Cape Town most expensive South African Airbnb city!

imageTraveller24 has compared accommodation prices in Cape Town and Johannesburg for hotels, Bed & Breakfasts, as well as Airbnb, and found that Johannesburg generally offers more affordable accommodation.

The accommodation price survey found that Johannesburg accommodation prices generally are very low, especially for Airbnb, as low as R600 per day, for a house or an apartment, in good suburbs such as Parkhurst, Linden, and Bryanston. Hotel prices in Johannesburg do not fare too badly, especially when compared to those in other African countries, at an average in 2015 of R967 per room per day, making Airbnb particularly affordable in the city. Airbnb does not usually include breakfast, the servicing of the room, and in-house restaurant facilities, whilst hotel accommodation would.

In Cape Town the survey found that the average price for Airbnb was much higher, at R1200 for an entire house or apartment. Pricing in Cape Town is influenced by supply and demand. This cost is not much lower than the average hotel room rate of R1448 in 2015, and again one would be comparing apples and pears in terms of which services are included/excluded.  In Camps Bay and Clifton Airbnb and Bed & Breakfast establishments can offer their clients far better value compared to the five-star hotels in the area.

Internationally Airbnb has become a threat for formalized accommodation establishments, and are cheaper to operate in not paying taxes or paying commercial property rates to municipalities. In winter seasonality is a further blow, accommodation business in Cape Town taking a major knock in winter, despite it discounting its rates in winter.  In some global cities hotel rates can be far cheaper than the Airbnb ones, as reflected in this comparative infographic by BusBud:

Source: Traveller24.

Chris von Ulmenstein, WhaleTales Blog: www.whalecottage.com/blog  Tel 082 55 11 323 Twitter:@WhaleCottage  Facebook:  click here

 

 

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