Cape Town and the surrounding coastal towns and villages boast a significant short-term rental market which is set to once again boom this summer as local and international visitors are finally set to return in their numbers.
Ross Levin, MD for Seeff Atlantic Seaboard and City Bowl, said on Monday, that this could be a massive summer season for Cape Town with rates and occupancy expected to reach, and possibly exceed pre-Covid-19 levels.
Following the pandemic, there is pent-up demand for travel from both the local and international market. Many hotels and rental establishments are already fully booked, and the expectation is for a full recovery this summer. International visitors are also eagerly looking to return to the sunny shores of SA.
Tourism across the festive season brings a significant boost to the rental market. He said further that short-term rates were generally back on par with pre-Covid-19 levels.
Average rental rates in Cape Town, according to Booking.com, range from around R1 000 to R3 000 per day with top-end properties such as apartments close to the beaches ranging upwards of R3 500 to R5 500 per day. Villas tend to range from around R8 000 to R18 000 per day.
Ciska de Vries, short-term rentals agent for Seeff Hermanus said their market had bounced back very well with bookings increasing 71.55% last year. This year, normal weekend bookings have doubled while long weekends and school holidays have been fully booked.
Seeff Hermanus’ short-term rental stock is already booked well in advance for 2023 with guests expected to arrive from around mid-December with booked periods ranging from 14 to 21 days. The short-term market has been helped by people looking for shorter periods such as three to six months for reasons such as work or extended breaks. People moving down to the coast also often rent for a short period before buying their new home. Short-term rental rates for Hermanus and surrounds have varied greatly depending on the time of year and the property. You could for example rent from around R1 000 per day or upwards of R3 750 to R7 750 per night for a top end home, according to de Vries.