Plettenberg Bay mid-year market update

Plettenberg Bay has been one of the hottest property markets over the last five years, so much so, that Lightstone did an entire study of our market. The Report highlights the strength shown by the market, and highlights the excellent capital growth achieved over the last few years, reinforcing the strong case for investment in property here.

The demand for property is driven by a confluence of factors such as the climate and clean air, Blue Flag beaches, ocean and river access, natural surroundings, and proximity to the Garden Route and George. Above all, it is the attraction of a quiet lifestyle  devoid of the stresses of city living.

It is a destination to which you can escape to as often as you want with easy access from just about anywhere in the country. Those with second homes often spend extended periods here, especially during the tourist periods. Development over the last decade has added further to the attraction with fabulous estates which have become big sellers in terms of demand and prices achieved.

The Lightstone report reveals there are now 5 700 properties (outside of the townships). Almost 40% of properties have been bought over the last five years as Plett's popularity increased with remote workers, retirees, holidaymakers and working people from other provinces searching for a more relaxed lifestyle.

The report also highlights that Plett now has a high proportion of homes valued at over R3 million, comprising about three quarters of all property stock. This includes some 420 properties (about 7% of all stock) valued at over R10 million.

It also highlights that Plett now boasts a higher proportion of homes (36%) in estates and sectional schemes (21%) compared to the national averages of 18% (estates) and 18.5% (sectional schemes) for properties valued at more than R1 million. Freehold homes make up about 43% of all property stock.

Looking at the performance of the market for the first half of 2025, the data shows that 344 units transacted to the combined value of R1.4bn - this is about 15% up compared to the same period last year (298 in the first 6 months of 2024). That said, transactions volumes appear to have slowed from the second quarter.

Freehold property represents the highest volume of transactions, making up 41% (142 units) followed by estates at 33% (113 units, both freehold (95), and sectional titles (18) while sectional titles (not in estates) comprise 26% (89 units) of activity for this year. 

Average house prices for this year
The overall average transaction price for this year stands at R4.6m. This is about 15% higher compared to R4m for the same period in 2024, influenced by more high value properties transacting this year.

Sectional title property currently transacts at around R3.22m on average while freehold property (not in estates) transacts at R3.85m on average. Estate properties have transacted at an average price of R5.47m for freehold homes - notably higher than the average freehold price - and largely reflective of the high demand for secure properties.

The top estates in terms of average prices include Whale Rock Ridge (R11m), Brackenridge Nature Estate (R7.9m), Schoongezicht Country Estate (R5.5m), Whale Rock Heights (R4.6m), Baron's View (R3.8m), The River Club (R3.9m), and Goose Valley Golf Estate (R2.7m).

Lightstone data also highlights that sea views and ocean proximity is a boost for house prices in Plett. Keurbooms Lagoon - despite offering fewer properties - boasts the highest average values. Seaside Longships boasts the highest number of properties valued at over R5.3 million.

Assessing the most active price bands
The most active band is between R2 million and R4 million. About 12% of all transactions fall above the R5 million price band, these being predominantly in the estates such as Whale Rock Heights, Robberg Ridge, Brackenridge, Waterberry Ridge, Schoongezicht and Turtle Creek Golf Estate, along with suburbs such as Sea Side Longships, Lower Robberg, Bowtie and Poortjies.

High value transactions include 9 over the R10 million with 2 of these over R20 million, being in Seaside Longships (R33.5m), and Brackenridge Nature Estate (R20). There were also high value sectional title transactions at The Plett Quarter (2 transactions at R6.485m each), one at Lookout View (R5m), and one at Village Square (R5m).

Broadly speaking, the overall property market is showing improved house price growth after two flat years, Plett obviously being somewhat of an exception to the rule. The national average house price inflation  is around 3.7%, with the Western Cape continuing to outpace this, the coastal areas in particular achieving better prices compared to inland.

The interest rate outlook remains positive, but caution needs to be exercised given the uncertain global influences including the Trump Tariff impacts on the local economy with any downward pressure likely to also have a knock-on effect on demand and prices offered.

A particular issue highlighted by the Lightstone Report relates to overpricing in the Plettenberg Bay with some 85% of sellers having to adjust their prices to conclude a sale. This again underscores the importance of correct pricing. Experience has shown that setting the price at the correct level can achieve a more efficient sale and a better price.

Working with a credible and experienced agent with a track record of successful sales is ultimately the key to success. It will ensure that you are provided with an accurate estimate of what your property would be worth in the open market to attract serious buyers. If you would like to know more about what Seeff Plettenberg Bay can do for you, be sure to contact one of our agents today for award-winning advice and service.

Seeff Plettenberg Bay
044 533 0311
plett@seeff.com