The South African property market is becoming more appealing, with the repo rate declining, improving conditions for buyers.
In 2024, Llandudno in Cape Town recorded the highest average property price of R26.5 million, with a peak sale of R45 million, according to Lightstone Property’s annual report.
Despite this, the market remains under pressure, as high interest rates and a slow economy have caused a decline in transaction volumes.
However, Cape Town continues to lead in high-end real estate, with suburbs like Camps Bay, Clifton, and Constantia attracting strong demand for homes priced over R20 million.
Notably, Seeff Property Group sold 20 properties over R20 million in 2024, including multiple sales over R50 million in areas such as Clifton and Camps Bay.
Even the City Bowl, including Higgovale, Oranjezicht, and Tamboerskloof, saw significant sales, with one home in Oranjezicht fetching R43 million.
Cape Town’s top 10 suburbs now boast average house prices over R10 million, with four areas—Clifton (R43m), Llandudno (R27m), Camps Bay (R21m), and Higgovale (R20m)—surpassing R20 million.
The luxury market has also seen remarkable activity in Constantia Upper and Bishopscourt, where properties have sold for as much as R39 million.
Over the past five years, Cape Town’s property prices have surged by 30%, far outpacing Johannesburg’s 8.6% growth.
The city’s robust infrastructure, proximity to top schools and the University of Cape Town, and strong capital growth continue to drive demand in prime locations.
Foreign buyers are also increasingly drawn to South Africa, with many seeking vacation homes, retirement properties, or investment opportunities.
Recent notable purchases include a R72 million holiday home in Constantia by Austrian buyers and a British retiree relocating for year-round golf.
The country’s Retired Person’s Visa, offering easy access and low income thresholds, is a major incentive for retirees from Europe, the UK, the US, and Canada, according to Xpatweb.
The Western Cape and KwaZulu-Natal remain popular destinations, with areas like the Atlantic Seaboard, Franschhoek, Stellenbosch, and Umhlanga seeing high demand.
South Africa’s properties offer significant value for money, with homes typically 20-30% larger than in Europe. Foreign buyers accounted for 10% of sales in Cape Town in 2024, further bolstering the market.
Below is a list of the top 15 most expensive suburbs by average property price in 2024:
Suburb | Average Price Paid (R) | Number of Sales | Maximum Price Paid (R) |
---|---|---|---|
Llandudno | 26.5 million | 15 | 45 million |
Bishopscourt | 23 million | 20 | 50 million |
Clifton | 20.1 million | 27 | 50 million |
Constantia Heights | 18.4 million | 25 | 48 million |
Constantia | 18.2 million | 10 | 34 million |
Alphen | 17.7 million | 17 | 40 million |
Bel Ombre | 16.4 million | 36 | 45.5 million |
Steenberg Golf Estate | 15.3 million | 20 | 30 million |
Waterfront | 14.2 million | 52 | 43.8 million |
Higgovale | 13.8 million | 30 | 32.5 million |
Witteboomen | 13.6 million | 11 | 21.5 million |
Bakoven | 13.3 million | 75 | 45 million |
Silverhurst | 12.9 million | 34 | 39 million |
De Zalze Golf Estate | 12.6 million | 19 | 27 million |
The Links | 12.5 million | 12 | 20.5 million |
Bantry Bay | 12 million | 72 | 50 million |