.
• Durban’s Umhlanga, Ballito, and Hillcrest, which offer coastal living, warm weather, and relaxed vibes.
• Port Elizabeth’s Summerstrand, Walmer and Lorraine, which offer affordability, convenience, and quality of life.

These are some of the latest trends in home buying in South Africa that you should be aware of if you are planning to buy a property in 2023. Whether you are looking for a sectional title, an estate property, a micro property, or a pooled property, once you can find your dream home MultiNET Home Loans will help you find the best home loan for you, for more information contact us: 0861 545 444, www.multinet.co.za and info@multinet.co.za