Good News, the repo rate remains fixed at 3.5 %
Category Property news
The decision made by the central bank's Monetary Policy Committee (MPC) for the repurchase (repo) rate to remain at 3.5% was expected. South Africa is on Alert Level 1 and with the improvement in vaccination rates, there is hope that it will bolster confidence and lead to economic growth.
"Stripping these out, however, core inflation remains low around the lower target of 3%, a clear indication that demand pull inflation is still subdued. So, while recovery is gaining momentum, the economy is still in need of support and as such, the Sarb should maintain the accommodative stance for longer," - FNB Chief Economist, Mamello Matikinca-Ngwenya stated.
This indicates that the repo rate and prime lending rate will remain at a constant for at least the next few months.
What does this mean for you as potential seller or buyer?
It means that buyers are able to get lower interest on bonds and loans, a positive indicator for the property market. Not only is this a favourable outcome for buyers but for sellers too, as there is a higher demand for stock.
Our agents are ready to assist you in finding the right buyer for your home. We use targeted digital marketing to make sure we generate qualified leads. Our brokers take the time to find the home that matches each buyer's needs, because at Greeff we put the personal back in property.
Sources: Moneyweb, Reserve Bank
Author: Greeff Christies International Real Estate
