Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
slowed growth in the sector has reduced liquidity in the market and in the process made developers cut prices which has presented opportunities for investors/COURTESY

Kenya

Slowdown in property prices a temporary win for investors – HassConsult

slowed growth in the sector has reduced liquidity in the market and in the process made developers cut prices which has presented opportunities for investors/COURTESY

NAIROBI, Kenya, Jul 24 – Property prices in Nairobi continue to reel from slow economic growth that has seen prices reduce by 3 percent in the second quarter of the year.

According to HassConsult, slowed growth in the sector has reduced liquidity in the market and in the process made developers cut prices which has presented opportunities for investors.

Head of Development Consulting and Research Sakina Hassanali says developers are offering generous terms which continue to suppress prices and rents.

She adds that investors are buying properties at discounted prices, confident that once the economy picks up there will be liquidity which will be reflected in the property market through increased prices.

The quarterly price deductions were led by Juja with houses in the satellite town dropping by 4.1 per cent.

Athi River had the best property market with apartment prices in the area increasing by 2.8 per cent over the same period.

“Rents dropped by 1.9 per cent in the quarter led by the detached housing segment which dropped by 3.2 per cent over the period while apartment rentals held up at an increase of 0.4 per cent. Additionally, Langata Apartments recorded the highest quarterly increase in asking rents at 2.5 per cent over the quarter while Athi River Houses recorded the biggest drop at 3.9 per cent,” says the report by the firm.

On an annual basis Nyari was the best performing suburb with houses in the area increasing by 13.2 per cent while at the tail end was Kilimani with apartments in the area dropping by 4 per cent.

On the letting front, asking rents dropped by 1.9 per cent in the quarter led by the detached housing segment which dropped by 3.2 per cent over the period.

Langata recorded the highest quarterly increase in asking rents at 2.5 per cent over the quarter while Athi River recorded the biggest drop at 3.9 per cent.

Advertisement. Scroll to continue reading.

 

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...