Price of Real Estate

The average price of real estate in Kenya is around Ksh 10 million for a two-bedroom
apartment and around 20 million for a three-bedroom apartment. Here are some reasons why
this is the case.
Different locations
Properties in Kenya today have been placed in different locations. However, various locations
have different perks to them. This could be such as having proximity to the CBD and having
access to malls, schools, hospitals, etc. Among the best places that inhibit these advantages are
Parklands, Westlands, Kilimani, Muthaiga, etc. It is therefore important to consider investing in
real estate in good locations.
Demand and supply
Where the need for property does not arise, the price for the property is usually low. However,
where demand for property is high, the pricing rises. As an investor, it is important to consider
owning a property where there is demand. This is because you wind up being the one who fills
in the shoes for supply. This is beneficial because eventually, this leads to making much profit.
Good infrastructure affects the prices of properties positively while bad infrastructure affects
them negatively. An area with well-maintained roads, reliable water and power supply, and
access to public transportation, can make a location more attractive. This means that buyers will
be willing to buy property there, while tenants will be quick to rent out property. When deciding
where to invest in property, choose to invest in areas with good infrastructure
Interest rates
When interest rates in real estate are low, this results in lower costs in materials for ongoing
projects. Therefore, properties end up being affordable, and eventually, people buy them. This
means that a demand for property arises because it is affordable. Similarly, low-interest rates
mean that borrowing becomes cheaper. This allows them to buy and invest in property.
This is among the many reasons why at Alif Homes we have come up with quality homes for
investment. Our projects Skyway and Utopia Parklands are deemed to meet this niche. For more
information, feel free to contact us today.