The Real estate trends for 2021 will follow same trends that emerged from March 2020 after COVID introduction.
Single dwelling units.
People will be more focused on individual single dwelling compared to urban living in the city peripheries eg Eastlands.
The areas around Nairobi, Nakuru, Mombasa cities such as Kajiado, Machakos will see alot of single dwelling home owners moving from the hustle and bustle of urban city dwelling. COVID has made urban dwellers in apartment blocks to re arrange themselves and move to areas where housing is not on high density.
Also, the financial uncertainty that COVID brought along makes alot of potential home owners make their first move towards home security. Areas around the city where land is low priced have seen a sudden explosion as people move from high density apartments closer to the city into their homes.
Commercial office spaces.
Commercial office spaces have witnessed low demand as people learn how to work from home. 2021 will see fewer commercial office space investments as people re adjust and move operations from office to home.
Construction materials pricing.
2021 has brought along with it inflation, coupled with poor Government fiscal policies that have not been favourable to private sector growth.
Prices of building materials are set to rise in tandem with the inflation level and the rising USD vs KES.
Developers will have to seek locally produced building materials eg clay roof tiles, earthbag houses and Masonry stones so as to avoid the high cost of imported building products as the exchange rate between KES and USD widens.
Land Prices.
The value of land has stagnated and in some instances began to lower. This is due to lower demand as economy grows slowly or stagnates. This is now the best time to buy land since the prices will be lower.
Tourism has been affected by flight restrictions, hence fewer international visitors into the country. This has necessitated some hotels to close or readjust to minimal investments so as to be able to operate profitably without international tourists.
Sectional titles.
The new sectional titles law now makes it much easier to sell apartment blocks and row houses. There will be an increase of apartment building owners since its much easier and better to process sectional titles for apartment buildings.
Architect Francis Gichuhi Kamau.
0721410684
info@a4architect.com
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