Margate is a popular South Coast holiday resort, with Blue Flag Beach status.

This area provides a natural haven for a multitude of tropical fish species and an abundance of coral reefs which allow for excellent scuba diving and snorkelling. The renowned Protea Banks dive site with its vast shoals and sharks bring great delight to divers.

The fishing in Margate is good, and rocks off the shore abound with mussels though a licence is required to remove them. The coastline comes to life with an energetic buzz of fishermen and locals when the annual Sardine Run takes place. Condidered to be the greatest shoal on earth, these tiny silver fish bring with them numerouslarger game fish, dolphins and a variety of birdlife seeking an easy meal.

Boating and skiing are popular water sports in Margate. Canoes and paddleboats are available for hire at the lagoon. Surfing at Margate and the nearby St. Michaels Beach is also popular.

Nature reserves in the vicinity of Margate include the Oribi Gorge Nature Reserve, which has spectacular views and a wide variety of species, including bushbuck, blue and grey duiker, common reedbuck, and the occasional the leopard. Other reserves in the area include the nearby Skyline Reserve and Uvongo River Reserve. Both offer tranquil scenery and a wide variety of birdlife, with nearly 400 species sighted in the region. The local forest birds are particularly colourful. Birdwatching tours in the Margate area are available.

Other attractions in and around Margate include the Margate Bird Park with its walk-through aviary.The bird park also has a playground and a tea garden which serves light meals to visitors.

Riverbend Croc Farm near Southbroom is home to more than 200 Nile Crocodiles. Visitors can watch an awe-inspiring feeding frenzy every Sunday. Crocodile hatching demonstrations are a natural phenomenon also not to be missed.

Margate is the centre for nightlife on the south coast of KwaZulu-Natal, and when the discos close, there are parties on the beach.

Other activities in and around Margate include:
- Margate Country Club
- Whale Watching
- Art Galleries
- Microlight rides
- Quad Biking
- Sea Kayaking
- Shark Cage Diving
- Abseiling at Oribi Gorge
- Arts and Crafts
- Shelly Centre