The property industry is hugely excited by the outcome of the South African Reserve Bank's Monetary Policy Committee (MPC) meeting, which resolved that the repurchase rate would remain unchanged at 6.75 percent.
The announcement was made by the Governor of the South African Reserve Bank on Thursday. The decision signifies stability, and even growth, which is a positive development for the property industry as it looks ahead to 2018.
Some have even advocated for an interests rates cut in the near future.
"It was a stable start to the New Year with the Reserve Bank announcing no change in the repo rate at the conclusion of its Monetary Policy Committee meeting, as forecast by various market commentators," said Chief Executive of Pam Golding Properties Andrew Golding.
Golding is confident that the conversation about an interest rate cut will resurface in the foreseeable future, depending on the political climate in the coming weeks and months.
"Given the current scenario with the National Budget pending in February and potential, further risk to our country's credit rating, this outcome was not surprising, although it is hoped that lower inflation and a less volatile political environment will facilitate a move towards a rate cut in the near future," added Golding.
"With the economy expected to strengthen somewhat and interest rate hikes most likely delayed, the outlook for the local housing market is more upbeat this year. Just how much better, will become increasingly apparent in the weeks and months ahead."
