Best Coastal Towns To Buy Property In South Africa

What is Coastal Town?

Coastal cities are home to a significant proportion of the population of society. People have been living on the coast to meet their various needs since immemorial.

However, over the last few decades, more people and infrastructure has moved to the coast than ever before.

Best Coastal Towns To Buy Property In South Africa

South Africa has over 3,000 kilometers of coastline scattered with cities, towns, villages, and over 50 Blue Flag beaches and marinas. This has sparked an increasing domestic emigration – especially along South Africa’s Garden Route.

“There has been a notable uptick in holiday home sales over the last two years, and coastal towns have been among the best-performing areas, especially those along the Cape Coast, but also the KZN South Coast,” said the chairman of the Seeff Property Group, Samuel Seeff.

In some coastal areas, second home purchases have accounted for about 15% of sales since mid-2020. At the same time, Lightstone’s data comparison between 2021 and 2019 shows that many holiday towns experienced a significant increase in transaction volumes – and most are still ahead in 2022 compared to the pre-pandemic year, the property group said.

Below Are Listed:

Mossel Bay/Dana Bay — Garden Route

Mossel Bay was named a Kwêla Town of the Year and is one of the fastest growing in terms of development, with five Blue Flag beaches.

Herman Spies, sales manager for Seeff, noted that significant areas to invest in include Dana Bay at an average price of R1.7 million, Diaz Beach at R1.9 million, Island View at R1.8 million, and Reebok at R1.8 million.

Langebaan/Paternoster — West Coast

Langebaan has boomed over the last two years and is enjoyed for its white-washed architecture, scenic yacht club, and Mykonos development. Jaco and Tracey-lee Coetzee from Seeff Langebaan say that more buyers are settling here permanently aside from holidays and retirement.

They added that good areas to invest in include Blue Lagoon at around R3.2 million on average, Langebaan Country Estate at R3.8 million and Laguna Sands at R2.5 million.

Noordhoek/Kommetjie — Cape Town Deep South/Southern Peninsula

Deon Labuschagne from Seeff Noordhoek says there has been an influx of local and foreign holidaymakers and buyers interested in Noordhoek and Kommetjie.

Although Noordhoek is priced higher, with homes often selling in the R5 million to R10 million range, there is still good value below that in some areas nearby Fish Hoek. Kommetjie tends to sell for around R3.5 million to R5 million on average.

Kleinmond/Betty’s Bay — Overstrand

Kleinmond and Betty’s Bay attract holiday and retirement buyers as they offer excellent affordability. You can still find property from around R1.7 million in Kleinmond, according to Mike Tribelhorn, an agent with Seeff. They are close to Hermanus as well.

Struisbaai/Agulhas — Agulhas Region

There has been noticeable demand in Struisbaai, says Richard Pratt, manager for Seeff. He added that they are seeing more migration buyers and many new developments.

There is still some affordability away from the beach, with vacant stands available from R650,000, but houses are scarce below R2 million. The average seafront stand starts from R3.5 million, and seafront houses from R7.5 million.

Jeffreys Bay/St Francis Bay — Eastern Cape

Jeffrey’s Bay is one of the top surfing destinations with the best right-hand point break in the world. Holiday flats are available from around R800,000 and houses from about R1.8 million.

St Francis Bay offers waterfront and golf estate homes for luxury buyers, generally in the R2 million to R8 million range.

Kenton on Sea/Port Alfred — Eastern Cape

Simon Oliver, Seeff’s licensee, says demand for property in Kenton, Port Alfred, Boesmansriviermond, Boknesstrand and Cannon Rocks has remained strong. The ability to work remotely has boosted sales, and many people are converting their holiday homes into permanent ones, especially in Port Alfred, which offers excellent value.

Homes in the R1.5 million to R2 million range are scarce, but you can find good value in the R3 million range in Port Alfred. Vacant land to build on is popular in Kenton and Boesmansriviermond. There is also a choice of retirement developments in the area.

Margate/Shelley Beach — KZN South Coast

The South Coast has boomed over the last two years as buyers flocked here for good value. Great weather, good amenities, and a choice of small towns dot the KZN South Coast, says Seeff licensee Michelle Harris.

The average property prices for Shelly Beach, St Michaels on Sea, and Uvongo are still around R700,000 to R900,000, and you can find a nice top-class home for around R1.6 million. In Scottburgh and Pennington, the average house price is around R1.2 million to R1.8 million.

Where is the best place to buy investment property in South Africa?

For good opportunities to invest, Stevens suggests “smaller towns near Cape Town like Hermanus, Onrus, and Kleinmond to the East, or Langebaan and St Helena up the West Coast”.

Is it wise to invest in property in South Africa?

Property investment is the most reliable way to generate income over the long-term. Buy-to-let is a good way to get a foothold in the property market.

An estate agent can advise you on property trends, which you need to know in order to make sound investments.