House prices and rents in Kenya's prime residential areas have risen in the first half of this year, between January and June, with Limuru emerging as one of the most sought-after towns by home seekers.

🇰🇪 Breaking It Down

According to Knight Frank Kenya Market Update H1 2026 , monthly rents in prime residential areas increased by 0.73 per cent in the first half of 2026 compared to December 2025, while sale prices rose by 6.2 per cent.

For instance, in Nairobi, prime locations include Westlands, Muthaiga, Runda, Karen, Gigiri, Kitisuru, Riverside, Lavington, Kilimani, and Kileleshwa.

In its report published on Thursday, August 27, Knight Frank attributed the increase to the limited supply of quality residential properties, particularly bungalows, villas, townhouses and maisonettes.

📌 What You Need to Know

The imbalance between demand and available houses has pushed property prices up, making quality houses more expensive for buyers and renters.

"The increase reflects a continued shortage of quality prime housing stock - particularly bungalows, villas, townhouses, and maisonettes - amid sustained demand from owner-occupiers and renters," the report revealed.

Knight Frank identified Limuru as one of the prime locations where most Kenyans are now preferring to buy or rent a house.

According to the real estate firm, Limuru, particularly in the Tilisu area, has benefited from the earlier developments within the master-planned Tilisi Special Economic Zone (SEZ).

"Its strategic location, proximity to Nairobi, planned infrastructure, and tranquil natural environment continue to attract both developers and homebuyers seeking alternatives to the increasingly congested traditional suburban market," Knight Frank stated.

Knight Frank attributed Limuru’s growing appeal among homebuyers and renters to upcoming developments, including gated communities and a residential project by 17 Group.

📰 Source: Kenyans.co.ke