(5 minutes read)
· Real estate prices in Southern African countries are demonstrating mixed trends. South Africa’s housing market has bounced back during post-Covid-19, while the other countries in the SADC region showed varying degrees of price levels
· In Botswana home prices dropped drastically thanks to the 30% transfer duty –the highest globally-on sales to foreign nationals
· In Zambia, the market is feeling the effects of the pandemic in numerous ways as malls are closing, vacancy rates are raising and there are many unoccupied buildings
Real estate prices in Southern African countries are demonstrating mixed trends. South Africa’s housing market has bounced back during post-Covid-19, while the other countries in the SADC region showed varying degrees of price levels.
In Botswana home prices dropped drastically thanks to the 30% transfer duty –the highest globally-on sales to foreign nationals. The sales to foreign nationals are effectively halted.
In Zambia, the market is feeling the effects of the pandemic in numerous ways as malls are closing, vacancy rates are raising and there are many unoccupied buildings.
The economic challenges which existed prior to the pandemic such as high unemployment, a high interest rate (35%) and low liquidity pushed down the realty prices in Zimbabwe. Its citizens are investing mainly in entry level properties along with a few buyers from the mortgages market and the business class. High and medium density properties (land size up to 400sqm) are most in demand up to US$80,000.
eSwatini now has a buyer’s market for various reasons and sellers need to be cognizant of price as even the “traditional” buyers in the R2 million to R3 million range remain cautious. Properties having low prices and high are being sold so also for commercial and industrial space. The rental market is picking up.
Requests from South Africans willing to move or invest in Mauritius are increasing, but they are waiting until they can visit the county before committing. Other investors are waiting for prices to come down.
In Namibia with the interest rate better than in prior years, it is a great incentive to buy and there are plenty of sellers willing to negotiate. There are also some who are investing in two apartments; one to live in and one to rent out.
