Homebuyers still benefit as SARB keeps rates unchanged

Today’s decision by the South African Reserve Bank (SARB) to hold the repo rate at 6.75% (with prime steady at 10.25%) is a practical blessing for South African households and the property market: it protects affordability gains already earned, restores planning certainty, and reinforces confidence that inflation is being managed with discipline. 

Why 'unchanged' is good news for homeowners and buyers

A rate hold matters because property is built on long horizons. Buyers don’t only need lower rates - they need confidence that repayments won’t be disrupted by policy surprises.

• For buyers: stable prime supports predictable pre-approval outcomes and repayment planning. 
• For homeowners: stability helps households keep momentum - reducing principal faster where possible, rather than scrambling to absorb higher instalments. 
• For sellers: a calmer rate environment supports consistent demand and fewer “bond-fall-through” disappointments.

The international investment tailwind: confidence is returning

Beyond local policy, South Africa is also benefitting from improved global sentiment - seen clearly in financial-market behaviour.

The rand has strengthened sharply early in 2026, reaching multi-year highs against the dollar, while benchmark government bond yields have eased - both typical markers of improving investor confidence and capital flows. 

South Africa’s outlook is also helped by what’s happening in the United States - because US monetary policy and growth conditions influence global capital flows.

This week, the US Federal Reserve held rates at 3.50%–3.75%, describing the economy as solid and signalling it is “well-positioned” to respond to data rather than rush decisions. 

When the US is stable, global investors often regain confidence to allocate beyond “safe haven only” assets. That’s how emerging markets benefit: not by hype, but by a calmer global baseline that makes real return-seeking possible again. 

US housing is also showing tangible signs of renewed momentum. The National Association of Realtors reports that existing-home sales rose 5.1% in December 2025 to a seasonally adjusted annual rate of 3.95 million. 

That matters for sentiment: when transaction volumes improve in a major market like the US, it tends to signal that affordability expectations are stabilising - and that supports broader confidence in property as an asset class, including cross-border investment decisions. 

What buyers should do now: get pre-approved, negotiate your best rate, and buy within a payment you can honour - even if rates stay exactly where they are. Stability rewards disciplined decisions.

What sellers should do now: price to your micro-market realities and present your property impeccably - stable-rate markets favour quality and good value, not wishful pricing.