Young South Africans under 35 are increasingly purchasing homes as single applicants, according to ooba Home Loans data, signalling a shift towards earlier homeownership driven by financial independence, urban living and changing life priorities. The trend is reshaping the property market, with demand rising for sectional-title homes and flexible financing options.
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Young South Africans are increasingly choosing to purchase homes on their own, signalling a profound shift in how the country's newest generation of homeowners approaches both property ownership and adulthood itself.
Rather than waiting for marriage, children or other traditional life milestones before entering the property market, young homebuyers - classified as those under 35 - are prioritising homeownership earlier, viewing it as a foundation for financial independence and long-term wealth creation.
Today's young homebuyers are approaching property ownership very differently to previous generations. For many, buying a home is no longer something that happens after they've settled down. Instead, it's becoming one of the first major financial decisions they make as they build their careers, establish their independence and create stability for the future.
Single homebuyers now dominate the youth market
One of the clearest trends emerging from ooba Home Loans data is the growing dominance of single-applicant home loan applications. Despite affordability pressures, rising property prices and broader economic uncertainty, young South Africans are increasingly purchasing property without a partner.
In 2026, 76.9% of all home loan applications from homebuyers aged 18 to 24 were submitted by single applicants, up from 68.4% a decade ago. Among homebuyers aged 25 to 34, the figure climbed from 56.6% in 2016 to 65.5% in 2026. Perhaps most surprisingly, the largest increase occurred among homebuyers over the age of 34, where single applications rose from 57.1% to 67.3% over the same period.
While affordability pressures, rising property prices and broader economic uncertainty might be expected to encourage greater levels of co-buying, the opposite appears to be true. Across provinces, demographic groups and age categories, single applicants continue to dominate the market.
The data also reveals that many homebuyers are entering the market before starting families. Among homebuyers aged 18 to 24, an overwhelming 92.5% of applications in 2026 came from individuals without dependants. For those aged 25 to 34, the proportion rose from 63.6% to 72.2% over the past decade, while buyers over 34 without dependants increased from 49.0% to 57.7%.
Taken together, these figures suggest that homeownership is increasingly becoming an early-life financial goal rather than a milestone that follows marriage and parenthood.
Banks adapt to a new generation of homebuyers
Despite entering the property market on a single income, many young homebuyers are still finding pathways to homeownership. According to Lomberg, this is partly because lenders have adapted to the realities of a generation that often has strong earning potential but limited savings.
Zero-deposit home loans remain widely available to younger homebuyers with strong credit profiles.
ooba Home Loans’ data highlights a significant rise in the use of both zero-deposit and cost-inclusive loans over the past decade, with Lomberg adding that applications for cost-inclusive loans - where borrowing exceeds 100% of a property's value to cover transaction costs - have surged among younger homebuyers.
Among buyers aged 18 to 24, the share of cost-inclusive loan applications increased from 0.9% in 2016 to 16.1% in 2026, while among applicants aged 25 to 34 it rose from 0.4% to 14.6%. By comparison, uptake among applicants aged over 34 increased from 0.2% to 7.0%.
At the same time, Lomberg shares that demand for zero-deposit loans has also strengthened. While applications from buyers aged 18 to 24 remained broadly stable at around 53%, the proportion of applications from 25 to 34-year-olds seeking zero-deposit finance rose from 51.2% to 59.7%; by comparison, the sharpest increase was among applicants aged over 34, climbing from 38.7% in 2016 to 56.1% in 2026.
The trend reflects the growing affordability challenges facing first-time homebuyers who can manage monthly repayments but struggle to save for deposits, transfer duties and legal fees.
These products have become particularly important for first-time homebuyers. As a result, we continue to see high loan-to-value ratios in this segment.
Urban living shapes property choices
The rise of single homebuyers is also influencing the types of properties young South Africans choose.
Sectional-title properties have increasingly become the default entry point for many young homebuyers. Apartments, townhouses and security estates typically offer a more affordable route into homeownership, while also placing buyers closer to employment opportunities and established infrastructure.
Applications for sectional-title properties increased across all age groups between 2016 and 2026. Among buyers aged 18 to 24, sectional-title purchases rose from 50.5% to 52.2% of applications. For buyers aged 25 to 34, the figure increased from 39.6% to 41.5%, while among homebuyers over 34 it rose from 28.4% to 30.9%.
While the increases may appear modest, they reflect broader demographic and lifestyle changes. As more homebuyers purchase homes independently and delay having children, demand for smaller, more affordable and centrally located housing continues to rise.
This trend is particularly evident in high-cost regions such as the Western Cape, where average purchase prices for homebuyers aged 25 to 34 frequently exceed R1.5 million and can surpass R2 million in some areas.
South Africa's youth market is overwhelmingly urban. Urban jobs, urban lifestyles and urban housing stock all favour smaller, more affordable homes.
Developers have responded by increasing the supply of compact apartments, mixed-use developments and secure residential precincts that cater specifically to young professionals and first-time homebuyers.
Homeownership remains the priority
Despite growing conversations around ‘rentvesting’, property portfolios and buy-to-let investing, the data shows that most young South Africans remain focused on purchasing homes to live in rather than investment properties.
In 2026, investment purchases represented just 8.6% of applications among buyers aged 18 to 24 and 5.9% among buyers aged 25 to 34. Although these figures have increased from 2016 levels, they remain relatively small compared with owner-occupier purchases; the mainstream youth market seems to be seeking stability, independence and long-term wealth creation.
The next generation is rewriting the rules
What we're seeing is not a decline in the desire to own a home, but rather a generation adapting to a very different set of circumstances.
Taken together, these trends point to a housing market that is being reshaped from the bottom up by a new generation of homebuyers. Today's young homebuyers are more likely to purchase on their own, more likely to buy in urban centres and more likely to prioritise a primary residence over an investment property. They are making different trade-offs to previous generations, but the underlying aspiration remains unchanged.
The future of South Africa's property market will be shaped by these homebuyers. Understanding how they live, work and purchase property is becoming increasingly important for everyone from developers and lenders to estate agents and policymakers.
* Lomberg is the CEO of ooba Home Loans.
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