IGrow reviews Moneyweb’s “The Property Pod”
At IGrow Wealth Investments, we aim to provide our investors with insights and strategic plans that align with current property trends.
A notable development in recent years in South Africa is the surge in demand for short-term rental properties. This is discussed on The Property Pod, Moneyweb’s property podcast. The episode we will be reviewing is Overtourism, ‘not an issue for Cape Town’. You can listen in on Spotify, MoneyWeb Radio or on Apple Podcasts. The Property Pod has new episodes weekly, on Tuesdays and is South Africa’s leading property investment podcast. It provides listeners with exclusive insights, analysis, and topical conversations with top property investment experts, property developers, and specialists in the property market.
In each new episode of The Property Pod, South African property market trends are discussed. Ideas such as financing strategies, government policy surrounding property, and investment opportunities are delved into. This podcast appeals to both novice and seasoned investors, providing them with insider knowledge and insights and property expert forecasts, to help influence smart property investment decisions.
The host, Suren Naidoo, speaks to Nick Taylor, the Managing Director of Nox (short-term rental property management) in Cape Town. Their conversation sheds light on how South Africa, and Cape Town in particular, has become a worldwide tourism hotspot with a high demand for short-term rentals. They delve into why many locals are investing in the profitable short-term rental market.
This episode of The Property Pod pinpoints key takeaways for IGrow investors. It will show you why short-term rental property investments are a lucrative option for investors in South Africa.
Background on “The Property Pod” and its host
The Property Pod is known as a leading property investing podcast in South Africa. The podcast is hosted by Sureen Naidoo, who is the Deputy Editor of Moneyweb. It dips into real estate and property investing matters. Sureen is an expert business journalist who has a keen interest in property and investing in general. His podcast features discussions with leading voices in the local property market.
Background on the podcast guest: Nick Taylor
In this episode, Sureen chats to Nick Taylor, the Managing Director of Nox Cape Town. Nox is a top short-term rental management company that specialises in luxurious homes and apartments on Cape Town’s Atlantic Seaboard. The company manages properties worth a total of around R2.5 billion. Nox Cape Town handles property management for exclusive villas and apartments.
Nick is the MD and a property owner himself. This gives him both operational and homeownership perspectives on short-term rentals and their perks. Nox has positioned itself as a bridge between South African property investors and the bustling tourist hub that drives the strong demand for short-term rentals in Cape Town.
Short-term rentals on the rise in Cape Town
In this Property Pod discussion, it is shown that short-term letting in Cape Town is surging. Nick explains that Cape Town is a tourist hub attracting visitors from the UK, Europe, and, increasingly, from America. Nick explains how this demand creates excellent rental yield potential in the short-term rentals market.
“The majority of short-term rentals on the Atlantic Seaboard are owned by local [South African] investors.” – Nick Taylor, Managing Director of Nox Cape Town (Source)
This is perhaps unexpected, given the numbers: “Airbnb has over 100,000 properties in South Africa,” says Nick Taylor (Source)
This statistic highlights the great opportunities for investors to turn a profit from short-term letting of their investment properties.
Why are short-term rentals worthwhile investments for IGrow’s investors?
For IGrow investors, this episode pinpoints several key reasons why short-term rentals are a lucrative property investment strategy.
They offer high rental outputs
With continuous tourist demand from both South Africans and foreign tourists and digital nomads, short-term rentals generate far higher income than long-term rentals.
Capital appreciation is a plus factor
Properties found in the Atlantic Seaboard and other desirable Cape Town areas like Somerset West with stunning scenery and incredible lifestyle options will keep appreciating in value. The short-term letting of these properties offers excellent Return on Investment (ROI) and property value growth.
IGrow also has a selection of excellent short-term rental investment opportunities in Johannesburg that offer excellent ROI. Johannesburg, being a business hub, attracts travelling businessmen and women seeking short-term rentals in the vicinity of business hubs, as well as parents visiting their children in prestigious boarding schools, and those attending large concerts and sporting events. It also attracts tourists and businesspeople from abroad looking for excellent short-term rentals.
Digital nomads are on the rise, and looking for short-term rentals
All over South Africa, there is an increase in digital nomads seeking short-term accommodation. View a recent blog post about a premium estate, Mzuri, in Somerset West (Cape Town), offering both short-term rental potential or permanent homes ideal for digital nomads seeking the wonderful Cape lifestyle.
Flexibility in terms of usage of the property
Investors can utilise their short-term rental properties for personal use, as they please. Certain investors use their property for their own getaway for a portion of the year, and let it out via short-term let for the remainder of the year (especially in peak season).
Professional property management ensures successful letting
Companies like Nox Cape Town offer short-term property rental management and take the hassle out of running their properties for investors. Short-term Rental Managers take care of your marketing, handle bookings, any housekeeping coordination and guest liaison.
Tourism is prominent in South African coastal areas
Cape Town and its surrounding suburbs remain an idyllic destination for both overseas and local tourists.
Key Takeaways from This Episode of The Property Pod
Nick Taylor provides several important ideas for property investors looking into short-term rentals and investments:
- Tourism and accommodation demand is growing: Cape Town, being positioned as a prime tourist destination, ensures steady occupancy rates.
