Last week datafintech released a report showing an increase in the number of residential properties listed in the Kenyan market. The influx of properties led to a drop-in sale and rental prices of properties by the end of 2017 but an increase in the total value of ask price as compared to 2016. This was an indication that while there has been an increase in the property listings the value of the property is low and investors with high-end properties stayed away from trying to sell their property.
Datafintech this week analyzed the performance of 4-bedroom apartments in Westlands and Karen. Between December 2016 and December 2017, the average sale price for a 4-bed room apartment increased in Westlands by 23.05% from Kshs 30.75 million to Kshs 49.17 million but declined in Karen by 2.13%.
Average rent price also grew within the same period by 33.79% from Kshs 121,670 to Kshs 245,830. Similarly returns in Westlands increased by 11.64% between December 2016 and December 2017.
For Karen, the average sale price for a 4-bedroom apartment declined by 2.13% between December 2016 and December 2017 from Kshs 72 Million to Kshs 69 Million. Rental price also dropped within the period from 5.79% from Kshs 250,000 to Kshs 222,650. 12 months return on investment on a 4 bedroom apartment in Karen showed 3.66% decline.
The data from selected online listings suggests that investors behold Westlands in a better light than Karen