The best places to buy in Cape Town, South Africa

Cape Town’s dramatic setting between the sea and the mountains, with golden beaches and rolling vineyards, is one of outstanding natural beauty. Sir Francis Drake described it as “the fairest cape we saw in the whole circumference of the Earth” when he arrived in 1580 during his voyage around the world. Nearly 450 years later, this cosmopolitan city is still earning high praise – Cape Town occupies the top spot on Time Out’s list of the best cities in the world for 2025, scoring high for its beauty, its food scene and the happiness of its residents.

“Cape Town is a historic city of worldwide renown, with a downtown area that has maintained its exclusivity,” says Basil Moraitis, regional head of Savills associates Pam Golding Properties in the Western Cape. “Its appeal to an international audience includes its reputation for wonderful food and wine, and its proximity to so much that is striking in nature. In the same weekend, you can visit the winelands, climb Table Mountain and swim in the sea.”

The addition of desirable new-builds has enhanced that appeal. Moraitis points to Mama Shelter, the first South African hotel by Ennismore, with 68 branded residences for sale. The project is on Bree Street, described as “Cape Town’s hippest block” by The Wall Street Journal.

The city’s climate is ideal for enjoying an active, outdoor lifestyle. It also benefits from a choice of world-class restaurants, bars and sporting facilities. The latest Savills Prime Residential Index: World Cities noted that Cape Town had seen “strong prime residential price growth driven by a recovery in confidence”. 

Other factors included “improved economic activity, and ongoing domestic and international demand”. And property remains resilient.

For the year ahead, the report forecast prime residential price growth of between 4% and 5.9% in Cape Town, the sixth-highest increase of the 30 global cities analysed – well ahead of favourites such as Miami and New York. Yet average prime property prices per square metre in Cape Town are $2,500 (£1,865) – more than a third lower than those in Dubai, and a fifth of those in Miami.

Cape Town also performed well for prime rental yields, registering 4.5% growth in the year to December 2024 – the sixth highest of the 30 cities on the Savills index, even though average weekly prime rents are the second lowest. Rents are expected to see strong growth in the year ahead, which will support higher yields.

The city ranked high in the Savills Impacts: Executive Nomad report, benefiting from a Digital Nomad Visa that allows for stays of up to 36 months. “The city is well run,” says Moraitis, “and the favourable exchange rate allows for comfortable living at a fraction of the cost in other major cities.”

Locations favoured by international buyers include parts of the Atlantic Seaboard, the Waterfront and the Southern Suburbs. The residential areas of the Seaboard below the 12 Apostles mountain range include Clifton and Bantry Bay, 15 minutes by car from the city centre and the international airport. 

Prices for the most sought-after prime properties in these neighbourhoods, which are well sheltered from the prevailing winds, can reach R200,000 (£8,300) a square metre.  

“In Clifton, bungalows are hugely popular,” says Moraitis. “They are in a captivating position directly on Clifton beach.” A little further down the coast, west-facing Camps Bay is another firm favourite, with sensational sunsets, laid-back charm and welcoming restaurants and bars opposite the beach. And the Waterfront is popular with buyers who want the buzz of city life and are seeking a lock-up-and-leave apartment for shorter trips.

Those planning extended stays in the city often opt for large houses in the manicured Southern Suburbs, at the foot of Table Mountain. Constantia, Claremont and Bishopscourt are the areas to look out for. “You can get wide city views around Kloof Street, close to Sea Point and Green Point, where prices start at R50,000-R60,000 a square metre,” says Moraitis. “Cape Town offers huge variety, from contemporary penthouses to substantial villas.” 

Read the latest Savills Prime Residential Index: World Cities

Consult the Savills Impacts: Executive Nomad report