South Africa is becoming an increasingly attractive destination for property buyers, local and international, due to its competitive land prices and lower building expenses compared to many other global markets. The country’s affordability is evident in areas like the KwaZulu-Natal (KZN) South Coast, where buyers find excellent value for money.
According to recent Turner & Townsend International Construction Market Survey 2024 data, the construction costs in Johannesburg are R17 791 per square metre, with Cape Town slightly higher at R19 589 per square metre. These figures are notably lower than those in other emerging economies, such as Ho Chi Minh City in Vietnam (R20 021), Lagos in Nigeria (R27 716), and Harare in Zimbabwe (R35 868). Meanwhile, New York remains the world’s most expensive city for construction, with costs reaching R103 016 per square metre.
The affordability of buildings in South Africa is further enhanced by financial benefits such as no maintenance expenses, no home inspections, and lower municipal rates based on property values. Additionally, the absence of transfer duties makes buying land an appealing option for first-time investors looking to enter the real estate market.
Optimism is also rising in South Africa’s property sector, with consumer confidence reaching a ten-year high, according to the Absa Homeowner Sentiment Index. In the final quarter of 2024, 87% of buyers expressed positive sentiment about the future of the residential property market. This renewed confidence drives a surge in interest, especially in regions like the KZN South Coast, where the cost of living is relatively low, and the coastal lifestyle is highly sought after.
Developers in the area, like those behind Serenity Hills, are capitalising on this growing demand by offering affordable plots within secure, community-focused estates. Serenity Hills, in particular, stands out for its commitment to sustainability and eco-friendly living. Homes in the estate feature energy-efficient designs that help reduce utility bills, while communal levies provide access to amenities such as hiking and biking trails, a clubhouse, and expansive conservation areas.
In addition to the natural beauty of the region, the local community contributes to its charm. Regular events and small businesses like The Packshed Restaurant and The Sweet Gang & Friends Farm Stall foster a sense of belonging, supporting a family-friendly atmosphere.
As the popularity of developments like Serenity Hills grows, available plots are becoming increasingly scarce. Phase 1 of the development has limited plots, prompting developers to urge interested buyers to act quickly. Industry experts predict that the combination of affordable building costs and heightened consumer confidence may lead to greater competition for available properties in the near future.
For now, South Africa’s property market remains a rare gem, offering an appealing blend of affordability, lifestyle, and natural beauty. While global markets continue to grapple with rising costs and economic uncertainty, South Africa stands out as a destination where investors and homeowners can find significant value without compromising quality or location.
