Cape Town’s skyline is stunning. But behind the beauty lies a serious housing problem. Thousands of people are moving into Africa’s most expensive real estate city, and the pressure is building fast.
The residential property market in Cape Town is now worth about 1.2 trillion rand, or $64 billion. Luxury homes along the Atlantic Seaboard are especially in demand. These properties sell for as much as $5,600 per square meter. The city is now home to over 7,400 high-net-worth individuals, making it a top spot for luxury buyers in Africa.
But it’s not just the wealthy who are moving in. Many middle-class families are leaving other parts of South Africa. They’re looking for better schools, safer neighborhoods, and more job opportunities. This surge in demand has caused home prices to rise sharply.
City officials say more than 100,000 families have moved to Cape Town in recent years. Home prices have gone up by 30% in just five years. Affordable housing is now hard to find. The city’s roads, power, water, and services are feeling the strain.
Mayor Geordin Hill-Lewis says Cape Town is ready to take action. Starting in July or August, the city will update its building rules. This change will speed up approvals for new housing projects. What used to take two years could now happen much faster.
Cape Town also plans to invest 120 billion rand in basic infrastructure. This includes upgrades to power, water, and transportation over the next 12 years. The city will also increase police presence and improve security to keep pace with its growing population.
Cape Town still offers opportunity and beauty. But if the housing crisis isn’t addressed, even a dream city can turn into a challenge.
