Nairobi’s Luxury Suburbs See Sharp Drop in Two-Bedroom House Prices
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A two-bedroom house in Nairobi’s elite suburbs now costs almost the same as one in middle-income neighborhoods. Falling demand has erased a price gap that once stretched into the millions.
The price of standalone two-bedroom homes in Nairobi’s high-end suburbs has fallen dramatically, according to new data from the Kenya National Bureau of Statistics. Properties in areas such as Karen, Runda, and Lavington now sell for around KSh8 million, down sharply from roughly KSh22 million in 2022 as buyer demand weakens.
The decline has narrowed the gap between luxury and middle-income neighborhoods, where similar homes are priced at about KSh7.8 million. Analysts attribute the trend to high borrowing costs, reduced purchasing power, and a shift in buyer preference toward larger homes or more affordable housing options.
Meanwhile, prices of larger three- and four-bedroom homes in premium estates continue to rise, highlighting a growing divide in demand within Nairobi’s upper-end housing market.
Read the full story at Business Daily Africa