Single Women Are Top House Buyers

Desie Heita

21 April 2011

Windhoek — Single women have now become the main force behind the housing market, especially as first time house buyers, at a time that researchers have noted an increase in the number of young people buying houses for the first time in their lives.

The number of single males buying their first home is on a decrease, while there is stagnation in figures of married couples buying their first homes together.

The latest data comes from the newly released Housing Index by the First National Bank (FNB) of Namibia. It notes that “first time buyers are returning to the housing market at an accelerating trend,” and that the average age of the buyer is lower than the age recorded in 2009.

House prices for middle-sized houses went down nearly two percent annually, thanks to newly constructed houses that went into the market towards the end of last year.

Countrywide, the average price for middle-sized houses decreased to between N$475,000 and N$564,000. Prices were more favourable in Windhoek where the average price for a 450 square metre house hovered around N$510,000.

Smaller houses continued to dominate the monthly sales of residential properties, and instead of high volumes giving consumer leverage to negotiate for lower prices, thus depressing the price, the prices for smaller houses went up 11 percent year on year countrywide.

Pressure is mostly coming from the coastal and southern areas where the housing markets are displaying strong appetite for smaller houses. The average price for such houses is between N$250,000 and N$269,000.

Prices for houses in the super rich segment continue to sway but the annual average price is up 8 percent, with the town of Walvis Bay experiencing higher prices for luxurious houses.

Luxurious residential properties now fetch an average price of N$3,3 million. FNB Housing Index does note that there were some exorbitant once off sales for luxurious properties that could have skewed the overall price trend for the segment.

The overall housing price index “is up 2,3 percent year on year, while the volume index is up 1,3 percent. There is evidence of increased new housing delivery, with estimated new houses accounting for 25 percent of the housing volumes,” stated Namene Kalili, Manager Research and Competitor Intelligence at FNB Namibia.

House volumes went up 22 percent for the central area because of new property development in Windhoek’s residential areas of Cimbebasia and Khomasdal. There were also notable increases in houses sold in Windhoek suburbs of Auasblick and Olympia.

“Coastal volumes continue to rise for the fifth consecutive month, with volume growth emanating from Swakopmund’s lower to medium price segments of Mondesa.

Volumes were up 12 percent month on month in the north due to increased volumes in Ongwediva’s medium price segment, which remains a development hotspot,” said Kalili.

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