Are platteland homes valuable investments?

May 19, 2022 10:45:37 PM

Big players in the real estate investment sector often have a clear focus on the metros when it comes to growing their portfolios. Why not? Demand is high, capital growth is consistent and economic expansion occurs regularly. Where does that leave small towns off the radar?

There is no doubt that hybrid work models brought on by the pandemic have completely changed perceptions about where you can live, so even though the appeal of faraway dorpies has risen, is there value in the investment?

The answer is, yes!

Value can be measured on several different levels, and quantifying this return on investment should be explored extensively. Here are a few key topics to pack out.

Lifestyle choices

The main reason we see people from all walks of life enquire about small town living is the incomparable lifestyle it offers. The fresh air of the mountains, the dusty roads settling on your stoep every morning or the fact that the kids can roll to school on their bikes. Lifestyle has always influenced property buying and the value of that is immeasurable.

The emotional impact it has on your family or yourself cannot be measured in rand value and therefore the return in investment is calculated whilst you are occupying the property. That is where your investment lives.

Financial benefits

The monetary returns are equally appealing and usually written off when identifying a change in lifestyle. Yes, there is demand for property in smaller towns, especially along the coastal regions. However, don’t write smaller regions inland off either.

A key factor that needs to be taken into consideration is that often property is more affordable in smaller towns. Therefore, if you play your cards right, you can still have that investment flat in the big city. Affordable property options open up a world of opportunity and albeit ROI over the long term is less than in high demand regions, much of the risk is mitigated as the investment is lower and the value of your home will still appreciate.

Small town investment also presents alternative options like commercial opportunities as consistent holiday rentals pays for your bond.


The assessments made here obviously don’t apply to every little town, but what is important to take away is that don’t write off the strength and value of your investment when you’re relocating to more rural regions. Property is great investment and in an emerging economy with a lot of opportunity finding gems in the most unusual places is not as uncommon as you think.

Topics: Property Advice