For years, KZN has been a holiday and retirement favourite: a great climate, a perceived slower pace of life, a vast choice of stunning coastal and inland terrains, and a welcoming culture. In recent years, however, holidaymakers are no longer just visiting; they are exploring the residential market, buying or renting properties that present as affordable and lifestyle-focused, with great investment returns.
Myles Wakefield, CEO of Wakefields Real Estate, believes the province’s evolution is rooted in both its scale and legacy. “We’ve been in business for 85 years specifically focused on KZN, with 25 offices across the province,” he explains. “From Port Edward to Nottingham Road and up the North Coast, our footprint reflects where the real activity is happening.”
The KZN market activity accounts for roughly some 12-13% of South Africa’s entire property market, representing around R35-billion in sales, with some 24 000 transactions recorded last year. eTehkwini (Durban) is also placed in the top ten of the biggest ‘city’ economies on the African continent, due largely to its handling of the largest volume of general cargo in southern Africa and 60% of SA’s country’s trade revenue from the Dube Trade Port, with Richards Bay also playing a role.
This adds immense appeal as an economic attraction, particularly for young professionals and their families who are seeking to combine their lifestyle choices with improved job opportunities, and this, feels Wakefield, is where KZN is gaining an almost ‘silent’ grip over other more dominant regions from an affordability perspective.
“There is a growing sense that affordability pressures in the Western Cape are redirecting attention towards KZN. Whilst the Western Cape is appealing on so many levels, its high residential home pricing is not feasible for many. That’s where KZN starts to make a lot of sense,” explains Wakefield.
Popular regions
One area that best illustrates KZN’s affordability factor and economic growth is the North Coast corridor.
“Over the past 20 years, that whole stretch has changed dramatically,” says Wakefield. “If you look at Ballito and Salt Rock today versus two decades ago, the growth is substantial. Once dominated by holiday homes, this stretch is now a full-scale residential ecosystem, comprising estate developments, retail centres, and commercial nodes.”
Yet another band, and closer to Durban, is the Upper Highway area, which includes Hillcrest and Kloof, proving popular with families. “It’s a somewhat different market to other areas in the province,” says Wakefield. “There are great schools and strong communities, and it’s cooler than the coast. At the same time, you’re still close to eThekwini for work.”
The South Coast is also evolving from being perceived as a holidaymaker destination or retiree node. “Whilst it’s always been attractive because of affordability and lifestyle, post-pandemic saw more people choosing to live along the South Coast full-time,” says Wakefield.
“This shift has been subtle, but I see this as more meaningful. As more permanent residents move in, local economies begin to diversify and grow, bringing with them an increase in hubs of activities and, most importantly, infrastructure development.
“This investment in infrastructure is strengthening KZN’s position. Major road upgrades across the province are improving connectivity, particularly between Durban, Pietermaritzburg, and the North Coast. But there’s an even bigger picture in play,” says Wakefield. “When these projects are completed, they’ll provide a real boost to the province’s desirability.”
Some of these route upgrades may have even motivated the increase of development across Hilton through Howick and Nottingham Road. “It’s always been a beautiful area, but growth has accelerated in recent years. Buyers who opt for quieter, more rural environments yet wish to retain good connectivity to urban centres, are being catered to by estate-living lifestyles that integrate with the natural landscape for which the Midlands is hailed. Developers are being careful,” he notes. “They’re creating spaces that fit the environment, not overpower it.”
Estates dominate
Across all these regions, one trend stands out: the rise of estate living. “If you compare today to two decades ago, estate developments have grown the fastest,” says Wakefield. “They dominate many of the top-performing suburbs, with development across all price points from first-time homeowners to luxury.
This applies equally to the rental market. “The volume of rental enquiries is extremely high,” he says. “That demand is starting to feed into the sales market as affordability improves.”
Residential property investors also score as a result. According to Wakefield, investor activity in KZN has more than doubled — from around 5% of buyers to 12% in the past year. “This upward trend signals growing confidence, which if you factor in the strong rental demand, is creating opportunities for buy-to-let investors.”
Another interesting factor is that those who live in the region still holiday in the province. Wakefield and his family do this from time to time. “KZN is a place with a lot going for it. You’ve got a great climate, especially mild winters, with the coast, the mountains, and the bush, all within a couple of hours of travel.
“Many visitors are now choosing to live where they used to holiday, which tells us that the housing market here is not purely seasonal but increasingly sustainable year-round. Right now you can still get good value in the residential space. How long that will last is anybody’s guess given macroeconomic factors like higher cost-of-living increases, inflation, and the interest rate. I am certain though, that even those factors make a case for choosing KZN as the perfect permanent home base.”
