Nairobi Is Ranked As The Top City In Africa, In Terms Of Growth, Over The Past Year

According to the report by Knight Frank, Nairobi
was the only city in Africa that made the top 45 global cities that
recorded an increase in the last year. The latest Prime Global Cities Index by
Knight Frank ranked Nairobi
at position 32 with a 3.5 per cent in Nairobi posted a 2.4 per cent change in six months
from Q3 2021 to Q1 2022 and a 1.3 per cent change between Q4 2021 and
Q1 2022.

“This growth can be attributed to pent-up demand. After two
years of the pandemic, as we entered Q4 2021 there was a sense of normalcy
returning. 

“I believe buyers’ sentiments to get on with life
motivated their purchasing resumption plans. Also with the pandemic seemingly
behind us, we witnessed many expatriates returning to Kenya,” Head of
Residential Agency at Knight Frank Kenya, Tarquin Gross stated.

The Prime Global Cities Index is a valuation-based index
tracking the movement of prime residential prices across 45 cities in the world
using data from the Knight Frank research network.

According to the report, luxury houses in Nairobi also
recorded a 3.5 per cent increase in price in the first quarter compared to a
similar period last year. There was a recovery in demand for the property
market following a slowdown due to pandemic economic hardships. Notably, the
report showed a deceleration in the price
growth of prime properties globally for the first time since the start of
the pandemic. The Hass Consult also recorded that there has been an increase in
land prices in Nairobi. It has revealed most
profitable areas you can invest in land and have high return within a very
short period of time.

“Interestingly, the proportion of cities registering
prime price growth has increased
only marginally to 76%, instead it’s the scale of growth amongst the
top-performing cities that are behind the index’s acceleration,” the
report read in part.

“Housing markets are undergoing the most unusual of
recoveries. An easing of travel rules in some markets, a surge in safe-haven
purchases by domestic buyers, a flurry of activity ahead of the tapering of
stamp duty holidays, and an overall reassessment of lifestyles and commuting
patterns, are all set against a backdrop of low-interest rates,” the
survey further established.

Dubai was listed as the city with the fastest rising prime
prices in the period studied with a 58.9 per cent change.

Important o read: Top
ten most expensive places to buy land in Nairobi