Property

South Africans are rushing to buy houses in these coastal hotspots

Kirsten Minnaar • 16 December 2025

Coastal property in South Africa is booming as buyers flock to popular seaside towns, driven by lifestyle appeal, semigration, strong tourism demand, and superior growth, sharply increasing prices across hotspots.

Coastal property has continued to outpace house price growth at an average of 6.2% compared to just 4.2% for inland areas, with some areas falling as low as 2%.

According to Seeff Property Group agents, this is driven by the appeal of the coastal location, which features sea views, beaches, and favourable climates.

Demand is further boosted by the sustained migration, especially from retirees and remote workers, to coastal suburbs and towns, driving up demand and prices.

Buyers are willing to pay a premium for the perceived superior quality of life, better local governance and infrastructure in key coastal regions, and tourism rental potential.

Tourism SA, for example, recently reported a 14% year-on-year rise in tourist arrivals for the first half of the year. By September, that had already exceeded pre-pandemic levels with 7.6 million visitors.

This is a further demand boost for coastal property. Most holiday areas are fully booked out for the summer period, with visitors set to flock to the popular coastal hotspots.

This is also typically the time when many people start considering investing in a holiday or retirement home, or an Airbnb on the coast.

Sales data from Seeff shows that the Cape, along with other coastal hotspots, have enjoyed an excellent year with many areas seeing higher activity on the back of the significant interest rate cuts since mid-2024.

On Cape Town’s Atlantic Seaboard, Clifton and Camps Bay are holiday hotspots. The prime destination for wealthy local and international holiday buyers and an investment hotspot, said Seeff Atlantic Seaboard licensee Ross Levin.

In 2025, Camps Bay sales reached R1.6 billion, with an average price of R21 million, and included 30 sales exceeding R20 million. There were even four sales for over R50 million.

Clifton tops R630 million from just over a dozen sales at an average price of R44 million. Most sales have exceeded R20 million, with two exceeding R100 million.

The scenic location, situated between mountains and sea, along with its white, blue-flagged beaches and Riviera lifestyle, is a top attraction for residents, holidaymakers, and celebrities from around the world.

Buyers can expect to pay R18 million to R48 million for luxury beach apartments and villas in this luxury hotspot.

Westtern Cape holiday hotspots

Plettenberg Bay and Knysna on the Garden Route offer excellent weather, blue flag beaches and great amenities, making these areas popular for upper-income holiday and retirement investments.

These markets have experienced significant growth in recent years. Seeff Plettenberg Bay licensee Alet Ollemans said the market has already surpassed R2.3 billion in 2025, up from 2024, with a handful of sales exceeding R20 million.

Knysna has already topped at R2.3 billion, with about 22% of transactions exceeding R5 million, mostly in Thesen Islands, Brenton, and Simola. Sedgefield remains a popular choice for its relative affordability.

In these areas, buyers can expect to pay between R2 million and R15 million. Apartments typically cost around R2 million, while luxury houses can reach R20 million or more.

According to Seeff, Langebaan and Yzerfontein on the West Coast also have beautiful beaches and fynbos surroundings. Their proximity to Cape Town makes these popular holiday and Airbnb investments.

The areas have seen tremendous growth over the last few years, boosted by semigration and holiday buyers.

Seeff Yzerfontein agents Michelle Livingstone-Louw and Nelia Retief said prices have basically doubled, and a number of new estates are under development.

Approximately 7% of Langebaan sales now exceed R5 million, particularly in Calypso Beach, Paradise Beach, and the Langebaan Country Estate. Mykonos remains a top attraction with popular holiday apartments.

Buyers can expect to pay between R3 million and R6 million in Yzerfontein, and between R1.5 million and R8 million in Langebaan.

Affordable hotspots

Under 90 minutes from Cape Town along the scenic Clarence Drive, Betty’s Bay and Kleinmond on the Overstrand Coast are located on the rocky coastline of the Kogelberg Biosphere Reserve with the Kogelberg Mountains as a backdrop.

These small coastal villages offer excellent affordability and proximity to Hermanus, said Seeff’s licensee for the areas, Paul Kruger.

Both towns feature beautiful, accessible sandy beaches and basic amenities with easy access to the attractions of Hermanus. Both areas have seen strong price growth in recent years.

Buyers can expect to pay between R1.8 million and R4 million in Betty’s Bay and between R2 million and R5 million in Kleinmond. Prices for beachfront homes exceed R10 million to R12 million.

Set against the backdrop of the Hottentots Holland Mountains, Strand and Gordon’s Bay are also popular for their relaxed living, warm ocean, sandy beaches, and a variety of water sports.

Beach apartments and Greenways Golf Estate in Strand, and Harbour Island and Mountainside villas in Gordon’s Bay are popular choices for holiday investors.

Seeff licensee for the areas, Alten Vermaak, said both towns remain relatively affordable compared to Cape Town, with Strand offering slightly lower price points.

Buyers can expect to pay between R1.5 million and R4 million for apartments, and between R5 million and R15 million for beach, waterfront, and mountainside locations.

Surfing hotspots

Muizenberg and Fish Hoek, with their warm ocean and surfing opportunities on the False Bay coast, are popular surfing hotspots. They offer a laid-back coastal lifestyle with proximity to restaurants, amenities, and attractions.

Aside from residential buyers, Seeff False Bay manager, Anton Liebenberg, said the area is popular with retirees and holiday investors.

The market has been solid this year with transactions slightly ahead of last year, especially in the R1.5 million to R4.5 million range. Apartments are a popular choice for holiday investments.

Buyers can expect to pay between R1.5 million and R4.5 million, with houses located higher up, offering stunning sea views, achieving the highest prices.

The top kitesurfing destination, Big Bay in Bloubergstrand, attracts surfers from across the globe. According to Seeff sales manager JP Ricketts, these beach areas are popular with residents, retirees, holidaymakers, and foreign buyers.

The beaches, restaurants and amenities are mostly within walking distance, adding to the excellent quality of life and holiday experience.

Just about the whole beachfront through to Big Bay is a prime Airbnb market, offering strong returns during the summer months.

Buyers can expect to pay an average of R2 million to R8 million for apartments, townhouses, and estates. Prime properties in Bloubergstrand Village and Water’s Edge (Big Bay) go for R12 million to R20 million-plus.

Finally, the Eastern Cape holiday resort towns, Jeffreys Bay and St Francis Bay, are just over an hour from Gqeberha and renowned for water sports, surfing, and excellent amenities, including golfing.

Both feature popular waterside developments such as Marina Martinique in Jeffreys Bay, and The Canals in St Francis Bay, along with the St Francis Link Golf Estate.

Both property markets have been very active, with transactions still well ahead of pre-pandemic levels, and excellent price growth of 38% in Jeffreys Bay and 60% in St Francis Bay over the past five years.

Buyers should expect to pay between R1.5 million and R3 million in Jeffreys Bay. St Francis Bay properties range from R2 million to R6 million on average, and from R6 million to R12 million for exclusive waterside and golf estate homes.