Beachfront holiday unit rents for R900 a night; the bond is only R6 500

Every year, local and international tourists flock to South Africa’s coast.

In 2025, 6.8 million South Africans took an overnight trip to a coastal location, about 40% of all overnight trips.

The country also recorded 10 million international visitors. They have to stay somewhere. Why not in a holiday rental?

Is there money to be made in holiday rentals?

According to a recent Harcourts listing, buyers can purchase a 1-bedroom flat for R650 000 in Amanzimtoti.

The flat on Beach Road is minutes from the beach and Amanzimtoti’s seaside amusements, making it the perfect place for a holiday rental.

The bond on this property would be R6 489 a month if a buyer doesn’t have a deposit, and rates, levies and taxes total R3 296 a month.

Together, a buyer would pay R9 785 a month to own the property.

However, they could get roughly R900 to R1 300 a night renting the unit to holidaymakers.

Other 1-bedroom flats in the same block make about R990 a night in the low season and list for R1 300 a night during peak season.

Data from AirROI, a holiday accommodation analytics tool, shows Durban holiday rentals make the most money in December, when the average Airbnb host earns R24 700.

However, this can dip to as low as R11 900 a month in quieter months.

According to Accounter’s accounting software, rental yield on a flat like the one in Amanzimtoti is 6.02%.

Buyers can expect to earn R39 470 in net revenue from the listing.

Amanzimtoti may also be the best option for buyers wanting to enter short-term letting.

Durban is nearby, and seaside real estate is still affordable.

The downsides to buying a rental unit

While a buyer could make R137 005 a year from the property, they’ll only walk away with half of that after maintenance, upkeep and fees.

Occupancy rates (and even reviews and ratings) could mean they make less.

Durban rentals are booked for one-third of their available dates, according to AirROI.

But buyers have to be realistic about their unit’s performance.

The median monthly income for Durban’s holiday rentals is R12 700. After deducting expenses, an owner may not make any profit.

Expense	Estimated Monthly Cost
Bond	R6 489
Rates	R696
Levies	R2 600
Maintenance	R820
Insurance	R1 000
Maintenance Fees	R810
Total	R12 415

Then, buyers have to consider the legalities of short-term lets.

Currently, Durban short-term lets don’t need permits to operate. But whether the business model will be permitted depends on body corporate approval.

South Africans have a contentious relationship with Airbnb and other holiday rental services.

While many use these services while travelling, they don’t want neighbours who are coming and going and making noise.

As reported in SA People, anyone who wants to make extra cash by renting to holidaymakers must consider the impact on neighbours and the neighbourhood.

In Cape Town, some residents have been pushing for stricter Airbnb rules.

If they succeed, this could set a precedent for the rest of the country that allows short-term lets to be treated similarly to hotels.

Long-term letting as a backup to holiday rentals

But holiday rentals aren’t the only option.

If buyers want to ring-fence themselves against changing legislation, they can consider long-term rentals.

However, long-term lets don’t have the same rental yield in Amanzimtoti.