Property trend growing in South Africa’s Garden Route

Seeff Property Group has reported rising demand for holiday apartments in Garden Route towns, with some new developments finally coming to market.

Seeff Knysna licensee Gail Rimbault explained that freestanding housing stock dominates in the towns across the Garden Route.

The Garden Route is a 300-kilometre stretch of the south-eastern coast of South Africa. It extends from Witsand in the Western Cape to the border of the Tsitsikamma Storms River in the Eastern Cape. 

The route includes towns such as George, Witsand, Heidelberg, Stilbaai, Gouritsmond, Knysna, Plettenberg Bay, Mossel Bay, Oudtshoorn, and Wilderness.

Rimbault said sectional title complexes in this area can provide more options for buyers and investors and are generally more affordable. 

“They are also sought-after for the convenience of lock-up-and-go with minimal maintenance, as there is usually a Body Corporate which manages the apartment complex,” she said.

“For holiday homes and even those who are downscaling to the coast, this is the ideal solution.”

She said buyers usually include retirees and holiday home buyers, and there is also high demand for rentals, both long-term and short-term holiday needs, in these towns. 

Many buyers also combine their holiday purchase with the option of renting it out when not needed and benefiting from a lucrative rental return on their investment.

“A key benefit of investing in the Garden Route holiday towns is that they are hugely popular holiday hotspots, and experience high holiday traffic during the school closure periods, over weekends, and especially over the summer season,” Rimbault said.

Lightstone data shows that sectional title as a category of all housing stock in most Garden Route towns is still quite low, with Mossel Bay and Plettenberg Bay at 15% being the highest.

This is followed by Knysna at 10% and George at 6%. The data also showed that most apartments, with some exceptions, tend to sell for over R2 million.

International interest

Notably, Rimbault pointed out that, while only around 10% of Knysna’s stock is sectional title, it represents about 20% of all sales activity over the last year.

This reflects the high demand for compact units in the town. The Garden Route and Knysna, in particular, have been highlighted as one of the most popular areas among international buyers. 

South Africa is becoming an increasingly attractive destination for wealthy international buyers looking for holiday homes, retirement properties, and investment opportunities.

Rimbault said compact units such as apartments in the Garden Route are increasingly popular for own use and holiday rentals, including Airbnb. 

This is part of a broader trend, particularly noticeable in the Western Cape and KwaZulu-Natal, where the Atlantic Seaboard and Umhlanga are experiencing high demand from international buyers.

Many enquiries stem from referrals by friends and family, first-time visits, or research on desirable retirement destinations. 

In addition, returning expatriates and professionals with flexible, remote income streams show strong interest.

While some international buyers see South African property as a financial investment, most seek permanent or holiday homes.

Xpatweb senior immigration consultant Keri Culver previously explained that over 5,000 applications from more than 100 countries have been submitted in the last four years, with the top applicants coming from the UK, China, Germany, and the USA.

Pam Golding Property Group CEO Andrew Golding has also noted an increase in foreign interest since 2023, with buyers from the UK, Germany, USA, Switzerland, Austria, UAE, France, Belgium, Nigeria, and other African countries investing in South Africa.

Popular areas among international buyers include:

• Cape Town and the Western Cape: Constantia, Franschhoek, Stellenbosch, Hermanus, and the Atlantic Seaboard.
• Garden Route: Plettenberg Bay, Knysna, and George.
• KwaZulu-Natal: Umhlanga, Ballito, and Zimbali.
• Gauteng: Fourways, Rosebank, and Sandton.

While foreign buyers still make up a small portion of the overall market, their impact is growing. According to Propstats, which tracks high-end property sales in Cape Town, over 300 sales to foreign buyers were recorded in 2024.

This accounts for around 10% of total sales volume and 16% of total turnover.