What is the building cost of a residential development per square metre currently?

It depends a lot on location, specification, materials and design

Typical residential building costs per square metre in South Africa (2025) vary mainly according to location and the level of finishes. Basic or entry-level homes usually fall in the range of about R6,000 to R8,000 per square metre. Standard or mid-range suburban homes generally cost between R8,000 and R15,000 per square metre. Higher-end or luxury homes often range from R15,000 to R20,000 or more per square metre.

In Gauteng, and specifically Johannesburg, recent estimates show that typical residential construction often falls between approximately R13,330 and R15,000 per square metre. Many mid-range townhouses, cluster homes, or apartment-type developments in the province tend to work out at around R9,800 to R13,900 per square metre. Nationally, the average cost for completed dwellings sits at roughly R8,906 per square metre.

The variation in cost comes from factors such as finishes (basic versus luxury), design complexity, whether the building is single or multi-storey, local labour and material pricing, and whether the estimate includes finishes, professional fees, site works, and service connections.

For a standard 150-square-metre home in Johannesburg, using an estimated mid-range rate of R14,000 per square metre gives an approximate construction cost of about R2.1 million. Choosing more modest finishes at around R9,500 per square metre brings the cost closer to R1.43 million, but with simpler materials and features.