Continued upward pressure on inflation is creating what looks to be a protracted increasing interest rate cycle. Historically, such an increasing interest rate environment results in growing demand for residential rental properties as previous entry-level property buyers must rethink property ownership due to affordability concerns.
Makhosini Ndlovu, Product Head at FNB Commercial Property Finance says this upward interest rate cycle is no different, and there is evidence of a recovery in demand for rental properties across South Africa.
Excerpt sourced from Property24
