Government-subsidised housing made up 32% of residential properties in South Africa during 2023, totaling 2.18 million units, according to the Centre for Affordable Housing Finance in Africa’s ‘South Africa Housing Report’ for 2024.

The report’s figures, pulled from the Deeds Office, differ from the total number of houses delivered by government and only reflects units where title deeds were handed over to beneficiaries. If all government-subsidy units were included, this segment would comprise 43% of total residential properties in SA.

49% of total government-subsidised properties are found in eight of SA’s metros. Within these metros, 28% of residential properties were subsidised while in the local municipalities, only 37% were subsidised.

Over time, government-subsidised properties have appreciated and shifted into higher market segments with the bulk (63%) in the entry-level market valued under R300 000. However, a sizable portion (29%) were in the affordable market between R300 000 and R600 000 with a further 7% in the conventional market (R600 000 to R900 000). A small segment of 1.5% was valued over R900 000, showing potential appreciation.

Most of the public housing investment has been in Gauteng and the Western Cape which contain 35% and 18% of total government-subsidised properties, respectively.

In provinces with smaller populations, government investment is responsible for a substantial portion of today’s residential property market. In the Free State and Northern Cape, government-subsidised property makes up nearly 50% of all residential units with KwaZulu-Natal the province with the smallest portion of 25%.