According to Seeff Property Group, South Africa’s super luxury property rental market is bouncing back in the aftermath of the worst of the Covid-19 pandemic, with foreign tenants paying upwards of R100,000 per month for homes in high-end suburbs.
Demand for luxury homes in South Africa has increased since the removal of pandemic-related travel restrictions and an increase in foreign visitors. According to Seeff, which recently reflected on a number of new high-end rentals to foreign tenants, rental prices for these luxury properties are up by 15% to 20% compared to last year.
A five-bedroom home in Upper Constantia, however, outperformed all other rentals along the exclusive Atlantic Seaboard.
According to Jacqui Bush, rentals agent for Seeff Constantia, the Upper Constantia property, rented to an Irish tenant, costs R130,000 per month, a new record. The foreign tenant paid in advance for a three-year lease.
Furthermore, while Cape Town and its environs dominate the luxury property rental market, high-end homes in Sandton and Johannesburg North are also attracting foreign tenants, many of whom are from other African countries.
Golf estates in the Fourways area and suburbs near the Sandton CBD, such as Morningside, Hyde Park, and Sandhurst, are particularly popular, with monthly rents reaching R70,000. According to Rochelle Holland, rentals manager at Seeff Sandton, the majority of high-end leases in these areas are signed with local tenants.
Pretoria East, also in Gauteng, is seeing an increase in demand for high-end rentals, particularly in security estates. According to Seeff, government officials and foreign embassy personnel are driving this demand. Seeff, for example, achieved a monthly rental of R64,000 in Woodhill Golf Estate.
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