The Nairobi Metropolitan area saw the fastest increase in house prices since 2015 due to growing demand for standalone units and a slowdown in land prices. Property prices increased in Nairobi in 2025. Photo: HassConsult. Source: Facebook This came as developers cut back on the number of plots needed to build flats after a glut. What are the prices of houses in Nairobi Metropolitan? Property prices jumped 7.7% in 2025 compared to 5.2% in 2024, according to a report by the real estate consultancy firm HassConsult. This is the fastest rate of growth since 2015, when yearly prices rose by 9.6%. After remaining unchanged the year before, asking rental costs fell by 2.5%, providing relief to tenants whose disposable incomes had declined over the preceding five years. “Overall, property prices climbed by 0.3% in the quarter and 7.7% for the year, while rents fell by 0.9% in Q4 and 2.5% in 2025, as rents softened at the coast and in the country’s other major cities,” the report stated. By the end of December 2025, the average cost of a house in Nairobi was KSh 39.6 million, with an average of KSh 45.1 million for an apartment with four to six bedrooms and KSh12.8 million for a property with one to three bedrooms. “Annual house price growth was strong in all the satellites, led by Juja at 12.2%. This growth slowed in Q4, but remained strong, except in Kiambu, Ngong and Kiserian, where prices fell in the final months of the year,” it added.
House prices increased in Nairobi and satellite towns. What are land prices in Nairobi Metropolitan? The average price of land in Nairobi’s satellite towns, such as Ruaka, Syokimau, and Juja, increased by 6.21% per acre to KSh 32.9 million, a decrease from 10.62% in 2024. The price per acre increased by 5.92% to KSh 226.8 million in suburbs like Muthaiga, Langata, and Lavington, which was less than the 6.8% growth observed in 2024. Due to a growing middle class and an increase in economic activity, demand for new units exceeded supply, making standalone homes the primary driver of both the real estate and land markets. As a result, the price of detached homes increased by 9.5%, more than that of semi-detached homes (5.2%) and apartments (2%).
By Japhet Ruto
