Lightstone research shows that many buyers are waiting longer than before to step into the market, often well into their 30s. But 2026 could finally tip the balance, with positive economic signs giving this group the confidence to take the leap, and giving you a fresh wave of buyers to engage.
According to Prop Data’s latest poll, 9.6% of practitioners see affordable housing as a key trend for 2026, fifth overall after stronger buyer’s market conditions, secure complexes, first-time buyers, and semigration. Here’s a close look at the buyer motivation behind the trend and ways practitioners can clear a path to homeownership.
The appetite for affordable housing continues to outpace supply, shaped by a mix of economic pressures and long-standing socio-economic factors.
“It’s a continuing trend, with demand far exceeding supply,” says Herschel Jawitz, CEO of Jawitz Properties. “While lower interest rates will help ease the affordability challenge, the root causes are historical and structural.”
Budget considerations and tastes are increasingly guiding buyers’ choices. “The cost of living is pushing buyers to be more practical,” notes Renata Milanesi, Principal and Director of R and R Real Estate. “People want homes that are comfortable and well designed, but still within their budget. Smaller homes, townhouses, and well-planned developments are becoming very popular. It’s about getting good value without stretching yourself financially.”
The trend is picking up pace as developers and investors are responding to the sustained need for financially accessible homes.
“The focus on affordable housing is driven by growing affordability pressures across the country,” explains Kyle Leigh, Founder and Managing Director of The Agency Property Group. “While supply remains constrained, the scale of demand highlights a structural need rather than a cyclical shift.”
The drive to affordable homes is supported by new housing stock emerging in creative ways. “Redeveloping commercial buildings in city centres for residential use is also adding much-needed stock for this segment,” says Chris Tyson, Founder and CEO of Tyson Properties. “These properties appeal to lower-income earners but still provide security, proximity to amenities, and easy access to transport.”
The trend is also being fueled by migration patterns. “The demand is endless,” adds Trish Kennedy, Principal and Owner of Zest Property Group. “Many rural families are moving to cities seeking better employment opportunities and entering financial brackets that enable homeownership. As other practitioners have mentioned, developers have recognised this as a highly profitable market.”
Compete effectively in a price-conscious market
When buyers are watching every rand, small details start to matter more. This is where a clear strategy can make the difference between stalled listings and steady momentum.
Know financing and developer options: “The affordable housing market is a very specific market that requires specific skills,” says Jawitz. “Property practitioners need a detailed understanding of financing options and subsidies, and must do their homework on the developers they’re selling for and the funding available to buyers.”
Help buyers understand the full cost: “Work closely with bond originators and understand what buyers can really afford,” says Milanesi. “Show them the full picture, including transfer costs and monthly expenses. When buyers feel financially safe and informed, they’re far more likely to proceed.”
Treat affordable housing as a strategic market segment: “Practitioners should recognise the scale and importance of this segment, even if it’s not their primary focus,” explains Leigh. “Understanding affordability pressures and value-driven buyer behaviour helps practitioners identify opportunities aligned with real housing needs.”
Stay current on stock and buyer profiles: “Many buyers in the affordable housing market are first-time buyers,” notes Tyson. “Keeping up to date with trends and new developments is key to offering a wide range of appealing options.”
Guide buyers through the process: “In-depth knowledge of the property, the purchasing process, and the legal commitments involved is essential,” says Kennedy. “Maximum guidance must be given so buyers fully understand their responsibilities.”