Knysna, a picturesque coastal town in the Western Cape, is experiencing a surge in property sales, with average sales values rising from around R1.97 million in 2022 to approximately R2.7 million in 2026, a 37% increase. This growth is largely driven by lifestyle migration, semigration, and the ability of buyers to self-provision against unreliable municipal services, according to Paul Stevens, CEO of Just Property.
Stevens notes that Knysna isn’t behaving like a normal distressed town, instead, it’s behaving like a lifestyle-driven, semigration-magnet coastal node, with buyers drawn to its natural beauty and small-town charm. Statistics South Africa data shows that the town’s population is growing, with many people relocating from other parts of the country, particularly Gauteng and KwaZulu-Natal.
What’s Driving the Growth?
The town’s resilience is being driven by the growing ability of buyers to self-provision against unreliable municipal services, such as securing their own water storage, solar power, and gas. Many buyers are also drawn to the town’s estates, which offer stability and reliable governance, according to Stevens. Estates such as Pezula Golf Estate, Simola, Thesen Island, and Belvidere are particularly popular, with luxurious homes regularly achieving multi-million-rand prices.
Market Trends
Current market trends indicate that the high end of the market remains strong, with many buyers paying cash or putting down hefty deposits. According to Stevens, many of Just Property’s buyers are relocating from other parts of the country, and are drawn to the town’s lifestyle value, which outweighs the municipal risk. Some of the current Knysna property price bands include:
- Entry-level homes: R1.5 million – R3 million
- Mid-range homes: R3 million – R6 million
- Luxury homes: R6 million – R15 million
Stevens advises buyers and landlords to plan with service delivery realities in mind and to budget accordingly for self-sufficiency. As the town continues to grow and develop, it’s likely that the property market will remain strong, driven by the town’s natural beauty and lifestyle appeal.
For more information on the town’s property market, visit the South African Reserve Bank website, which provides data on the country’s property market trends.</p)
