Property prices are surging in this part of South Africa

·19 Nov 2023

Property prices on the West Coast of South Africa have skyrocketed over the last decade.

“From St Helena Bay and Brittania Bay on the northern shores to Yzerfontein in the south and inland towns like Darling and Vredenburg, property prices have more than doubled in many instances,” Samantha Nel from Pam Golding Properties said.

The West Coast has developed as a quiet, coastal holiday destination with modern shopping centres, excellent medical facilities and good schools.

Residents are generally middle-aged – 36 to 49 years – and mature – 50 to 64 years, but data from Lightstone shows that these areas are also attracting young buyers,

Many residents also opt to stay in the area, with roughly 50% owning their properties for ten or more years.

Freeport Saldanha Industrial Development Zone is also expected to generate R21 billion in investment, including an agreement between Sasol and ArcelorMittal SA to produce sustainable fuels through a green hydrogen (GH2) hub in Saldanha Bay.

The planned upgrade is expected to bring an influx of younger workers to the area.

“While Saldanha sales activity rebounded after Covid, freehold sales recorded in 2021 and 2022 remain below sales numbers posted before the pandemic. In contrast, vacant plot sales registered the highest sales during the past 10 years in 2022 and plot sales so far in 2023 already match total sales in 2021,” Nel said.

In St Helana Bay, median freehold sales prices have grown by 153% since 2013, with the median sales price for vacant plots also growing steadily over the same period.

In Britannia Bay, the median price has grown by around 110% over the last 10 years, but only 28% of homeowners have owned their properties for 11 or more years, whilst 40% have owned for less than five years. Nel said that suggests a major influx of new owners following the pandemic.

This is not the case in Darling, where 76% of homeowners have owned their properties for 11 or more years.

In Langebaan, the median sales price of sectional title properties was hit during the pandemic, but this has rebounded firmly – with sales in 2022 the highest over the last ten years.

“Strong growth in house prices and robust sales activity in 2021 and beyond suggest that Langebaan has benefitted from lifestyle changes and ongoing semigration post-COVID,” says Nel.

The median sales price of sectional title homes in Paternoster has exceeded freehold median sales over the last decade.

“Sales activity surged after the first year of the pandemic and remained elevated in 2022. There has also been a marked increase in vacant plot sales in 2021 and 2022. The town’s housing market has clearly benefited from lifestyle changes in the post-Covid years,” Nel added.

In Velddrif, freehold home and vacant plot sales skyrocketed after the pandemic and remain heightened compared to pre-Covid levels.

In Vredenburg, the majority of recent buyers are also younger – with 40% middle-aged and another 30% young adults.

“Overall strong growth in property prices and robust sales activity shows that the West Coast is an extremely desirable location to put down roots,” Nel said.

Below are several properties on South Africa’s West Coast currently on the market: