- The Daily Brief, by The Kenyan Wall Street
- Posts
- The Sluggish Property Market
The Sluggish Property Market
Kenya's #1 newsletter among business leaders & policy makers
Hello 👋🏾, it’s Brian from The Kenyan Wall Street!
Thank you for joining us for today’s edition of The Daily Brief! With 35,000+ subscribers from over 80 countries receiving this newsletter.
Top Stories
🏠 ⬇️ Property Dealers Exceed a Year on Average Without Making Single Sale
By Fred Obura
Investors endured an average 16 months in 2023 to dispose of residential properties, with two and three-bedroom apartments taking an even longer time-over 18 months-to sell.
Residential home
The Kenya National Bureau of Statistics in 2023/2024 Real Estate Survey indicates that two-bedroom town houses and three bedroomed bungalows took the least time at 6 months and 8 months, respectively. On the other hand, three- and two-bedroom apartments took the longest time at 19 months and 18 months, respectively.
A longer off-take time tends to reduce the actual sale price of the property with, for example, properties whose off-take time was a year or more fetching lower sale prices, except for one- and two-bedroom apartments. One and two-bedroom apartments account for almost half the available rental residential properties in the market, followed by three-bedroom apartments (14.5%), studio apartments, and maisonettes with four bedrooms or more.
Today's Poll
What are your expectations for the property market this year? |
Yesterday's Poll Results
Do you believe county governments have a greater potential to drive economic growth than policies set by the national government?
🟩🟩🟩🟩🟩🟩 Yes (78.79%)
🟨⬜️⬜️⬜️⬜️⬜️ No (21.21%)
🇰🇪🇦🇪 Kenya-UAE Trade Deal Could Tip Trade with China
By Brian Nzomo
The Kenya-UAE trade deal is slated to ramp up trade between the two countries, and could present an opportunity to dislodge China as the primary source of Kenya’s imports.
Kenya and UAE sign trade deal
The deal, signed yesterday by President William Ruto in Abu Dhabi, UAE, is set to eliminate barriers and open up more markets for Kenyan exports such as horticultural and meat products.
In turn, Kenya will also double its imports from UAE, which include petroleum, machinery, and chemicals – some of which China has traditionally supplied in bulk. The government reported that trade between the two countries hit KSh 445 billion in 2023 and the Middle Eastern country became Kenya’s sixth-largest export destination.
Imports from the UAE dipped in the months between July and September last year, according to data from KNBS, to KSh 88.9 billion from KSh 90.9 billion in the preceding quarter. However, the country is now only second to China as a major source of imports from the Asian continent. The trade deal with Kenya, which is the first of its kind with an African nation, seeks to entrench UAE’s economic presence in a continent that oscillates between Chinese and Western dominance.
📉 Kenya’s Wholesale Prices Ease at Faster Pace in Q4 2024
By Zainab Hafsah
Average wholesale prices charged by factories for their goods fell further in the 3 months to December 2024, reversing the inflation trend witnessed just over a year ago, according to data from the Kenya National Bureau of Statistics.
Producer Price Index | KNBS
🔸The year-on-year producer inflation stood at -5.34% in the 4th quarter of 2024.
🔸During the same period in 2023, the figure stood at 10.03%.
🔸Producer inflation was at -3.2% in the 3 months to September 2024.
🔸The quarter-on-quarter average cost of production went up 1.26% to 137.56 in the 3 months to December 2024 from 135.85 in September 2024.
🔸The producer price index, which measures price changes for goods and services at factory level, decreased to 137.56 in December 2024 from 145.32 in December 2023
🔸Food production prices – which carries the most weight in the basket – were 9.61% lower than in December 2023, pointing to favorable climate conditions in the review period.
Stories you missed
Video of the Day
“In fact, what determines your wealth is not how much you make but how much you keep of what you make.”
Contact us if you have any inquiries or complaints here…
Good evening!