Semigration could boost inland cities in 2026

“Reverse semigration” could be an opportunity for urban agencies outside Cape Town.

Estate agents report that housing demand is shifting away from the coast and back towards inland provinces, especially Gauteng. In Absa’s latest Homeowners Sentiment Index, investor confidence increased in inland provinces in Q4, but not on the coast.

That would be a big reversal of last year’s trend. Last year, we shared reports that the Western Cape receives more net migration than any other province, while Gauteng has the most net emigration.

Why? Inland provinces tend to be more affordable. According to the latest PayProp Rental Index, the Western Cape has the highest average rents in the country by some distance. The average rent in the province sat at R11 894, and is on track to pass R12 000 this year – high enough that it is reportedly shutting out young professionals, especially those who want to buy in the future.  

Meanwhile, the average rent in Gauteng is around R2 400 less a month, and rental growth has been slower. If that trend continues through 2026, the incentive to move inland will get even stronger. Young professionals in South Africa’s growing tech sector can also reportedly make more money in Johannesburg than in Cape Town.

Agents in inland cities could capitalise on the trend by advertising to Western Cape residents. According to agents, the people moving to Johannesburg and elsewhere are looking for urban lifestyle living, walkability, proximity to jobs, and local amenities – all for a lower price than on the coast. Properties that tick those boxes could tempt movers to semigrate.

For agencies looking to grow in 2026, understanding where tenants are moving, and why, could be as important as what they can afford.