Rates decision not seen to affect property market
http://www.iolproperty.co.za/roller/news/entry/rates_decision_not_seen_to
The decision to keep the repo rate unchanged at 6.5 percent was expected and should not have any impact on the residential market’s recovery, an estate agent said on Thursday.
Interest rates were at a lower enough level to provide an impetus for the market to gradually recover, Jawitz Properties said in a statement.
“What is needed more than a drop in rates, is for the banks to continue to ease their lending requirements and for consumer confidence to improve especially at the upper and luxury end of the market,” CE Herschel Jawitz said.
The lower- to middle markets, which were most interest rate sensitive, were still finding going with the banks tough.