Buying property in Cape Town: our advice before you get started

Entry prices by area, transfer duty and checks before signing: advice for buying a property in Cape Town.

The Remoters editorial team

Published on

29 August 2023

Updated on

6 October 2026

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Buying property in Cape Town is open to foreigners, and many do. According to Lightstone, which analysed transactions over the past ten years, the Western Cape province has the highest share of foreign buyers in the country, 7.8% of sales, and they account for 12.7% of purchases of properties worth more than one million rand in the Cape Town metro. By value, Cape Town comes first: around 153 billion rand of property bought by foreigners over the period, against 107 billion in Johannesburg.

It is a seller's market. In the first quarter of 2026, homes sold faster in Cape Town than in Johannesburg in every price bracket, again according to Lightstone. Between 1.5 and 2 million rand, a property stayed on the market for a median of 16 days; between 3 and 4 million, the time fell from 48 days in early 2024 to 20 days in early 2026. Properties above 6 million are the slowest to sell, at a median of 49 days, and that is where negotiation is still possible: one seller in five there has cut their asking price.

Before you get started, you therefore need to know where entry prices stand in each area, what buying costs in fees and duties, and what to check on a property you may only be able to view once.

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Areas and their entry prices

Cape Town is one of the most expensive metros in the country for a first purchase. According to the Seeff network, the average price of a first purchase there is between 1 and 1.5 million rand, for floor areas often smaller than in Durban or Johannesburg. Only 27% of buyers are under 35.

Atlantic Seaboard: Sea Point, Camps Bay, Clifton

The Atlantic coast, from De Waterkant to Llandudno via Sea Point, Fresnaye, Bantry Bay, Clifton, Bakoven and Camps Bay, concentrates foreign buyers. The smallest entry-level properties there sell for between 1.35 and 1.95 million rand. Sea Point is the area that recorded the most sales to foreigners in Cape Town (1,118 in ten years), at an average value of 5.4 million rand. At the higher end, Bakoven and Camps Bay have close to 50% foreign buyers, at 16 or 17 million rand on average, and in Llandudno, two sales out of three went to foreigners.

The city centre (CBD) and the City Bowl

The city centre, with its sectional title apartments, attracted 39% foreign buyers across 1,259 transactions in ten years, often to live there part of the year or to rent out. The City Bowl areas, such as Gardens, Oranjezicht and Tamboerskloof, are central and in high demand among young professionals.

Woodstock, Salt River and Observatory

Close to the centre and in the middle of transformation, these areas offer entry-level properties between 900,000 and 1.95 million rand. They are popular with students and young professionals, which also makes them an active rental market.

Northern and southern suburbs

The northern and eastern corridors remain the most affordable: Goodwood and Parow between 650,000 and 1.5 million rand, Kraaifontein between 950,000 and 1.3 million, Brackenfell between 1.4 and 1.8 million. In the south, Claremont, Rondebosch and Newlands are residential and close to the University of Cape Town, while Constantia, more upmarket, has 43% foreign buyers for an average value of 19.5 million rand.

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What buying costs: transfer duty

The buyer pays transfer duty to the South African tax authority, SARS. The scale in force since 1 April 2025 is renewed unchanged from 1 April 2026:

up to 1,210,000 rand: no duty;
from 1,210,001 to 1,663,800 rand: 3% of the portion above 1,210,000;
from 1,663,801 to 2,329,300 rand: 13,614 rand plus 6% above 1,663,800;
from 2,329,301 to 2,994,800 rand: 53,544 rand plus 8% above 2,329,300;
from 2,994,801 to 13,310,000 rand: 106,784 rand plus 11% above 2,994,800;
above 13,310,000 rand: 1,241,456 rand plus 13% above that threshold.

For an apartment at 3 million rand, this comes to 107,356 rand. On top of this duty come the fees of the lawyer in charge of the transfer of ownership (conveyancer) and, if you borrow, the mortgage registration costs: ask for a written estimate before making an offer.

Buying to let: what the rental market says

If you plan to rent the property out, the context is favourable. According to the PayProp index, rents in the Western Cape rose by 9.7% over a year in the second quarter of 2026, the biggest increase since late 2024, and the province remains the most expensive in the country. Arrears there are at their lowest: 12.3% of tenants behind on rent, the lowest level ever recorded for a province by this index. More than one rented home in four (27.5%) there exceeds 15,000 rand per month.

Before counting on short-term rentals, find out about the co-ownership rules: some limit or regulate short stays, and tourist demand varies sharply with the season.

What to check before signing

The offer to purchase. Do not sign any offer (offer to purchase) without having it reviewed: once accepted by the seller, it binds you. Add the conditions that protect you, such as obtaining a loan or an inspection of the property.
The price. Compare with recent sales on the same street or in the same building. At the upper end, sellers often set a high asking price expecting to negotiate.
Co-ownership charges. For a sectional title apartment, ask for the amount of the charges (levies), the state of the reserve fund and the latest minutes of the meetings: they reveal upcoming works.
Municipal taxes and bills. Water, electricity and property tax (rates) are billed by the City of Cape Town: ask the seller for the latest bills.
Electricity. According to SAnews, the state utility Eskom had gone 406 consecutive days without load shedding at the end of June 2026. Backup power (batteries, solar panels) is still an asset, but it is no longer the daily constraint it once was.
Security. It varies from one street to the next: visit at different times of day and find out about the building's security arrangements.
Financing and funds. Ask your bank, in France and in South Africa, about transferring the funds and the documents to keep: they will also be useful the day you resell.

Finally, be wary of off-plan projects offered remotely by unknown intermediaries: check the developer's identity and never send money anywhere other than the trust account of a lawyer or a registered agency.

Buying in Cape Town without making ten return trips

Choosing an area, comparing properties and negotiating from Europe, with an information gap on a fast-moving market, is not simple. A Remoters home finder based in Cape Town can search according to your budget and your project, view properties in your place, flag the weak points of a co-ownership and support you through to signing with the transfer professionals. The first conversation and the quote are free.