Cape Town’s luxury property market thrives with ultra-wealthy buyers

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Cape Town's luxury property market continues to dominate, with homes selling for tens to hundreds of millions of rands.

Cape Town’s luxury property market continues to dominate, with homes selling for tens to hundreds of millions of rands,While the general property market often fluctuates due to broader economic factors, the high-end segment remains more stable, consistently attracting ultra-high-net-worth buyers who are less impacted by cost-of-living pressures.

The luxury home market operates differently from the mainstream market. Dart pointed out that wealthy international buyers tend to be more resilient, and global investment in real estate is nearly four times the size of the world’s GDP. Dart also referenced data from Savills, highlighting that real estate globally is worth more than both equity and bond markets combined.

He emphasised that high-end properties are especially attractive to UHNW investors, offering strong potential for capital growth, rental returns and inflation protection. Dart noted that the city’s most prestigious neighbourhoods, often referred to as the ‘Prime 7,’ include Clifton, Bantry Bay, Camps Bay, Bishopscourt, Constantia, Llandudno, and St James.

 

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