- South Africans along the Cape coastline are the top investors in short-term rental investment properties: The majority of the lucrative Atlantic Seaboard short-term rental properties are owned by South Africans.
- The short-term rental pool is significant: There are over 100,000 Airbnb properties in South Africa. This shows us that the short-term rental market is a major player in the South African world of property.
- Luxury properties are in high demand: Luxury, well-managed properties offer investors excellent ROI.
IGrow Wealth Investments is offering you high-demand short-term rental properties
At IGrow, we have seen the opportunity that the short-term rental market presents to our investor clients.
IGrow currently has 2 properties with short-term rental potential in Cape Town, with more coming to market soon!
The Kingsley, Mowbray, Southern Suburbs, Cape Town
The Kingsley, in Mowbray, Southern Suburbs, Cape Town, is a student accommodation haven and short-term letting option perfect for graduate students from overseas or other parts of the country. The complex offers 1-bedroom 1-bathroom apartments from R1,119,000.
The Kingsley is only 750m from the University of Cape Town campus and the Amazon headquarters (for working professionals or interns). It’s also very close to all of Cape Town’s hiking trails, beaches, and the CBD attractions. The apartments are stylishly fitted, offering luxury, modernity and comfort. The short-term letting option available at these units offers excellent rates, being situated in a prime location, only 3km from iconic Table Mountain.
Mzuri Estate, Somerset West, Cape Town
Mzuri Estate in Somerset West is a short-term letter’s paradise. The estate offers 3-bedroom terrace homes and Luxury 3 & 4 Bedroom Free-standing Homes, starting from R2,610,300. The estate offers optimal luxury and comfort, making it an ideal choice for travelling families, businesspeople, and digital nomads.
Mzuri estate has walking and running trails on the estate. There’s a beautiful dam too, where you can kayak or enjoy a picnic and sundowner with friends and family. Some properties at Mzuri have dedicated home offices, and all of them have excellent WiFi available, ideal for remote workers. The estate is also pet-friendly. Contact an IGrow Real Estate International Specialist if you’re interested in an investment property at Mzuri Estate, as we have limited plot-and-plan options still available.
IGrow has a short-term rental option available now in Johannesburg
The Residency, Hurlingham, Sandton, Johannesburg
The Residency, a new launch in Hurlingham, Sandton, Johannesburg, offers a prime short-term rental investment. There are fully furnished, 2-bedroom, 2-bathroom apartments from R1,495,000. The building was originally a hotel. Its rental units are available as short and long-term lets.
The Residency, being close to the heart of Sandton, means your guests can enjoy dining out nearby, they can make use of close-by sports facilities, spas in the area, nightlife or spectacular shopping malls. It’s just a quick Bolt or Uber drive to the Gautrain Sandton station for international guests and business travellers who need to access Sandton’s business district. It is around the corner from Wanderer’s cricket stadium and several of the country’s top boarding schools for visiting parents.
Investing in short-term rental properties means you are accessing one of the fastest-growing sectors in real estate today. If you opt to buy a well-located short-term rental property, with the expert IGrow team by your side, you can receive excellent rental income and capital growth.
Why is it a good idea to listen to property podcasts as an investor?
If you are serious about generating wealth through property investment, listening to property investment podcasts in South Africa is a smart way to stay ahead of the game. Podcasts like The Property Pod offer insider insights into leading voices in the industry, such as Nick Taylor, who has first-hand experience of specific types of property investing.
By listening to a property podcast, investors can:
- Discover property market trends, such as the lucrative short-term rentals market.
- Gain insight into the risks and profitability linked to property investment.
- Hear first-hand accounts from property market professionals, some of whom manage billions in property assets.
- Align your strategies with current market developments and trends that will boost the profitability of your property portfolio.
At IGrow, we recommend that our clients utilise resources like The Property Pod to grow their property investment knowledge.
IGrow also offers highly insightful weekly webinars led by Jacques Fouché, IGrow CEO and Founder and the IGrow team. We also have a handy IGrow Wealth Investment YouTube Channel, should you wish to view some handy property investor insights.
Key Takeaways
This episode of The Property Pod provides listeners with a handy window into the short-term letting world, with a particular focus on Cape Town. Nick Taylor highlights the scale and demand of this short-term rental sector, where the market is booming.
For investors, the key message is that short-term rental properties offer lucrative investment vehicles to turn an excellent profit. Cape Town attracts local and global short-term visitors. While Johannesburg attracts tourists and businesspeople looking for safe and accessible short-term accommodation.
Digital nomads are looking for accommodation in a short-term and long-term rental capacity right across South Africa. This draws in an additional market for a short-term rental property investor at IGrow.
It is important to note that the majority of these short-term rental properties are owned by South Africans. This shows that local investors are already tapping into the short-term rental market and reaping the rewards!
Conclusion
At IGrow, we are happy to help our clients invest in this dynamic property market sector. With IGrow’s short-term rental properties currently available in Cape Town and Johannesburg, now is the right time to capitalise on this trend.
Watch this space, later this month, we will be posting an exclusive interview with a short-term rental property owner for even more first-hand short-term rental property investor insider tips.
Contact an IGrow Property Investment Specialist today, and let’s start planning your short-term rental property investment journey.
