Model Cape Town's proposed availability method. Enter your municipal valuation and expected availability to see the residential vs commercial rates cliff — before the 2027 policy takes effect.
Formula. If availability ≥ threshold → rates = valuation × 0.015106 (commercial). Else → rates = max(0, valuation − rebate) × 0.006428 (residential).
Sources. Rate-in-the-rand figures from the City of Cape Town Budget 2026/27 public advert (residential 0.006428 · commercial 0.015106 · commercial = 2.35× residential). Enforcement funding referenced in Annexure 16 (R5m STR platform + R3m by-law enforcement). Budget public comment window closed 30 April 2026.
Disclaimer. This is an indicative model based on the current understanding of the proposed by-law. The gazetted rule may differ, the impermissible rebate may change, and multi-purpose properties are stated to be treated "per allocation" — a definition the City has not yet published in detail. Verify against your actual valuation and the final published policy before making financial decisions.
The rate reclassification is a market consequence. STRLCS helps owners comply with the laws and regulations so they can possibly avoid fines, OTA de-listing, and cease-and-desist notices for operating without the right licences. May we send you the free 60-second compliance check?
Model based on the City's draft policy · verify final gazetted rule