Property

Goodbye Cape Town – buyers are flocking to these small towns

Kirsten Minnaar • 28 September 2026

Buyers are increasingly choosing lifestyle farms in smaller towns such as Barrydale, Montagu and Swellendam, which offer more space and affordability than coastal areas such as Cape Town.

Seeff Country Principal Jaco Badenhorst said they are seeing a significant increase in demand for lifestyle farms in the R6 million to R8 million price range from buyers seeking sustainable country living near Cape Town.

The ability to invest in a lifestyle farm within about three hours’ drive of Cape Town is attractive to urban buyers seeking a weekend retreat or extended stays.

Badenhorst said areas such as the Klein Karoo, Overberg, Barrydale, Montagu, Swellendam, and surrounding farming regions have become sought after.

A key requirement among buyers is reliable access to water, whether for household use, small-scale farming, orchards, livestock, or maintaining a self-sufficient lifestyle.

In fact, access to a secure water source is one of the most important considerations when purchasing a country home.

Buyers are also prioritising properties with good road access, which gives them convenient travel without the challenges associated with remote or hard-to-reach farms.

Badenhorst explained that many buyers are choosing lifestyle farms rather than traditional holiday homes on the coast.

Rising coastal property prices, increasing municipal costs, and a desire for greater self-sufficiency have encouraged buyers to consider rural alternatives.

Modern solar-powered systems, off-grid capabilities, and low-maintenance farm infrastructure have made country living more practical and appealing than ever before.

These lifestyle farms allow owners to enjoy open spaces, privacy, outdoor recreation, and sustainable living while keeping the flexibility to generate supplementary income through small-scale agricultural activities.

Small towns offer better value than Cape Town

According to Badenhorst, the value on offer in these small towns is “superb” compared to what can be bought in Cape Town in this price range or in coastal towns.

For example, R6.36 million can get buyers a 250ha farm in Middelburg Rural with a new double-storey house, swimming pool, gym, shooting range, storerooms, and sheds.

The owner will also have enough ground to run a few sheep, cattle or maybe some horses, along with good views and sunsets.

For R11.5 million, Seeff is currently marketing an off-grid smallholding at the foot of the Langeberg Mountains in Swellendam’s Hermitage Valley.

The property has a main residence, a guest cottage, a natural swimming dam, an organic food forest, a chicken coop for fresh eggs, ducks, peacocks, abundant birdlife, and horses, as well as income-generating equestrian facilities.

However, Badenhorst stressed that prospective buyers should understand that financing agricultural land differs significantly from financing a conventional residential property or second home.

Most commercial banks view agricultural properties as specialised assets and therefore apply different lending criteria.

Buyers should expect to provide a deposit of approximately 50% of the purchase price when financing agricultural land.

Loan repayment periods are also typically shorter than those for residential home loans, usually ranging from 10 to 15 years.

These requirements mean that purchasers need to plan their financing carefully and engage with lenders early in the buying process.

Despite the stricter financing requirements, demand for lifestyle farms remains exceptionally strong, Badenhorst added.

Buyers continue to recognise the long-term value of owning productive land, securing water resources, and creating sustainable family retreats that can be enjoyed for generations to come.

This means that, in current market conditions, sellers of well-located lifestyle farms with reliable water and good access have an opportunity to attract qualified buyers seeking their own piece of the countryside.