MAIN IMAGE: Hayley Ivins-Downes – managing executive, real estate at Lightstone, Byron Thomas – CEO of Byron Thomas Properties, Samuel Seeff – chairman of Seeff Property Group, Murray Haywood – Gauteng and KwaZulu-Natal director and national group rental manager for Tyson Properties, Jonathan Kohler – founder and CEO of Landsdowne Property Group, Michelle Cohen – principal of Leapfrog Property Group JHB North East
Senior writer
After years of lacklustre performance, agencies are reporting that Gauteng’s property market is surging, which is predominantly supported by several recent reports.
A promising uptick in sales volumes
Lightstone analysed purchases between R30,000 and R50 million in Johannesburg for 2019-2024, indicating a ‘promising uptick in sales volumes for 2024’. The figures show that sales volumes fell from 37,000 in 2019 to under 35,000 in 2024, with 2024 showing a slight improvement on the six-year low of just under 32,000 in 2023.
“While Johannesburg’s residential property market has faced challenges in recent years, we have seen a promising uptick in sales volumes in 2024. Even if modest, the increase in activity compared to 2023 signals that there may be more optimism in the market moving forward, despite the overall decline since 2019,” says Hayley Ivins-Downes, managing executive, real estate at Lightstone.
First-time buyers flock to the South-Eastern suburbs
BetterBond shows that during the 12 months to the end of March 2025, the number of loans granted to first-time homebuyers increased by 33%, with Johannesburg’s South-Eastern suburbs holding the number one position for this category. “Gauteng remains the busiest province for residential property market transactions with 48% of the total loans granted over the past 12 months,” according to the latest BetterBond Property Brief.
Lightstone adds to the mix of stats that the highest volume of people moving from rural to urban areas occurs in Gauteng, but as renters first. Standard Bank says that affordable housing is experiencing a significant resurgence for properties between R350,000 and R700,000, with a double-digit increase in activity over the past four years.
Property prices are increasing, with further growth expected
The Africaninvestor, whose SA Real Estate Market Forecast pack, which includes data amassed from the likes of Statista, Property Professional, agencies, media, universities, and Henley & Partners, says average property prices in Johannesburg increased 6% in 2024, compared to 2023. It says that last year 35% of Johannesburg buyers were over 35, and predicts that property prices in the region are set to increase by at least 4% annually over the next three years. By far one of the highlights of The Africaninvestor report is that in 2025, Johannesburg’s median property price is now 10% higher than Cape Town’s.
Enough of the stats, agencies on the ground report a surge in demand
Byron Thomas Properties is experiencing “an incredible surge in pent-up demand for property across all 137 areas it services,” says its CEO, Byron Thomas. Buyers are not only meeting asking prices; in many cases, they’re exceeding them when they recognise genuine value.”
Michelle Cohen, principal of Leapfrog Property Group JHB North East shares “In the North East we’ve had an increase of 25% year on year with the sales achieved in March. For the month of April, we have exceeded our monthly target to date. The market has greatly improved in the past 3 months”.
Thomas believes that the reason for this drive is a historic low in housing stock … “the lowest we’ve seen since the onset of Covid-19, largely influenced by the global call-to-office movement. People reconsidering where and how they live have created a unique moment in the property landscape”.
Cohen adds that “Banks’ lending criteria for self-employed people have changed. One of the big four banks has become more flexible when lending to self-employed people, hopefully paving the way for the other banks to follow suit. Self-employed people make up a significant part of our market”. She also mentions that approximately 25% of Leapfrog’s buyers are first-time buyers and qualify for 100% of the purchase price to be bonded, as well as the costs for the bond and transfer to be loaned by the bank and included in their bond.
Thomas also notes, “We’re also witnessing global interest in South African property. Buyers from as far afield as Texas, Australia, and most recently Kenya, are purchasing homes, with some even doing so remotely, via WhatsApp video tours. It’s a testament to both the appeal of our market and the adaptability of modern property buying.”
Joburg offers more bang for your buck
Seeff Property Group is yet another agency confirming that the greater Johannesburg metro area is experiencing the impact of reverse semigration, with its chairman, Samuel Seeff, noting that the “Marked decline in sales volumes over the past two years has meant that prices have largely stalled. Buying at the bottom of the sales cycle means you can benefit from capital growth once the market starts moving with greater momentum again.
Gauteng prices have remained largely in check, and you can buy a lot more square meterage in Joburg,” says Seeff. “This has created an unprecedented buying opportunity across the Joburg, Tshwane and Ekurhuleni metros. Many suburbs offer entry-level properties from R450,000 to R600,000. Property below R1.21-million is also exempt from transfer duty, which is a further saving for buyers. Given the high-demand rental market, there is also an opportunity for rental investors.”
The rental market is strong
The rental market potential is confirmed by Murray Haywood, Gauteng and KwaZulu-Natal director and national group rental manager for Tyson Properties, who is quoted in mainstream media saying that “Gauteng, South Africa’s economic hub and repository of corporate jobs in finance and technology, is the most vibrant rental market.”
Further optimism comes from Jonathan Kohler, founder and CEO of Landsdowne Property Group, who says that property prices in Johannesburg have stagnated for over a decade, weighed down by concerns over infrastructure, safety, and semigration trends. “However, the same factors that suppressed growth have now created a market ripe for buyers seeking long-term value. We believe Johannesburg has officially reached the bottom of the cycle, which means buyers and investors can secure properties at 2007 price levels!”
Kohler also says that Johannesburg’s property market may be entering a new cycle, favouring bold, strategic buyers. “This isn’t about chasing hype – it’s about recognising value. And right now, Johannesburg offers exactly that,” says Kohler.
What’s next for the JHB property market?
We asked Thomas where the Johannesburg residential sector is headed. “I remain very bullish on Johannesburg as a whole. Despite the challenges, the demand is there, and it’s real. If we see improvements in infrastructure and a shift in public sentiment around governance, we could be on the verge of a significant property boom.
Joburg has always been the country’s economic heartbeat, and the fundamentals remain strong. With so many buyers seeing long-term value here — both locally and from abroad — the potential upside is massive.”
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