Cape Town’s housing boom is becoming an affordability crisis

Cape Town’s property boom is pricing out buyers. UCT economist Dr Allan Davids warns why housing affordability could become South Africa’s next economic crisis.

Cape Town’s property boom is pricing out buyers. UCT economist Dr Allan Davids warns why housing affordability could become South Africa’s next economic crisis.

Equites Property Fund raises its interim dividend 5.1% to 72.57c, cuts loan-to-value to 28.1% and funds a R2 billion South African logistics pipeline after its UK exit.

Cape Town’s proposed short-term letting by-law has sparked a debate on housing supply. Developers, Communicare and industry leaders on approvals, public land and what investors should watch.

BetterBond’s October Property Brief shows resilient home loan demand, rising buyer incomes and stronger house prices, but completions are falling behind building approvals.

Soweto buy-to-let properties priced from R450,000 are reportedly delivering gross yields of 10-12%. Where rental demand is strongest and five checks before you buy.




























Cover story
eXp Realty South Africa & Laureus: A Partnership Changing Futures Through SportBy Khanya Gundwana
Inside this issue

Residential

New Developments

Commercial

REITs

Listed Property

Offshore

Student

Offices

Retail

Industrial

Green Buildings

Mixed Use

Apartments & Flats

Hospitality

Senior Living

Affordable Housing

Luxury Residential

Business Broking

Multi Family
Alternative
Discover upcoming property investment events, seminars, and conferences in South Africa. Network with investors and industry experts at REI events.
See Upcoming EventsCourses
Featured: Creating Wealth with Student Accommodation in South Africa
eBooks
6 titles, including "10 Simple Steps to Property Wealth" by Jason Lee
Tools
Master essential property jargon with REI's comprehensive glossary. From appraisal to zoning, understand key real estate terms before signing.
Expert Insights
Could you become SA’s next property developer?
Research ReportsSA house prices rose 8.2% in May, but John Loos sees signs of a slowdown. See which markets are still rising and where momentum is starting to fade.
Asset ManagementFindHomes data on 156,600 live rentals shows almost a quarter of Western Cape listings have cut asking rents, typically by 7.1%, as demand meets affordability.
Asset ManagementPayProp's Q2 2026 Rental Index: national rents rise 5.2% to a record R9,715, the Western Cape surges 9.7% to R12,561, and arrears edge up to 16.9%.
Research ReportsSouth Africa’s house price growth hit 7.1%, led by the Western Cape, but rising inflation and global risks could slow momentum in 2026
Research ReportsCape Town’s new GV2025 property valuations could raise municipal rates from July 2026, making it vital for homeowners to check and object if needed