Cash-strapped Capetonian ratepayers are holding their collective breath ahead of the publication of the General Valuation Roll 2025 (GV2025) on 20 February for inspection and objection.
The new General Valuation Roll (GV2025), has been certified by the Municipal Valuer on 30 January and shall be implemented with effect from 1 July.
Whilst property prices in Cape Town have skyrocketed in the last four years since the last municipal valuation in 2022, the Computer-Assisted Mass Appraisal (CAMA) system used by the City to determine property values might overestimate the value of specific properties, experts warn.
The City’s CAMA system responds to neighbourhood changes through real market trends, which are reflected in the property sale prices in specific areas. Even though the City claims the process is an objective assessment of market value as of 1 July 2025, experts say the CAMA system frequently fails to account for specific factors affecting individual property values, leading to higher-than-expected rates.
According to commentators, the CAMA system relies on broad data points like plot size, zoning, and address but often fails to capture individual property issues such as poor condition, noise, limited access, or compromised views, resulting in overvaluation. Since valuations are anchored to a fixed date, owners may pay rates based on outdated property values if market conditions subsequently soften.
And higher valuations mean higher monthly rates, which will put immense pressure on “asset-rich, cash-poor” ratepayers. This especially relates to pensioners or those on fixed incomes, even if they have seen capital growth.
Inaccurate valuations could result in overpayments of hundreds of rand per month.
“It is a general perception for years now that properties in Cape Town are much higher than in the rest of the country. At the same time salaries are considerably lower. These property values are used and a Rate-in-Rand factor is applied to the property value to determine the property rate. This Rate-in-Rand differs widely over different categories of properties. For example, businesses and empty land pay double the property rates of residential properties. It is therefore a fact that property rates go up in a valuation year in line with the increase in property value,” explains civic activist Sandra Dickson, founder of STOP COCT.
Inaccurate valuations she says, could result in overpayments of hundreds of rand per month. “Erroneous property valuation will most certainly lead to a much higher property rates bill, which is not in line with the actual value of the property. For instance, the shortage of homes in the R1 million – R2.5 million range, pushes prices up artificially as there are many more buyers than properties in the market. This in turn pushes up all the property values in areas where there are sales,” she explains.
“In light of the 15-25% property value increases, the City will have to seriously consider increasing the R435 000 rebate currently offered on properties below R7 million. STOP COCT strongly suggests that the Rate-in-Rand be also lowered in order to soften the blow of GV2025 on ratepayers.”
Black Box system doesn’t favour ratepayers
Dickson says the system is not designed to benefit ratepayers. “Ratepayers have very little input into this opaque and black-box like CAMA valuation system. To add fairness, the City could take a 10% sample and send real valuers to those properties to test the fairness of their CAMA system,” she says.
The City says it is legally required to produce a general valuation roll at least every four years. Its valuation department is responsible for the valuation of approximately 930 000 registered properties within the City of Cape Town’s area of jurisdiction. Whilst not universal, inspectors may visit if they have identified significant changes to the property structure via aerial pictures.
“Property valuations provide the basis for determining municipal rates which are used for services available to all Capetonians and visitors such as recreational facilities, libraries as well as law enforcement and rescue services,” states the City in a letter to ratepayers, adding that approximately 21% of the City’s revenue is generated via municipal rates.
An objection period will start on 20 February and run to 30 April, during which objections can be submitted online via the City’s e-service portal, or via email, by downloading the completed objection form against the selected property as it appears on the GV2025 Roll on the City’s website.
During this time, a rates calculator will be available on the City’s website including the likely impact of GV2025 on customers’ rates accounts based on a provisional rate-in-the-Rand, which is subject to approval of the Budget and Rates Policy scheduled for May 2026. The City warns that no late objections will be accepted.
All the relevant information required by customers and frequently asked questions will be included as a trending link button on the City of Cape Town’s website from 20 February 2026.
