Difficult environment not preventing growth in South Africa, figures show

South African property is continuing to see growth despite difficult conditions, it has been found.

Figures from Investment Property Databank (IPD) showed that property across all sectors increased by 7.3 per cent in the first six months of the year.

And although the growth seen in the country over the last few years has slowed, the South Africa Biannual Property Indicator suggests that it still represents a viable opportunity for investors.

Managing director of IPD South Africa Stan Garrun noted that the figures reflect a difficult environment for property.

"High interest rates, tighter economic conditions and global uncertainty have all played a part. The 2008 figures due early next year will be very interesting," he said.

Prices in Tzaneen, in the South African province of Limpopo, are rising due to demand for affordable homes and the difficulty in securing approval for electricity for new developments, according to local agency Homenet Tzaneen.
 

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