Cape Town is a port city on South Africa’s southwest coast, on a peninsula beneath the imposing Table Mountain. Slowly rotating cable cars climb to the mountain’s flat top, from which there are sweeping views of the city, the busy harbor and boats heading for Robben Island, the notorious prison that once held Nelson Mandela, which is now a living museum.
Do you have a property for sale in Cape Town, South Africa? Cape Town is the best-performing real estate market in South Africa. There are many reasons for this.
Cape Town is enclosed by a coastline and mountains, which does not allow any expansion or overdevelopment of real estate in the city. That’s why the housing supply here is always limited and the demand very high. So, home prices in Cape Town are always higher than those in the rest of South Africa.
2016 saw the housing market in South Africa stage a smart recovery. Home prices grew at an average of 7% in 2019, after growing at 5.9% in 2018. Certainly, the real estate market in South Africa has remained insulated from the rest of the economy, which has been in a decline.
Dr Andrew Golding, Chief Executive of the Pam Golding Property group explains why: “In part, this reflects the continued rapid urbanization of the South African population, which is underpinning demand for housing in the major metro areas. As the urbanization rate rises, the metro housing markets become more dominant within the national housing market and also become increasingly independent of a national trend.”
Cape Town has benefited more than the other cities in the country because of the limited supply of housing and the attraction that it holds for foreign investors who are looking to buy homes in South Africa. The city offers a unique lifestyle, and a highly desirable one.
Cape Town experienced a double-digit growth of 10.65% in 2019. It has been significantly outperforming the other cities in the country since 2013, and this has continued in 2022 as well.
Home prices in the other important cities in South Africa, Johannesburg, Durban and Pretoria grew at 6% in 2019 and at 7.6% in the first half of 2021. Not bad, but not as fast as Cape Town.
Cape Town is a global city, which has a thriving business center and is the hub of the tech sector in South Africa. The schools and universities in Cape Town are the best in the country, where the best and the brightest study.
There has been a strong influx of young people into Cape Town, most of them having average incomes that are 40% higher than the average incomes in South Africa. It has become known as a city of the young and upwardly mobile. There are plenty of employment opportunities in Cape Town and lots of avenues for entertainment, fun, and games.
While Cape Town does not quite have the economic dominance of Johannesburg, from the point of view of the standard of living, it is in a league of its own, not just in South Africa, but in the entire African continent. There’s no place in Africa that is as desirable as Cape Town.
Who buys homes in Cape Town? Naturally, the wealthiest people in South Africa buy homes here. There’s also a strong influx of foreign buyers from the UK, USA, the Netherlands and Germany, who have purchased homes in Cape Town.
Most of these foreign investors have their origins in South Africa, and many still have family here. So there’s a strong desire on their part to buy property in Cape Town, South Africa fast. Contact us to buy or sell property in South Africa 4 cash.