Zebinvest Market Insights: Key Trends Driving Residential Demand in the Western Cape

Warren Brusse
Jul 4
3 min read

Updated: Aug 28

By Warren Brusse, Chief Executive Officer, Zebinvest Real Estate Development

The Western Cape’s residential market remains dynamic, with strong undercurrents of demand across both the mid-market and premium segments. Zebinvest is actively integrating these insights into our Leasehold Development Strategy - enabling landowners and investors to unlock short-term returns and long-term capital appreciation through secure, scalable developments.

Zebinvest Real Estate Development has undertaken detailed research into residential market trends across the Western Cape to guide investment decisions and refine our Leasehold Development Solution.

Our insights are informed by both primary market engagement and secondary research from leading property platforms and brokerage firms. Key trends shaping current buyer demand include:

1. High Demand for 2–3 Bedroom Sectional-Title Units

Zebinvest research confirms that 2–3 bedroom sectional-title units remain the most actively traded segment in the Western Cape, particularly in growth corridors such as the Northern Suburbs, Southern Suburbs, and parts of the Cape Winelands.

These units offer a strong balance between affordability and long-term capital appreciation, making them attractive to first-time buyers, young families, and retirees.
Their resale liquidity remains unmatched, with properties in secure developments often achieving sales within days of listing.
According to Lightstone Property, sectional-title properties showed year-on-year growth of 5.8% in key nodes such as Durbanville and Somerset West in 2024.

2. Estate Living: Security and Lifestyle Remain Top Priorities

There is a marked shift in buyer preferences toward gated estates offering integrated lifestyle amenities. Zebinvest’s ongoing studies show that:

Security, proximity to quality schools, access to open green spaces, and estate-level amenities (such as parks, trails, and fibre-ready infrastructure) are non-negotiable features.
The demand for master-planned estates - particularly in areas like Stellenbosch, Paarl, and the Garden Route - has surged, supported by the semigration trend.
Pam Golding Properties CEO, Dr Andrew Golding, noted in a March 2025 market update that over 60% of mid-to-high income buyers are now prioritising estate living as their primary requirement.

3. Work–Live–Play Integration and PropTech Adoption

Modern buyers are no longer just purchasing a home - they are investing in a work–live–play lifestyle. Zebinvest identifies the following innovations as central and integral to real estate development success:

Home offices and shared co-working spaces are now a standard feature in newly developed units.
Developments that integrate energy efficiency, including solar backup systems and inverter-ready wiring, command premium pricing.
The adoption of PropTech platforms - including remote access control, smart metering, and mobile maintenance reporting - has increased buyer satisfaction and reduced operating costs (Source: abizq.co.za, businesstech.co.za).

Zebinvest developments in planning phases now incorporate these technological enhancements to ensure futureproofing and resilience.

4. Premium Finishes in Coastal Properties Drive High-End Activity

On the luxury end, homes with premium finishes along the Atlantic Seaboard and coastal towns like Hermanus and Knysna remain among the most sought-after investment assets in the country.

Zebinvest analysis reveals that homes featuring high-end natural materials, designer appliances, and architectural features continue to achieve top-of-market sales values.
Properties in Clifton, Bantry Bay, and Llandudno frequently sell within hours, with transaction values ranging from R27 million to R66 million, according to verified listings from AMG Properties.
Luxury buyer demand is buoyed by both foreign investors and high-net-worth South Africans seeking semigration opportunities, often for lifestyle and tax planning reasons.

Conclusion: Opportunity for Long-Term Value Creation

The Western Cape’s residential market remains dynamic, with strong undercurrents of demand across both the mid-market and premium segments. Zebinvest is actively integrating these insights into our Leasehold Development Strategy - enabling landowners and investors to unlock short-term returns and long-term capital appreciation through secure, scalable developments.

For institutional partners and development collaborators, our research ensures that every project is grounded in current market reality and shaped for future resilience.