Dr Samantha Smith is STBB's chief Content Writer and Legal Editor. She graduated with a BSocSci, LLB, LLM, and PhD (Law) from the University of Cape Town. Skilled in socio-legal analysis, critical thinking, and creative and technical writing, she previously worked in investigative legal research, with a special focus on animal law and environmental policy. As of February 2024, Samantha handles all STBB content. This includes brainstorming and writing all social media, newsflashes, newsletters, digital and print advertisements, magazine articles, and all webinar and podcast write-ups. Additionally, she attends to tenders and proposals, legal updates and presentations, biographies, brochures, information sheets, content for special projects, and various other digital publications and communications.

Newsflash | Continued caution: SARB announces third consecutive interest rate cut

This afternoon, the Monetary Policy Committee of the South African Reserve Bank (‘SARB’) concluded its first meeting of 2025. As predicted by various market analysts, SARB elected to modestly lower the repo rate from 7.75% to 7.5%, effective 31st January 2025. Consequently, the prime lending rate is adjusted to 11%. The decision marks the third consecutive interest rate cut of 0.25%.

While consumer inflation, which slightly increased to 3% this month, remains well below SARB’s mid-point target range of 4.5%, SARB has retained its cautious approach. This is, however, unsurprising, in light of the weakening of the Rand, global oil price volatility, and market uncertainty stemming from Donald Trump’s presidency, which economists predict may prolong an already sluggish rate-cutting cycle.

Importantly, the interest rate cut provides a measure of financial relief to homeowners with bond repayments. Additionally, it potentially expands the buyer pool by stimulating demand for property from first-time purchasers and astute investors alike. In areas where housing stock is low, increased demand may afford sellers greater leverage to negotiate higher prices.

If you’re a property owner, prospective purchaser, or savvy estate agent, why not download our revolutionary STBB Direct mobile application to keep track of the impact of interest rate adjustments on bond repayments?

Accessible and free to download, STBB Direct is a one-stop property platform for sellers, purchasers, mortgage bond originators, developers, and bondholders. Offering a range of calculators related to property transactions, including transfer costs, bond repayments, and capital gains tax, the app allows you to perform convenient cost calculations on the go.

Moreover, you can track the progress of your property transactions directly from your mobile device. Receive live updates of your matters – anytime and from anywhere.

Don’t delay! Download STBB Direct from the App Store or Google Play today.

For further information or legal assistance, contact us at info@stbb.co.za.

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