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Nairobi Estates Where Rent Prices Have Dropped Significantly

Journalist BenedictBy Journalist BenedictJuly 24, 2025No Comments3 Mins Read
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Westlands Among Areas Seeing a Decline in Rental Prices

Rental costs in several Nairobi suburbs and nearby satellite towns went down slightly during the second quarter of 2025, covering the months of April to June.

According to the latest Hass Property Price Indices, released on Thursday by Hass Consult, a prominent Kenyan real estate company, a number of Nairobi estates recorded a dip in rent prices.

Some of the key areas that saw this decline include Muthaiga, Westlands, Kilimani, and Runda. Rent prices in these estates fell by 2.7%, 1.7%, 1.2%, and 0.1% respectively.

The report highlighted that, overall, rental prices across Nairobi dropped by a slight 0.2% in the second quarter. This was in contrast to the 0.3% increase that had been recorded in the first quarter of 2025.

Economic Hardships Forcing Landlords to Freeze Rent Hikes

Sakina Hassanali, the Creative Director and Co-Chief Executive Officer of Hass Consult, explained that the drop in rent is largely due to a challenging economic environment marked by job losses, stagnant wages, and higher living costs.

“Because tenants are very price-sensitive right now, many landlords are choosing not to raise rent. Their main focus is keeping tenants and avoiding vacant units,” said Hassanali.

Estates Where Rent Has Increased

While a few areas recorded rental price drops, several Nairobi neighborhoods saw the opposite trend. Estates like Gigiri, Karen, Kileleshwa, Kitisuru, and Lang’ata posted increases in rent by 3.0%, 0.6%, 1.1%, 0.4%, and 3.4% respectively.

Additional estates that saw rental hikes include Lavington, Loresho, Nyari, Ridgeways, Athi River, Kitengela, Juja, Ngong, and Ongata Rongai.

These rent increases were mostly attributed to improving economic activity and slight reductions in inflation levels. In such areas, demand has stayed strong, particularly for quality housing, contributing to rising rental rates.

Q1 vs. Q2 Trends: Broader Rent Drops at the Start of the Year

Interestingly, the number of estates where rents fell was higher in the first quarter of the year than in the second. More than nine estates experienced rent reductions between January and March.

These included Muthaiga, Nyari, Kilimani, and Westlands, among others. Additional areas with rent drops in Q1 were Loresho, Ridgeways, Runda, Kiserian, Athi River, and Tigoni. Here, rent declined by 1.3%, 1.5%, 1.3%, 1.2%, 2.2%, and 2.5%, respectively.

Consistently Rising Estates

Some towns have stood out for consistent growth in rental prices across both quarters. These include Ruiru, Ngong, Limuru, Juja, Ongata Rongai, and Kitengela. These areas continue to attract renters, partly due to better infrastructure, urban expansion, and growing middle-class housing demand.

As economic conditions continue to shape Kenya’s property market, both tenants and landlords are adjusting to shifting trends. While some estates are becoming more affordable due to economic pressures, others are riding the wave of renewed demand and improved services, leading to rising rents.

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