What you can get in the most affordable city to buy and rent property in South Africa

·29 Jun 2024

Johannesburg is the most affordable metro in South Africa for buying or renting property.

This is according to agents from the Seeff Property Group.

Lighstone data shows that the average transaction price for the metro is roughly R1.2 million – below the national average of R1.3 million.

For comparison, the national average for Pretoria/Tshwane is slightly above this and stands at R1.4 million for Durban/eThekwini.

Despite the semigration talk, Greater Johannesburg still sees the largest influx of people migrating to big cities in search of economic opportunities, and they are finding good value.

Referencing Lightstone’s data, Seeff said that almost 77% of this year’s transactions have been below the R1.5 million price mark, while almost half (47%) are below R700,000 to R800,000.

The average price for luxury homes is R4 million, the data shows.

Rochelle Holland, manager for Seeff Johannesburg North-West, said that while buyers in the mid-to-lower price categories are more sensitive to interest rate hikes, the upper-end market in estates such as Eagle Canyon has seen excellent sales of luxury homes selling for upwards of R6 million.

She added that sellers are also more receptive to offers, reflecting a shift in acceptance that the market is still more favourable to buyers.

The area also has a good mix of buyers, including investors and cash buyers who are not reliant on mortgages.

She said neighbouring suburbs such as Honeydew, Wilgeheuwel, Radiokop and Allens Nek offer even better buyer value.

Average family houses in Radiokop and Wilgeheuwel sell for about R1.5 million, larger townhouses from R1.1 million, and small units from just R600,000.

Rental prices have also remained relatively flat, with tenants tending to renew their leases when they are placed in well-priced properties rather than moving around.

Images of properties in Northern Johannesburg can be found below: