Airbnb vs Long Term Property Investment in Cape Town: Is the Bubble About to Burst? 🇿🇦🏡 episode artwork

EPISODE · Jun 30, 2025 · 9 MIN

Airbnb vs Long Term Property Investment in Cape Town: Is the Bubble About to Burst? 🇿🇦🏡

from The Property Corner with Rowan Alexander · host Rowan Alexander

Cape Town’s property market has changed dramatically since 2019. Back then, sellers were desperate and properties were going well below asking price. Now in 2025, short term rentals like Airbnb are booming, especially along the Atlantic Seaboard and in the CBD.But is it sustainable?In this video, I unpack the risks behind the current short term rental craze and explain why I am focusing on long term investments in more stable suburbs like Durbanville, Century City and Rondebosch. From inflated Airbnb returns to the hidden costs most people ignore, I show why long term property offers better consistency, lower risk and stronger overall returns.We cover:✅ What is driving the Airbnb trend✅ Actual occupancy stats and income figures✅ The real costs most investors forget✅ How locals are being priced out of the city✅ Where to find long term value in Cape TownIf you are a first time investor or looking to grow your portfolio, whether you are based in South Africa or abroad, this video offers a grounded and honest view of the market.Book a free consultation and let us talk property. Read the full articles:● https://www.moneyweb.co.za/moneyweb-podcasts/the-property-pod/rampant-demand-for-short-term-residential-rentals-in-cape-town● https://www.property24.com/articles/time-to-buy-cape-town-luxury-home-prices-fall-by-up-to-r10m/28734● https://www.dailymaverick.co.za/article/2024-07-28-average-capetonians-cant-afford-any-of-the-new-apartments-on-atlantic-seaboard● https://www.property24.com/brackenfell/protea-heights/property-trends/9602● https://www.property24.com/durbanville/property-trends/439● https://www.bizcommunity.com/article/international-buyers-drive-capes-luxury-property-sales-587450a● https://www.bizcommunity.com/article/capitalising-on-investment-potential-in-cape-towns-northern-suburbs-583140aIn this episode:00:00 Chasing Quick Returns00:31 2019 Cape Town and Atlantic Seaboard Buyer Shortage01:16 2025 Surge in Short Term Rental Demand01:32 Rampant Demand for Short Term Residential Rentals in Cape Town02:08 2019 vs 2025 Short Term Rental Demand02:49 Seasonal Fluctuations and Increased Operating Costs03:29 Average Annual Revenue per Annum for Airbnb in Cape Town03:47 Management Demands of Airbnb04:20 Are We in a Bubble and Are There Any Warning Signs?04:58 Risks of Short Term Rental Investors Fueling the Market05:27 Airbnb Disrupting the Global Property Market05:59 Cape Town Exploring Short Term Rental Market Regulations06:22 Understated Rental Income and Tax06:35 The Conclusion06:45 Stable Long Term Investments Cape Town Suburbs Have to Offer07:00 Consistent Demand and Long Term Growth07:34 Who Is Airbnb a Good Fit For?07:42 Is Your Aim Long Term Wealth Creation?08:05 Best Real Estate Returns08:21 Reach Out and Book a Free ConsultationSubscribe to us on your favourite podcast platform : Youtube: http://youtube.com/@propertycornerzaSpotify: https://shorturl.at/horJTApple Podcasts: https://shorturl.at/alFG7

Cape Town’s property market has changed dramatically since 2019. Back then, sellers were desperate and properties were going well below asking price. Now in 2025, short term rentals like Airbnb are booming, especially along the Atlantic Seaboard and in the CBD.But is it sustainable?In this video, I unpack the risks behind the current short term rental craze and explain why I am focusing on long term investments in more stable suburbs like Durbanville, Century City and Rondebosch. From inflated Airbnb returns to the hidden costs most people ignore, I show why long term property offers better consistency, lower risk and stronger overall returns.We cover:✅ What is driving the Airbnb trend✅ Actual occupancy stats and income figures✅ The real costs most investors forget✅ How locals are being priced out of the city✅ Where to find long term value in Cape TownIf you are a first time investor or looking to grow your portfolio, whether you are based in South Africa or abroad, this video offers a grounded and honest view of the market.Book a free consultation and let us talk property. Read the full articles:● https://www.moneyweb.co.za/moneyweb-podcasts/the-property-pod/rampant-demand-for-short-term-residential-rentals-in-cape-town● https://www.property24.com/articles/time-to-buy-cape-town-luxury-home-prices-fall-by-up-to-r10m/28734● https://www.dailymaverick.co.za/article/2024-07-28-average-capetonians-cant-afford-any-of-the-new-apartments-on-atlantic-seaboard● https://www.property24.com/brackenfell/protea-heights/property-trends/9602● https://www.property24.com/durbanville/property-trends/439● https://www.bizcommunity.com/article/international-buyers-drive-capes-luxury-property-sales-587450a● https://www.bizcommunity.com/article/capitalising-on-investment-potential-in-cape-towns-northern-suburbs-583140aIn this episode:00:00 Chasing Quick Returns00:31 2019 Cape Town and Atlantic Seaboard Buyer Shortage01:16 2025 Surge in Short Term Rental Demand01:32 Rampant Demand for Short Term Residential Rentals in Cape Town02:08 2019 vs 2025 Short Term Rental Demand02:49 Seasonal Fluctuations and Increased Operating Costs03:29 Average Annual Revenue per Annum for Airbnb in Cape Town03:47 Management Demands of Airbnb04:20 Are We in a Bubble and Are There Any Warning Signs?04:58 Risks of Short Term Rental Investors Fueling the Market05:27 Airbnb Disrupting the Global Property Market05:59 Cape Town Exploring Short Term Rental Market Regulations06:22 Understated Rental Income and Tax06:35 The Conclusion06:45 Stable Long Term Investments Cape Town Suburbs Have to Offer07:00 Consistent Demand and Long Term Growth07:34 Who Is Airbnb a Good Fit For?07:42 Is Your Aim Long Term Wealth Creation?08:05 Best Real Estate Returns08:21 Reach Out and Book a Free ConsultationSubscribe to us on your favourite podcast platform : Youtube: http://youtube.com/@propertycornerzaSpotify: https://shorturl.at/horJTApple Podcasts: https://shorturl.at/alFG7

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Airbnb vs Long Term Property Investment in Cape Town: Is the Bubble About to Burst? 🇿🇦🏡

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Cape Town’s property market has changed dramatically since 2019. Back then, sellers were desperate and properties were going well below asking price. Now in 2025, short term rentals like Airbnb are booming, especially along the Atlantic Seaboard and...

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