This means buyers are putting down the smallest deposits for new properties in fourteen years. South African home buyers are currently putting down the smallest deposits to buy a property in about 14 years, according to the latest FNB Residential Property Barometer. The national loan-to-price ratio - the proportion of the purchase price that lenders are willing to fund - has increased to 94.9% in the first quarter of 2022. Generally, the higher the ratio, the more willing lenders are to fund property purchases," explains Siphamandla Mkhwanazi, FNB senior economist. The MPC is moving to hike rates in an effort to subdue inflation, which has been heating up in recent months.

Source: News 24 May 09, 2022 21:24 UTC