Hass Index Quartely and Annual Reports

 Property market rides despite developers' oversupply of large apartments

•   September marked the sharpest rise in property asking prices since January 2010, offsetting a drop in August to achieve a small rise across the third quarter
 •   The rise in asking prices was concentrated in houses and town houses, but accompanied by a stabilization for the asking prices of apartments
 •   The year's sharp drop in asking for apartment rentals also ended, with asking rentals up 0.9% in the third quarter, while asking prices for house rentals jump sharply in the third quarter, up 4 percent on the previous three months
 •   Hass Index selling prices, reflecting upper and middle housing in Nairobi, however dipped 0.5 percent losing the 0.5 percent gain in the second quarter

 Index Highlights:


 

New, Deeper data

HassConsult is today issuing for the first time a full nationwide index of property asking prices based on more than 45,000 prices in the public domain and HassConsult's own internal records, with break-outs showing how the prices of stand-alone houses and apartments are moving.

It is also issuing a special report giving an average house price and average rental price for every major suburb which will also be launched online by housing industry website www.propertyleo.com
 
A pick-up in house and town house prices in the third quarter was supported by improved demand for smaller apartments, seeing the property market ride beyond the depression in overall prices caused by the long-term problem of large, city apartments that have remained vacant and without buyers.

"We urge developers to consider seriously the demand for apartments of more than three-bedrooms within Nairobi, and whether buyers with this kind of purchasing power are more likely to opt for houses," said Mohamed Hassanali, Managing Director of HassConsult.

"This one persistent spot of oversupply in the market, with these palatial apartments left unsold and vacant, should serve as a lesson to all developers in providing the properties the Kenyan market is genuinely chasing, in the form of smaller apartments, town houses and stand-alone houses."
 
In the third quarter, renewed pushes towards higher asking prices for houses and town houses seemed unsupported by a surgeof any similar scale in closing prices, but there were signs of a stabilisation in apartment asking prices and rental, following sharp falls over the last year.

With apartment prices having been the weakest point in the market, the strengthening at this end of the market adds to a general picture of enhanced stability.

"All of the data coming through this quarter confirms the greater in sales of apartments of less than 3 bedrooms, although the larger apartments in the central city continue to depress the overall index," said mr. Hassanali.

HassConsult also today issues a break-out of average house and rental prices in each of Nairobi's suburbs in the first ever price ranking for the city, and showing Nyari as the most expensive suburb to rent, and Muthaiga as the most expensive area to buy in.

The high-end suburbs are all now clustered to the city's west which is home to 7 of the most expensive suburbs.

The data also reveals a 20-fold spread in property prices across the city, with properties in Muthaiga selling for an average Sh68m, while properties in Mlolongo typically fetch some Sh3.2m.

Average rentals reveal the same 20-fold spread, from Sh251,000 a month in Nyari, to Sh12,800 a month in Tena.
 
 
 
 
SNAP SHOTS:

•The Hass Composite Sales Index is  representative of all property for sale in  Kenya
• Property values have increased by 2.83 times since 2001
• The Index shows a property price rise of 2.6% in the last quarter and an 8.8% rise in the last year
 
 
 
 
 
 
SNAP SHOTS:

•The annual average is representative of the  average price of all properties offered for sale in Kenya.
•The average value for a property has gone from 6.83 million in December 2001 to 19.34 million in September 2010
•The average value for a 4-6 bedroom property is currently 28.08 million
•The average value for a 1-3 bedroom property is currently 10.15 million

 
 
 
  
 
SNAP SHOTS:

• The annual % changes is a measure of the year on year change in property prices on a monthly basis i.e the 12.3% increase in December 2001 reflects the change in property prices from December 2000 - December 2001
• September 2010 recorded an 8.8% increase in property prices from September 2009 last year
 
 
 
 
 

 
 SNAP SHOTS:
• Stand Alone houses include houses, bungalows, cottages and villas either on their own plot or in a gated community
• Property values for stand alone houses have increased by 3.5 times since 2001, a 3.4% rise in the last quarter and an 13.2% rise in the last year. The average price for stand alone house is currently 28.3 million up from 8 million in December 2000.
 
SNAP SHOTS:
• Apartments include apartments,duplexes and triplexes
• Property values for apartments have increased by 1.96 times since 2001, a 0.9% rise in the last quarter and an 5.4% fall in the last year. The average price for an apartment is currently 10 million up from 5.1 million in December 2000
 
SNAP SHOTS:
Apartments include apartments, duplexes and triplexes
Property values for apartments have increased by 1.96 times since 2001, a 0.9% rise in the last quarter and an 5.4% fall in the last year. The average price for an apartment is currently 10 million up from 5.1 million in December 2000.
 
 
SNAP SHOTS:

•The Hass Composite Letting Index is representative of all property for rental in Kenya
• Rents have increased by 2.55 times since 2001
• The index shows rents have risen by 4.0% in the last quarter but have fallen by 3.6% in the last year

 
 
 
 
 
 
 
 
 
SNAP SHOTS:

•The annual average is represenatative of the average rent of all properties offered to let in Kenya
•The average rental for a property has gone from Kshs.36,766 in December 2001 to Kshs.93,959 in September 2010
•The average rent for a 4-6 bedroom property is currently Kshs. 137,000
•The average rent for a 4-3 bedroom property is currently Kshs. 54,000

 
 
 
 
 
 
SNAP SHOTS:

•The annual % change is a measure of the year on year change in rents on a monthly basis i.e the 5.1% fall in December 2001 reflects the change in rents from December 2000 - December 2001
• September 2010 records an 3.6% decline in rents from September 2009 last year

 
 
 
 
 
 
SNAP SHOTS:
Stand Alone houses include houses, bungalows, cottages and villas either on their own plot in a gated community
Rental values for stand alone houses have increased by 2.7 times since 2001, a 4.9% rise in the last quarter and an 6.0% rise in the last year. The average rental for a stand alone house is currently Kshs. 145,598 up from Kshs.53, 6072 in December 2000
SNAP SHOTS:
Town houses include townhouses and maisonettes that are semi-detached or terraced
Rental values for town houses have increased by 2.6 times since 2001, a 1.8% rise in the last quarter and an 5% fall in the last year. The average rental for a town house is currently Kshs.98,333 up from Kshs.37,700 in December 2000
SNAP SHOTS:
Apartments include apartments, duplexes and triplexes
Rental values for apartments have increased by 2.59 times since 2001, a 0.9% rise in the last quarter and an 9.2% fall in the last year. The average rent for an apartmen is currently Kshs. 56,181 up from Kshs. 21,638 in December 2000