Gross rental yields in South Africa: Cape Town and 5 other cities

The average gross rental yield in South Africa stands at 9.95% (Q3, 2023).

  • Johannesburg
  • Cape Town
  • Durban
  • Centurion
  • KZN South Coast
  • Dolphin Coast
  Last Updated: Sep. 5, 2023
JOHANNESBURG - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Sandton  
Studio $37,915 $464 14.69%
1-Bedroom $45,105 $438 11.65%
2-Bedroom $68,931 $663 11.54%
3-Bedroom $106,077 $849 9.60%
Johannesburg CBD  
1-Bedroom $22,818 $197 10.36%
2-Bedroom $34,227 $263 9.22%
Bedfordview  
1-Bedroom $36,084 $478 15.90%
2-Bedroom $61,025 $531 10.44%
3-Bedroom $95,464 $1,008 12.67%
Randburg      
1-Bedroom $32,370 $337 12.49%
2-Bedroom $41,391 $398 11.54%
3-Bedroom $66,331 $584 10.57%
Johannesburg avg. Rental Yields 11.72%
CAPE TOWN - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Cape Town City Bowl  
Studio $87,557 $512 7.02%
1-Bedroom $103,742 $637 7.37%
2-Bedroom $116,743 $645 6.63%
Atlantic Seaboard  
1-Bedroom $137,969 $796 6.92%
2-Bedroom $262,672 $1,247 5.70%
3-Bedroom $504,118 $2,123 5.05%
Southern Suburbs  
1-Bedroom $68,719 $398 6.95%
2-Bedroom $92,864 $610 7.88%
Milnerton  
1-Bedroom $67,101 $478 8.55%
2-Bedroom $87,557 $604 8.28%
Bellville  
1-Bedroom $37,410 $371 11.90%
2-Bedroom $67,340 $451 8.04%
Cape Town avg. Rental Yields 7.52%
DURBAN - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Umhlanga  
1-Bedroom $67,658 $531 9.42%
2-Bedroom $127,091 $716 6.76%
3-Bedroom $212,260 $1,274 7.20%
Durban Central  
1-Bedroom $25,896 $265 12.28%
2-Bedroom $36,880 $337 10.97%
Amanzimtoti  
1-Bedroom $36,084 $345 11.47%
2-Bedroom $48,555 $414 10.23%
3-Bedroom $74,238 $642 10.38%
Pinetown  
1-Bedroom $31,574 $308 11.71%
2-Bedroom $37,092 $371 12.00%
Durban avg. Rental Yields 10.24%
CENTURION - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Centurion (all locations)  
1-Bedroom $31,441 $324 12.37%
2-Bedroom $41,921 $356 10.19%
3-Bedroom $75,352 $610 9.71%
Centurion avg. Rental Yields 10.76%
KZN SOUTH COAST - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
KZN South Coast (all locations)  
1-Bedroom $29,186 $265 10.90%
2-Bedroom $42,452 $364 10.29%
3-Bedroom $63,678 $462 8.71%
KZN South Coast avg. Rental Yields 9.96%
DOLPHIN COAST - Apartments COST ($) YIELD (p.a.)
TO BUY MONTHLY RENT
Ilembe  
1-Bedroom $58,372 $451 9.27%
2-Bedroom $91,272 $663 8.72%
3-Bedroom $155,215 $876 6.77%
Dolphin Coast avg. Rental Yields 8.25%
All yields are gross - i.e., before taxes, repair costs, ground rents, estate agents fees, and any other costs. Net yields (what you´ll really earn) are typically around 1.5% to 2% lower.
Source: Global Property Guide and Gumtree
South Africa´s Historic Rental Yield Data

Research Methodology: To conduct this research, we searched for studio, 1-bedroom, 2-bedroom, 3-bedroom, and 4-bedroom apartments in South Africa. We used the local real estate listing website for both buying and renting prices to determine the average gross rental yields (Monthly Rent x 12 / Purchase Price).

For instance, if the monthly rent is $500 and the purchase price is $100,000, the calculation would be: $500 (Monthly Rent) x 12 / $100,000 (Purchase Price) = 6% (Gross Rental Yield).