Building societies are still not offering mortgages because they say most citizens cannot afford the repayments on their low salaries.
Building societies stopped offering mortgage loans to customers during the hyperinflationary period when inflation soared to a record 231 million percent.
Seef Property Consultants said prices in Nyanga were also skyrocketing businesspeople snapped up holiday homes in the attractive resort area.
A holiday home in Nyanga is going for $130 000. It is situated on more than five hectares with lake frontage and views. The garage can accommodate four motor vehicles.
In high density suburbs, while the prices are lower they are still prohibitive, property analysts confirm.
The average three-bedroomed house is going for about $30 000 in suburbs like Highfields, Mbare, Mufakose and Glen Norah.
Customers interviewed said the introduction of multi-currencies had made it much easier to purchase houses but they are still "very expensive".
A 300 square metre residential stand is fetching not less than $3 000 in most high density areas in Harare today, while a four bedroomed house is fetching not less than $20 000.
Clouds Properties said a house in the plush Chishawasha Hills, about 20km out of Harare, standing on three hectares was going for $100 000, while a three-bedroomed house in the Hatfield medium density suburb was similarly pegged.
In Bulawayo, the company said stands were going for $25 000 each. They are on 7 900 square metres, are fully serviced and have Title Deeds accompanying them.
"Houses are now very expensive and we cannot afford to buy them with our present very low salaries," a senior civil servant said in an interview.
Property consultants said it was cheaper to build a house than to buy a completed one at the moment. It costs between $17 000 and $20 000 to build a simple three-bedroomed house in Harare's low density suburbs today.
Post published in: Business Analysis