Younger buyers spend ~R1.3m while over‑60s average R2.4m as South Africa’s housing market splits by age

Younger buyers are overcoming affordability barriers through creative financing, co-buying and digital tools, while mature buyers are drawing on accumulated wealth to invest in secure, lifestyle-focused properties.

BetterBond data highlights the growing influence of both groups, with younger purchasers spending more on homes despite entering the market later, while buyers over 60 are spending an average of R2.4m. Together, these contrasting trends are creating new currents of demand across the property market.

“These two waves – with Gen Z entering the market through creative financing, co-buying and tech-driven solutions, and Baby Boomers downsizing, rightsizing or semigrating into secure lifestyle estates – may have very different financial profiles and housing needs,” says Bradd Bendall, BetterBond’s national head of sales. “Yet both are having an increasingly visible impact on the property market.”

Golden, but not gone

Instead of retreating from the housing market, South Africa’s mature buyers are becoming increasingly influential, spending more on property purchases than any other age group. According to BetterBond’s year-on-year data for July, buyers over 60 have seen average purchase prices rise by 6.48% year-on-year, underscoring their continued influence in the housing market.

“Rather than exiting the market, these older buyers – often referred to as ‘silver surfers’ – are leveraging their financial stability and lifestyle preferences to drive demand, says Bendall.

“While many are downsizing from expansive family homes as their needs change, they are not necessarily scaling back in value. Instead, many are investing in luxury lifestyle estates offering security, convenience and community living.” According to BetterBond’s data, buyers over 60 are now spending an average of R2.4m on a home.

Forging their homeownership path

Although it has been reported that homeownership among younger buyers has more than halved over the past 20 years, BetterBond’s data shows that those who do invest in property are spending more on their homes. Buyers under the age of 30 are spending 8.3% more year-on-year on home purchases than in 2025, according to data for the 12 months ending in July, with many opting for sectional-title units in mixed-use developments or precincts. These buyers spend on average just over R1.3m on their homes.

For buyers aged 31 to 40, the average purchase price has increased by 8.4% to just over R1.6m. “BetterBond’s data puts the average age of first-time buyers at 37, which falls within this cohort,” he notes.

Supporting this trend of younger buyers paying more for their homes, Standard Bank reports that the average purchase price for younger buyers has increased by 5.5% over the past two years, largely because of increased incomes and improved affordability.

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“A stabilising interest-rate environment, positive inflation outlook and strong economic fundamentals have contributed to a buoyant housing market in recent months, with BetterBond’s July Property Brief reporting that home-loan application volumes are 5.7% higher than two years ago.

“Seeff reports that middle-class buyers under 35 account for around 30% of all home purchases. The property group notes that these buyers favour sectional-title units, security estates and buy-to-rent out properties that will generate an income.

“For many younger purchasers, accessing the property ladder requires a different approach to home ownership than previous generations may have taken,” explains Bendall. High property prices relative to income, especially in sought-after regions, together with the cost of living and the challenge of saving a deposit, mean that buyers are increasingly exploring alternative ways to make ownership possible.

Younger buyers may pool their financial resources to co-apply for a bond with a friend or family member. Many consider homes in new developments where they are not required to pay transfer costs. Buying a home below the transfer-duty threshold of R1.21m is another affordable way of investing in property, says Bendall.

Many banks will also consider loans of 100% or more for qualifying, first-time buyers, which makes homeownership accessible to younger buyers. Younger buyers also use digital property solutions, applying online for bond pre-approval and viewing properties virtually when making buying decisions.

Twin waves, strong currents

The motivations and financial profiles of these two demographics may differ but both can work with bond originators to secure the most competitive interest rates for their respective needs. “While younger buyers are finding creative opportunities to enter the market and gradually move into higher price brackets, older buyers are reshaping it from the top down,” says Bendall.

Overall, the activity of both of these cohorts marks an important shift in the property landscape.

“Both groups are demonstrating that there is no single path to property ownership,” concludes Bendall. “Whether it is finding creative ways to enter the market or choosing a property that better suits a changing lifestyle, buyers across generations are adapting to make property ownership work for them.”