Property Advice

Investing in property on the South African coastline just got easier

Private Property South Africa
Aiden Sookdin |
Investing in property on the South African coastline just got easier

We’re all aware of the crisis facing international property markets. With everything heading south, is the ownership of a second property on the coast of South Africa a good investment?

According to Dina Porteous, area principal for Pam Golding Properties in Margate, this is one of the best investments you can make if you’re focused on a long-term view. “Look at it as a savings account and that you’re building wealth through property rather than saving the money in the bank for your retirement.”

How would you go about purchasing this property if you already own another home? Here’s one way that you could secure a bond on your second property with very little effort and six buying tips for you to consider when purchasing the property. By following this process, you can rest assured that you’ll profit from this long-term investment opportunity.

Now You Can Get Your Slice of Retirement Paradise with Very Little Effort

When you purchase a coastal property, you’ll probably have to acquire a second bond over and above your existing one. Most of us don’t have the time to visit various banks and lending institutions to acquire these loans. This is where the services of a mortgage originator come in.

Sifiso Msomi, of Shepstone & Wylie Attorneys’ property department, explains that the key function of a mortgage originator is to introduce a lender to a borrower with very little effort on the buyer’s side. The mortgage originator will apply to the financial institutions and negotiate your home loan on your behalf.

An added bonus is you only need to fill out one application and most of this can be done online. The mortgage originator only requests one relevant set of supporting documentation and everything else is done for you. This allows you time to focus your attention on the type of property you’d like to purchase, while they negotiate the perfect loan to suit your investment requirements.


This makes getting your loan and property so much easier. Here’s what you need to do to get your hands on the best coastal property to secure the best returns!

6 buying tips for a coastal property:

A house situated in close proximity to a beach with a sea view represents a sound investment.

Coastal properties with easy access to amenities, such as schools, hospitals and shopping centres, have quicker turnaround times if you need to sell.

Look for an area that has its own Active Policing Forums. South Coast areas, such as Ramsgate, Southbroom and recently Uvongo, have achieved major successes with keeping their areas virtually crime-free.

Look at the letting possibilities of the property. You could opt for a letting income should there be a need for it.

Or look at a sectional title property with good letting income that could assist you with paying off your bond sooner. When you’re ready to retire, you can sell this property and buy your dream retirement home next to the golf course, if you so wish.

A house that stands in a secure gated estate with sea views can be developed over a few years giving you an opportunity to create a property investment while enjoying the best of both worlds.

And if you’re still not convinced consider these added benefits:

Coastal properties hold their value better than inland property due to the popularity of holiday homes.

There is great international demand for holiday home rentals close to the coast.

The relaxation factor and the final reward are undeniably worth the effort.

Properties that sold for R250 000 15 years ago are currently selling for R2.5m or more. So the expected return on your coastal investment could help you profit greatly when you finally retire.


As published in issue 71 of

Looking for a new tenant?

Advertise your property to rent quickly and easily on our site

Find out more

Related Articles

Property investment for beginners: types of investment properties
Jackie Gray-Parker | 17 Jul 2019

Property investment for beginners: types of investment properties

Here's our guide on investing in different types of property, primary property, buy-to-let, offshore buy-to-let and listed property.

Further repo rate cut will provide impetus to housing market activity
Pam Golding | 21 Nov 2024

Further repo rate cut will provide impetus to housing market activity

A repo rate cut is set to boost housing market activity, driving affordability and increasing demand, making it a pivotal step for growth in the real estate sector.

Investing in Residential Real Estate
Cathy Nolan | 18 Apr 2013

Investing in Residential Real Estate

Buying property has always been seen as one of the most stable and reliable investments one can make. Has this changed after the recession or does it still carry weight?

sample image of property alerts

Get instant property alerts

Be the first to see property alerts for your area.
;