US tariffs may hit SA property agents harder than expected

Marcel Koole, property commentator and CEO of BestAgent.

While the proposed tariffs are aimed at exports like steel, aluminium and agricultural products, the economic ripple effects could filter through to the real estate sector, says Marcel Koole, property commentator and CEO of BestAgent, South Africa’s open platform that connects sellers directly with top-performing estate agents.

“Estate agents are directly affected by consumer confidence, affordability and market sentiment,” Koole says. “When the broader economy comes under pressure, transaction volumes dip, and agents feel the slowdown almost immediately.”

He explains that if export-linked sectors lose revenue or cut jobs in response to the tariff, it could stall property activity in affected regions. “Fewer buyers means fewer mandates, tighter competition among agents, and a drop in commission earnings.”

Tariffs could delay market recovery

Many agents were hoping for a gradual uptick in market activity as interest rates stabilise, but a new shock, such as a large-scale tariff from a major trading partner, could delay that turnaround.

“Tariffs like this affect the rand, which affects inflation, which then keeps interest rates high,” says Koole. “We’ve seen it before, higher rates make it harder for buyers to qualify for home loans, especially first-time buyers, which reduces deal flow.”

Regional disparities likely

According to Koole, the impact won’t be felt evenly. “Agents in areas like the Western Cape, Eastern Cape, Limpopo and Mpumalanga, where agricultural and export industries are major employers, may find themselves in a tougher environment if local economies take a knock.”

He warns that in smaller towns where one industry dominates, a loss of income or jobs in that sector often translates quickly into stalled sales and longer listing periods. “Agents in those areas will need to diversify their networks and lean into rental markets or distressed property services if sales activity drops.”

Time to professionalise and differentiate

Koole believes that agents who consistently perform well in volatile conditions are those who have built strong personal brands, operate ethically, and use data to deliver value to clients.

“In tougher markets, sellers become more selective, they don’t want a hundred agents listing their home, they want one agent who can prove they’ve got the skills to close the deal,” he says. “This is where sole mandates and verified track records become more important.”

Advice to agents: stay visible, stay valuable

Koole advises estate agents to focus on proactive communication with clients, maintain strong digital profiles, and showcase real results.

“Economic headwinds are beyond any agent’s control,” he says, “but how you respond, by staying informed, educating your clients, and showing your value, can make all the difference.”

Conclusion

If the US goes ahead with its proposed 30% tariff, the effects could extend well beyond exporters and manufacturers. “Estate agents are on the frontlines of economic sentiment,” says Koole. “And while uncertainty can be unsettling, it also creates opportunities for the most adaptable and professional agents to stand out.”