We’re delighted to announce a major milestone in the journey of Sandbank Villas: the official launch of our Oceanview Villas and the unveiling of Zubea, a five-star resort set to redefine boutique luxury on Zanzibar’s shores.

Foreigners can buy property in Tanzania, though the process differs from that for local citizens. On mainland Tanzania, foreign buyers cannot own land outright but can secure long-term leases through approved investments. In Zanzibar, the rules are more flexible: foreigners can legally purchase villas or apartments in government-approved developments, with leases up to 99 years and the option to apply for a residence permit through their investment.

Zanzibar is attracting a new wave of travellers, from honeymooners to safari-goers finishing their trips on the beach. With tourism numbers rising fast (July 2025 saw over 106,000 international visitors, a 55% increase year-on-year), rental demand is strong, especially for villas in the north of the island.

A beachfront villa in Nungwi behaves very differently to an apartment in Stone Town or a lifestyle rental in Paje. Each area attracts different guests, delivers different returns, and carries different risks.

This guide compares the best places to invest in Zanzibar real estate in 2026, based on real investor criteria: demand, pricing power, ease of ownership, and long-term value.

Africa’s real estate story is changing. What was once seen as niche or high risk is now attracting serious, long-term capital from global investors looking for yield, diversification, and early entry into growth markets.

In this article, we explore why Zanzibar is emerging as one of the Indian Ocean’s most compelling real estate markets - from ownership laws and yields to the landmark developments shaping its future.

Zanzibar is on many investors’ radar right now—not just for its beaches and culture, but because the island feels like it’s moving into a new phase. Tourist arrivals have jumped to record levels in recent years, yet unlike other island markets that surged years ago, Zanzibar still offers an early-entry position with room for growth.

If you’re exploring the island for the first time, the range of choices can feel wide - villas, apartments, small hotels, raw land, and more. This guide simplifies the landscape so you can understand which investment types are performing well, what to expect from each, and why certain categories stand out.

Through Zanzibar’s Investment Visa, foreigners can legally live in Zanzibar by purchasing property in an approved development. It’s a transparent, government-backed path that makes it easier than ever to combine lifestyle and investment.