{"id":834439,"date":"2025-08-16T16:00:00","date_gmt":"2025-08-16T14:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=834439"},"modified":"2025-08-20T09:48:37","modified_gmt":"2025-08-20T07:48:37","slug":"one-town-in-the-western-cape-where-average-house-prices-doubled-to-r4-9-million-in-5-years","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/property\/834439\/one-town-in-the-western-cape-where-average-house-prices-doubled-to-r4-9-million-in-5-years\/","title":{"rendered":"One town in the Western Cape where average house prices doubled to R4.9 million in 5 years"},"content":{"rendered":"\n

Plettenberg Bay has seen its property prices doubled in five years, with the average pice now at R4.9 million.<\/p>\n\n\n\n

Plettenberg Bay is a seaside town on the Garden Route in South Africa\u2019s Western Cape Province.<\/p>\n\n\n\n

A property experts told BusinessTech that much of this surge has been fuelled by semigration, particularly during and after the Covid-19 pandemic. <\/p>\n\n\n\n

\u201cThe growth has significantly outpaced the national average,\u201d said Seeff\u2019s licensee for the area, Mrs Alet Olletmans.\u00a0<\/p>\n\n\n\n

\u201cBuyers flocked here to snap up second homes, paying ever higher prices. The warm climate, warm ocean, stress-free environment, and easy access from just about anywhere in the country make the town popular with luxury buyers for retirement or second homes.\u201d<\/p>\n\n\n\n

During peak holiday periods, Mrs Ollemans noted that it is crowded, with almost no accommodation available. Many property owners with second homes there spend extended periods in the area.<\/p>\n\n\n\n

The market has achieved some of the highest prices in South Africa, \u201csecond only to the Atlantic Seaboard, with a number of sales over R20 million and as much as R55 million and R80 million.\u201d<\/p>\n\n\n\n

One of the most expensive addresses is Beachy Head Drive in the suburb of Seaside Longships. \u201cHomes there typically sell for over R20 million,\u201d said Mrs Ollemans.\u00a0<\/p>\n\n\n\n

Houses are typically priced from R3.5 million to R8.5 million, high-end homes range from R5 million to R15 million, and the top price achieved is R78 million. <\/p>\n\n\n\n

Sectional titles range from around R1.8 million to R3.8 million, with new units upwards of R6 million. However, Hayley Ivins-Downes, managing executive of Real Estate at Lightstone Property, noted that this price growth has come at a cost. <\/p>\n\n\n\n

\u201cThe strength of the market above R3 million has consequences for those whose earnings restrict home ownership to affordable levels,\u201d she said. <\/p>\n\n\n\n

Lightstone\u2019s data shows that approximately 40% of these properties were purchased within the last five years as the town\u2019s popularity surged. A significant portion, 420 homes, are valued at over R10 million.<\/p>\n\n\n\n

Other areas seeing notable property price growth<\/h2>\n\n\n
\n
\"\"<\/a>
Cotswold Downs, Hillcrest Golf Course, Luxury Estate<\/em><\/figcaption><\/figure><\/div>\n\n\n

However, Ivins-Downes warned that this boom has a serious downside<\/a>, which is a lack of affordable housing. <\/p>\n\n\n\n

\u201cThe strength of the market above R3 million has consequences for those whose earnings restrict home ownership to affordable levels,\u201d she said. <\/p>\n\n\n\n

Many of the people who keep the town running, those employed in hospitality, retail, municipal services, and other local sectors, cannot afford to live in the place where they work.<\/p>\n\n\n\n

There is a dire shortage of formal housing for those earning below R26,000 per month, and no easy solutions are in sight.<\/p>\n\n\n\n

While Plettenberg Bay\u2019s surge has been exceptional, other parts of the country have also seen sharp increases. <\/p>\n\n\n\n

On Cape Town\u2019s Atlantic Seaboard, Ross Levin, licensee for Seeff Atlantic Seaboard and City Bowl, noted that Camps Bay has recorded five-year price growth of 38%, with the average selling price at R13.5 million. <\/p>\n\n\n\n

\u201cReasons for growth include the high-demand location, spectacular views, and limited availability, coupled with demand from local, semigration, and especially international buyers, mostly German, UK, and other European,\u201d said Levin. <\/p>\n\n\n\n

In Gauteng, Dave Ingle, licensee for Seeff Edenvale and Bedfordview, said Modderfontein has seen five-year price growth of 28%, with the average price at R4.1 million. <\/p>\n\n\n\n

He attributed this to the convenient location, access to top-class amenities and great schools, and secure, family-friendly estates.<\/p>\n\n\n\n

Gregg Wilson, licensee for Seeff Upper Highway, added that Cotswold Downs Golf & Country Estate in KwaZulu-Natal\u2019s Hillcrest has experienced five-year price growth of 31%, with the average price at R5.25 million. <\/p>\n\n\n\n

\u201cThe growth includes pandemic-induced demand for secure, lifestyle-oriented estates that offer space and amenities, and just the overall migration of people to security estates.\u201d<\/p>\n\n\n\n

Gerhard van der Linde, MD for Seeff Pretoria East, noted that Pretoria East\u2019s Mooikloof area has also benefited, with five-year price growth of 22% and an average price of R7.1 million. <\/p>\n\n\n\n

The growth is driven by the migration to security estates and moving outwards from the city to prestigious areas. <\/p>\n\n\n\n

The area is all about safety and lifestyle, and is one of the most sought-after residential areas in the country.<\/p>\n\n\n\n

In all these locations, property markets have risen on the back of strong demand from wealthier buyers seeking security, lifestyle, and accessibility. <\/p>\n","protected":false},"excerpt":{"rendered":"

This South African seaside town has seen its property prices doubled in five years, with the average pice now at R4.9 million.<\/p>\n","protected":false},"author":92,"featured_media":835225,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12755],"tags":[10349,21463,11693,853],"class_list":["post-834439","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-property","tag-lightstone-property","tag-plettenberg-bay","tag-seeff-property-group","tag-south-africa"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/834439","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/92"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=834439"}],"version-history":[{"count":7,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/834439\/revisions"}],"predecessor-version":[{"id":835519,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/834439\/revisions\/835519"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/835225"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=834439"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=834439"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=834439"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}