As of December 2024, Cape Town saw a significant increase in its Airbnb listings, with 25,816 properties available.
This is nearly 2,800 more than in March 2024 and represents a surge of over 5,000 listings since September 2023, when there were just 20,583.
The rise in short-term rentals has caught the attention of city officials, as Cape Town’s number of listings is now comparable to other global cities like Mexico City (26,281), Tokyo (21,058), and Istanbul (29,400).
However, Cape Town’s Airbnb market is still small compared to some major cities like London, which boasts over 95,000 listings, and Paris, with more than 91,000.
Where Are Cape Town’s Airbnbs?
When it comes to locations, Cape Town’s most sought-after areas for Airbnb properties are in and around the city center.
Neighborhoods like Sea Point, Camps Bay, and Clifton are particularly popular, drawing both tourists and business travelers.
The city’s Central Business District (CBD) alone holds more than four times the number of listings than most other areas.
However, while the CBD has a high concentration of Airbnb properties, it’s the more affluent areas, such as Camps Bay, Clifton, Bishopscourt, and Constantia, that command higher rental prices.
These areas are particularly attractive to visitors looking for luxury stays.
Furthermore, properties near Stellenbosch, known for its wine country, are also highly priced, appealing to tourists looking for a countryside experience.
The Impact of Multi-Listing Owners
Originally, Airbnb was intended for homeowners to rent out a room or a small flat for extra income.
However, a growing trend of multi-listing operators has emerged in Cape Town. Around a third of the properties listed on Airbnb are managed by operators who own 10 or more listings.
This has led to an increase in the number of large rental operations in the city, which contrasts with the initial concept of the platform.
As of now, 15,588 out of Cape Town’s 25,816 listings are managed by owners with multiple properties.
While this is a common trend in many parts of the world, it contrasts with cities like Paris, which have stricter regulations that limit the number of days a property can be rented out short-term.
In Paris, for example, short-term rentals are capped at 90 days per year, which has started to shift the dynamics of the market.
A Shift Toward Long-Term Rentals in Some Cities
In cities like Montreal, regulations are also evolving.
Montreal has introduced policies that encourage Airbnb operators to focus on long-term rentals rather than short-term stays.
In contrast, Cape Town still relies heavily on short-term rentals, with a staggering 98.6% of its Airbnb listings being for temporary stays.
The impact of this shift is felt in cities worldwide as the debate around the availability of long-term housing versus the convenience and profit of short-term rentals continues.
The situation in Cape Town echoes global concerns about housing affordability and availability, especially in urban areas where Airbnb listings are rapidly increasing.
