Cars are way more expensive than homes in South Africa

Cars are way more expensive than homes in South Africa when measured by price per square metre, a TopAuto reader recently pointed out to us.

The Cape Town-based reader was astonished to find out that the Kia Picanto is now selling for a minimum of R260,995, a premium of 55% in comparison to the R167,995 it went for in 2020.

He is also in the market for a new home at the moment, and with property prices fresh in his mind, he compared it to what the Picanto costs when you break it down into its physical dimensions – “just like people do when buying a house,” he said.

Picanto vs Property

The Picanto is one of the smallest cars in the country with dimensions of just 3,595mm long, 1,595mm wide, and 1,495mm tall.

Hence, the footprint of the hatchback occupies an area of 5.73m².

Dividing the pricing of the Kia – which ranges from R260,995 to R325,995 – with the measurements gives us a cost of R45,549 per square metre for the most affordable Picanto LX and R56,893 per square metre for the priciest Picanto EX+.

We can apply this same concept to something far bigger and still get the same results, like, say, the country’s best-selling vehicle.

The popular Toyota Hilux Double Cab comes in at 5,325mm in length, 1,855mm in width, and 1,815mm in height, giving it an area of 9.88m².

In Raider spec, which is the most popular trim line, the bakkie is priced from R612,100 to R876,600.

As such, we can deduce that the Hilux Raider Double Cab costs anywhere between R61,953 and R88,725 per square metre.

4-bed home in Greymont, Johannesburg

As per ooba Home Loans, the average selling price for a home in South Africa in Q4 2023 was R1,411,434.

Looking at what’s available in Joburg for around this price, you can snap up a four-bedroom house in Greymont on a 495m² erf for R1,450,000 – which can even be negotiated down a bit according to the listing.

This works out to a cost of R2,929 per square metre for the sizeable property that has the potential to increase in value the longer you own it.

Or perhaps you’re after a more scenic location, such as Cape Town.

Here, you can get a modern three-bedroom home in a security complex in Wynberg for R1,350,000.

The far smaller erf size of 154m² means you’ll be paying R8,766 per square metre for this property, though this is still much lower than you are taking out for both the Picanto and the Hilux.