Areas and Places

Kenya’s real estate sector expected to recover in 2018

Africa Globe

The Kenyan real estate sector (like many others) has been affected by Kenya’s political environment during the last general elections between August and October 2017.

Cytonn reported the residential market as the worst affected real estate sector which slowed down by 3.2 percentage points due to dwindling demand as investors decided to hold on to their money or make short term investments rather than long term ones. The market is expected to stabilize in 2018 with residential property leading this transformation.

According to Data Fintech’s Real Estate Forecast Report, 5-bedroom houses in Runda would be the ideal investment choice for investors in Q4 2017. The report shows that 5-bedroom houses have raked in return as high as 17% in 2017 alone, with capital gains at 11.8% and rental yield at 5.2%. While prices of majority of residential property dropped throughout Q3 and Q4 2017, the sale price of these houses in Runda currently stand at Ksh 95 Million, the highest price in 2017 and are expected to retail at Ksh 103 Million by Q2 2018. This makes it a perfect investment for investors willing to make a quick returns in the coming year.

Read the report here: Data Fintech Prediction Report – Runda, Kenya (Residential)