It may be a tricky year ahead for those invested in property, with house prices predicted to decline over the next 12 months.
Real price deflation may affect South Africa's property and mortgage markets well into 2017, but the Western Cape won't be as hard hit.
Property economist John Loos on Tuesday explained why the housing market may be comparatively weaker in Gauteng.
Listen to the full conversation from CapeTalk's Breakfast with Kieno Kammies:
By and large property has got to reflect economic fundamentals, sometimes with a bit of a lead or lag.— John Loos, Property Economist at FNB
Over the long term, the Western Cape price levels remain supported.— John Loos, Property Economist at FNB
Gauteng is land-locked and has a much bigger availability - land is scarce near the (Table) mountain!— John Loos, Property Economist at FNB
There is sea and more valuable agricultural land on the periphery, creating land scarcity in the City of Cape Town which keeps property values high..— John Loos, Property Economist at FNB
Cape Town has the highest property values in the country as a result.— John Loos, Property Economist at FNB
These things are relative and other places may feel the dip more sharply.— John Loos, Property Economist at FNB