Health concerns amid the Covid-19 pandemic could have informed renewed demand for low-density buildings with townhouses dominating the property market to edge out lowly priced apartments.
The quarter one Housing Price Index report by Kenya Bankers Association (KBA) indicates a change of heart among property seekers who sought townhouses unlike in the past when apartments were popular due to proximity to urban centres and price friendliness.
“While the market remained largely depressed, the marginal easing was supported by the supply-demand interaction with a leaning towards more demand in a relative context,” the KBA-HPI indicates, adding demand shifts in the quarter were based on concluded sales, which rose by 13.95 percent.
This is the second time for the demand for apartments to fall with last quarter 2019 registering an 11 percent fall in demand. 2020 first quarter fell further to 33 percent. Demand for bungalows and maisonettes went down 95.9 percent and 57.1 percent respectively during the quarter.