Post-apartheid transition in South Africa's small towns has received little attention. Using the South African Property Transfer Guide, 2500 residential transfers were analysed in Margate. Spatial and temporal patterns in Black house purchase were interpreted through discussions with key actors. The findings indicate the importance of micro-dynamics in determining specific post-apartheid transitions and confirm the relationship between racial employment profiles and housing markets. Black in-movement to previously White areas has focused on Extension 3, where private building of low-cost housing has occurred, but the area is now becoming resegregated. Whilst peripheral housing need not imply exclusion from services in small towns, unpaid mortgage bills and municipal rates have led to repossessions and affected the credit status of new Black buyers.
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