HARARE - As the countrys economy begins to grow, the property market is still struggling to find its feet, say analysts.The Chairman of the Estate Agents Council of Zimbabwe, Oswald Nyakunika, has noted that Zimbabwes prices are the lowest in the region.
Our rentals at US$2 per square metre to US$5 per square metre are the lowest in the region, he said.
Analysts said the number of properties offered for sale had improved significantly from the first quarter whilst able buyers have continued to dwindle in this predominantly buyers market.
They said low activity had also been exacerbated by some sellers and estate agents who continued to quote high prices from the last quarter of 2008.
Analysts have pointed out that the prices were nevertheless coming down as concluded transactions showed that they have fallen by between 30 per cent and 50 per cent compared to last years prices.
The property market therefore, continues to readjust from the overpriced levels of 2008 and the trend is set to continue until the economy starts performing positively across all sectors, said analysts.
According to analysts, the reduction in property prices was likely to continue as building materials prices had gradually continued to decrease, making construction affordable.
In the rentals sector, they noted that rates had continued to improve with more tenants making payments towards their rental obligations.
However, many tenants are still experiencing problems in settling their arrears and paying the required monthly rentals, the analysts said.