This is how much the average house costs in South Africa

This is how much the average house costs in South Africa

Research conducted by financial services firm, First National Bank (FNB) shows how much the average house costs to buy in South Africa in 2015.

The average price of homes transacted in November was R1.046 million, according to the most recent FNB House Price Index (Property Barometer). This is a marginal improvement from R1.044 million for a home in October, and the September average of R1.003 million.

By comparison, the average price of homes transacted in December 2014, was R985,405, according to FNB.

According to Lightstone statistics, for the 10-months from January to October 2015, a total of 151,371 homes changed hands, compared with 175,619 units for the 12 months in 2014.

For the year to date, Lightstone statistics also reveal that 79% of sales comprised homes under R3 million and over half (53%) under R1.5 million.

The average price selling price was R918,000.

FNB published a report for the first six months of 2015, in August, showing that the average house price mid year in 2013 were R891,931, rising up to R1.008 million in 2015, and is expected to reach an average of R1.147 million in 2018.

It showed prices in the following housing segments:

# Average House Price Price
1 Major Metro Areas R1 213 493
2 Upper Income Area R2 641 917
3 Middle Income Area R1 396 396
4 Lower Income Area R868,887
5 Affordable Area R461,407
6 *Former Black Township R323,472
7 Holiday Towns R952,965

This is in Major 3 Provinces

Absa’s House Price Indices report published last week, showed the following results for November 2015 in each of the middle -segment categories:

Small homes (80m²-140m²): R877,000
Medium – sized homes (141m² – 220 m²): R1.241 million
Large homes (221m² – 400m²): R1.989 million
First time buyers are adding impetus to the market, with ooba recently reporting that 54 percent of applications for home loans comprise first-time buyers, up from 38.5% of the market in mid-2007.