SA’s property sector bets on proptech to weather economic headwinds
There’s no doubt that the South African property sector, like most industries, is currently facing some challenges. One major bank saw credit impairments rise 57% in the first half of 2023 - a result of the impact of higher interest rates, higher levels of inflation and record levels of load shedding. Another bank said its total net credit impairment charges on gross loans and advances grew by 80% to R6.4 billion over the financial year ending February 2023.
But Group CEO of fintech company e4, Grant Phillips, says it shouldn’t be a long-term concern. “The market is currently depressed due to higher interest rates and the increased cost of living, but the property sector is cyclical, as we’ve learned in over 20 years in business as a proptech expert. We expect the market to be a bit slowe...