The demand for residential rental property remains strong. Vacancies have declined nationally to 6.76% in the third quarter of 2023, the lowest since 2017. Despite a constrained economy, tenants have continued to meet their rental obligations with tenants in good standing improving in the third quarter creating a healthy allowance for escalations. The residential rental market has experienced a sharp decrease in vacancies for units with a monthly rental of R3,000 or less, while vacancies have increased for higher rental value bands. The Western Cape is seeing three consecutive quarters of increased vacancies while the overall trend for 2023 points to an encouraging decrease in residential rental vacancies.
